If you regularly practice construction law, as I do, you are likely used to client requests for contract reviews, delay claims, defect claims, and the like. However, you may also find yourself receiving requests outside what we typically view as construction law – requests by your construction clients for assistance with licensing boards. With over 300 boards and commissions established in North Carolina, it is hardly surprising that the construction industry is subject to state licensure and regulation. This regulatory framework leads to a complex collision of construction law and administrative law.
https://ncbarblogprod.wpengine.com/wp-content/uploads/2018/06/Blog-Header-1-1030x530.png00Constructionhttps://ncbarblogprod.wpengine.com/wp-content/uploads/2018/06/Blog-Header-1-1030x530.pngConstruction2021-11-09 09:43:392021-11-09 09:43:39Representing Your Clients Before Licensing Boards
In Milone & MacBroom, Inc. v. Corkum, 2021-NCCOA-526, the North Carolina Court of Appeals issued a stark reminder about the importance of executing on a judgment prior to initiating supplemental proceedings as part of collection efforts. In Milone, the plaintiff obtained a judgment against the defendant for monies owed. Defendant had partially paid on that debt under a prior agreement, which authorized entry of a Consent Judgment in the event of default. After default and entry of the Consent Judgment, the plaintiff served interrogatories and requests for production of documents in a supplemental proceeding. Defendant did not respond, and plaintiff filed a motion to compel.
https://ncbarblogprod.wpengine.com/wp-content/uploads/2018/06/Blog-Header-1-1030x530.png00Constructionhttps://ncbarblogprod.wpengine.com/wp-content/uploads/2018/06/Blog-Header-1-1030x530.pngConstruction2021-10-15 11:16:152021-10-18 09:16:37Recent Court of Appeals Opinion: A Reminder of the Importance of Executing on a Judgment
House Bill 489 is the annual package of regulatory reform changes to the North Carolina State Building Code supported by the N.C. Home Builders Association. This bill includes changes regarding criminal background checks, continuing education courses, and erosion control plan permits, among others.
https://ncbarblogprod.wpengine.com/wp-content/uploads/2018/06/Blog-Header-1-1030x530.png00Constructionhttps://ncbarblogprod.wpengine.com/wp-content/uploads/2018/06/Blog-Header-1-1030x530.pngConstruction2021-09-23 11:11:342021-09-24 09:55:39Important Changes in New House Bills Affecting Your Construction Clients and Practice
Apparently time still flies by, even during a pandemic. It has been such an honor serving the Construction Law Section and its incredible members as Chair this past bar year, and it’s hard to fathom that the year is at its end. The section is in terrific hands as we move into the 2021-2022 bar year on July 1, with Parker Moore ([email protected]) taking the reins as Chair, ably assisted by Carl Burchette ([email protected]) as Vice-Chair, Sandy Mitterling Schilder ([email protected]) as Secretary, and Caroline Trautman ([email protected]) as Treasurer. Please reach out to them and let them know how the section can better serve you — as well as how you can serve the section.
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Over the past year, the volatility of construction material prices has wreaked havoc on construction budgets and caused many disputes between owners, general contractors, subcontractors and material suppliers. For example, lumber prices have tripled, PVC and copper prices have almost doubled, and certain material suppliers have refused to hold pricing for more than twenty-four hours. This begs the following questions: who bears the risk of these price escalations, and how can construction stakeholders mitigate these risks? Continue reading the full post here.
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The North Carolina Supreme Court recently issued a decision in Crescent University City Venture, LLC v. Trussway Manufacturing, Inc.[1] The case decided the question of whether a commercial developer-owner can bring a negligence claim directly against a supplier of defective building material where no direct contract existed between the owner and supplier. The Supreme Court held that the owner could not maintain such a claim and reaffirmed that the “economic loss rule” applied. The economic loss rule provides that, when a duty to perform arises from a contract, no negligence claims can be brought for failing to perform that duty. Instead, only contract claims can be brought.
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We are pleased to invite nominations for the Evelyn M. Coman Award for Distinguished Service in the Field of Construction Law. The award recognizes a lawyer in North Carolina who has made a significant contribution in the field of construction law – through case law or other professional achievement, exhibited a strong record of volunteerism, and has consistently upheld the highest ideals of their profession through a dedicated career in construction.
This can be a lifetime achievement award if that is the criteria matching with someone you wish to nominate. But, it can also be in recognition of a significant contribution to the construction industry or to the construction law community by ways such as scholarship, legislative accomplishment, significant case law or other well-known contribution which advances the industry or legal community. For those who knew Evelyn Coman, the award reflects her efforts (along with others) to bring the Construction Law Section to life and her commitment to excellence in the practice of construction law. Evelyn’s life was unfortunately relatively short, but her gifts to the foundation and legacy of the Section were great.
https://ncbarblogprod.wpengine.com/wp-content/uploads/2018/06/Blog-Header-1-1030x530.png00Constructionhttps://ncbarblogprod.wpengine.com/wp-content/uploads/2018/06/Blog-Header-1-1030x530.pngConstruction2021-02-12 16:08:152022-10-25 13:24:49Please Submit Your Coman Award Nominations!
It is a privilege and a pleasure to announce that the eighth edition of the North Carolina Construction Law Deskbook has been uploaded to the Construction Law community forum on the North Carolina Bar Association’s website.
The Deskbook is a benefit available to all members of the NCBA Construction Law Section and is easily accessible by following the steps below.
How to Access the Deskbook
Enter your log-in credentials at www.ncbar.org, click the “Connect Now” button on the “Communities” window, click “My Communities” on the following page, and then select “Construction Law” on the next page.
Once in our Construction Law Community forum, select “Library,” and you’ll see a folder on the left-hand side of the screen labeled “Desk Book – Foreword.” Click the triangular prompt to the left of this folder to see the list of 17 chapter folders.
Clicking each chapter folder will bring up that chapter’s contents on the right-hand side of the screen. Double-click the content you’re interested in to bring up a screen that allows you to view or download the chapter or form that you’ve double-clicked.
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Sophisticated construction projects often require engaging many professionals whose services are all interconnected and critical to the overall success of the project. Sometimes a design produced by architects and engineers will prove to be flawed, thereby delaying the project as a whole. Such flaws and delays can result in the builder being incapable of completing the project within the specific timeframe designated in the builder’s contract with the property owner and in this event, the property owner may be entitled to terminate the builder for breach of contract.
If a builder is terminated by the property owner in this scenario, does the builder have enforceable claims against the architects and engineers? What if the builder does not have a direct contract with those professionals, or did not have a valid general contractor license at the time work commenced on the project? According to a recent decision from the North Carolina Court of Appeals, the answer is yes, so long as those claims are solely based in common law negligence.
https://ncbarblogprod.wpengine.com/wp-content/uploads/2018/06/Blog-Header-1-1030x530.png00Constructionhttps://ncbarblogprod.wpengine.com/wp-content/uploads/2018/06/Blog-Header-1-1030x530.pngConstruction2021-01-15 10:14:382021-01-15 10:18:05Court of Appeals Rules on the Application of the Licensure Defense in Tort Claims
We’ve all been there: you’ve been mediating all day, it’s 5:30 p.m. (or later), the parties just (finally) came to terms, and everyone is ready to go home. The mediator whips out a form, jots down the basic terms of the settlement, and hands you the form. You reach for your pen, and then ask yourself, “Shouldn’t my client be the one signing this?” Considering the increase in remote mediations since the start of the pandemic, there’s a good chance you and your client aren’t even together in the same room — or the same state. So do you sign? The North Carolina Court of Appeals just answered that question for you. After the decision in Mitchell v. Boswell, No. COA19-1077, 2020 WL 6437278 (N.C. Ct. App. Nov. 3, 2020), your client should definitely be the one signing the form.
https://ncbarblogprod.wpengine.com/wp-content/uploads/2018/06/Blog-Header-1-1030x530.png00Constructionhttps://ncbarblogprod.wpengine.com/wp-content/uploads/2018/06/Blog-Header-1-1030x530.pngConstruction2020-12-09 09:04:432020-12-09 09:11:02Don't Sign on the Dotted Line – Unless You're the Client
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