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Construction Litigation Blog

Our blog is your one-stop-shop for the latest insights, information and legal developments affecting the construction industry.

Construction Litigation Blog
June 18, 2019

Liens and Bonds: Bad Things Happened, Then Good Things Happened

In 2016, bad things happened to the lien rights of subcontractors and suppliers in Missouri because of a bad court decision.  Then in 2019, American Subcontractors Association (ASA) and its industry partners made good things happen in the legislature with the passage of a favorable law to overcome the bad court decision. The problem started when the Supreme Court of Missouri unexpectedly ruled that a subcontractor had neither a bond claim nor a mechanic’s lien claim against the real estate owned by a county but leased by it to a private entity to be used by that entity as its corporate headquarters.

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Construction Litigation Blog
June 5, 2019

Legislative Reprieve for Illinois Contractors

HB2838, which would have made primary contractors jointly liable for the wages & benefits of their subcontractor’s employees, even if the primary contractor had paid the subcontractor in full, has been held from consideration in the Illinois State Senate in the final days of spring session. Senate Bill Sponsor, Laura Fine (D-Glenview) sent word on May 30th to all stakeholders of HB2838 that an amendment would be filed that would remove some of the controversial issues supported by the Carpenters Unions and the American Federation of Labor and Congress of Industrial Organization (AFL-CIO),

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Construction Litigation Blog
February 25, 2019

Review the Obvious

Construction business owners know the construction field has more than its fair share of liability risk. Prudence dictates an occasional review of the obvious in monitoring and managing a construction business, in order to make sure basic liability protections are in place to minimize the inherent risks. Owners’ personal assets will be exposed to risks in the construction business unless the business is operated as either a corporation, which can be a C corporation or S corporation for tax purposes, validly formed and in good standing under state law, or a limited liability company (LLC), which can be a disregarded entity if one member or owner, C corporation or partnership for tax purposes.

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Construction Litigation Blog
January 1, 2019

Subcontractor Win in Illinois

The Illinois Supreme Court rendered a very important decision on December 28th impacting the real estate and construction industry. In Sienna Court v. Champion Aluminum, the Court determined that the purchaser of a newly constructed home may NOT assert a claim for breach of an implied warranty of habitability against a subcontractor who took part in the construction of the home, where the subcontractor had no contractual relationship with the purchaser.

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Construction Litigation Blog
December 6, 2018

Developer Win in Missouri

The Missouri Public Service Commission has entered a ruling which supports development in Missouri. Under its ruling, Missouri developers will not be required to pay a tax that investor-owned water and sewer utilities are now required to pay, as a result of a change made to the federal tax code by the 2017 Tax Cut and Jobs Act, on infrastructure that is contributed to them. Under a prior tariff that had been in effect in Missouri, developers were required to pay such taxes for investor-owned utilities. One developer of which we are aware was being asked to pay more than $300,000 in tax on a 66 lot development.

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