USDOT’s DBE Interim Final Rule: How It Affects Current and Out-to-Bid DOT and Airport Projects
June 15, 2026 —
Zachary F. Jacobson - The Construction SeytIn our April 16, 2026 post, we discussed the U.S. Department of Transportation’s Interim Final Rule (IFR) concerning Disadvantaged Business Enterprise (DBE) and Airport Concession Disadvantaged Business Enterprise (ACDBE) certification, specifically as it concerns transportation and airport projects in California.
This post addresses a broader question: What does the IFR mean for current and out-to-bid DOT projects operating under pre-existing DBE goals? The answer is that the IFR did more than change who qualifies as a DBE. It also changed how federally funded transportation and airport projects must be handled during the re-evaluation period. This affects active contracts, pending procurements, airport projects, design-build teams, and anyone relying on old assumptions about DBE goals and counting of DBE and ACDBE credit.
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Zachary F. Jacobson, Seyfarth Shaw LLPMr. Jacobson may be contacted at
zjacobson@seyfarth.com
A Customized Approach to Data Center Construction
June 29, 2026 —
James P. Bobotek, Arielle L. Murphy & Robert A. James - Gravel2Gavel Construction & Real Estate Law BlogData center construction projects are, to put it mildly, distinct. They differ from traditional construction in a host of manners, and are particularly distinctive because the value of the facility depends on unique measures of performance. A center that cannot meet uptime, cooling, redundancy or connectivity standards will not achieve its mission, whether or not the structure itself meets standard industry contract-form “substantial completion” or “mechanical completion” definitions.
Owners, developers, lenders, operators and hyperscalers—especially hyperscalers!—want it all. They seek favorable and stable pricing, accelerated delivery and sophisticated components, all of which are evolving in “real project time.” Standard construction contract forms deserve extensive modifications to align clauses with expectations, with a heightened focus on systems integration, commissioning, and allocation of special risks. This article details customized considerations for drafting, negotiating and administering data center design and construction agreements.
Reprinted courtesy of
James P. Bobotek, Pillsbury,
Arielle L. Murphy, Pillsbury and
Robert A. James, Pillsbury
Mr. Bobotek may be contacted at james.bobotek@pillsburylaw.com
Ms. Murphy may be contacted at arielle.murphy@pillsburylaw.com
Mr. James may be contacted at rob.james@pillsburylaw.com
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AI Adoption in Construction: A UK Practitioner’s View
April 20, 2026 —
Aarni Heiskanen - AEC BusinessI recently talked with
Chris Brady, an AI adoption consultant based in Birmingham, UK, who has spent 18 years working in construction. Two years ago, he began integrating AI into his work with contractors and SMEs, initially as an add-on service, and it has since become his main business.
Chris now runs
Metrix, an AI consultancy focused on UK construction companies, alongside two other ventures: Trade Upskill, an education platform for construction professionals, and ctrldash.ai, a compliance-automation SaaS for construction SMEs, both of which are soon to launch.
What struck me most in our conversation was how grounded his approach is, built on years of direct industry experience rather than arriving from outside with a technology solution looking for a problem.
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Aarni Heiskanen, AEC BusinessMr. Heiskanen may be contacted at
aec-business@aepartners.fi
The Grenfell & Champlain Towers: Risk Management Considerations in the Wake of Catastrophic Loss — A UK/US Comparison
June 02, 2026 —
Eric M. Clarkson - Saxe Doernberger & Vita, P.C.1. Introduction
As part of the multinational collaborative relationship between Saxe Doernberger & Vita, P.C. and Fenchurch Law, we continually find ourselves in conversations about the sometimes subtle but sometimes drastic differences between risk management and coverage considerations from one country to the next. These differences are often highlighted by the fallout from large catastrophic losses that are widely publicized and illuminate sometimes widespread risks and perils that many others may be facing in the coming years.
The response of governments and their subdivisions to the needs of victims and/or commercial parties, and insurance markets’ evaluation of and reactions to catastrophic losses vary widely from country to country and jurisdiction. In this article, we discuss these responses and reactions in the cases of the Grenfell Tower Fire in London, England, and the Champlain Tower collapse in Surfside, Florida, within the United States. These two widely publicized losses involved different risk management and insurance considerations based on where they occurred. They also saw substantially different government responses and raised varied questions about what the next steps are for their respective commercial and insurance markets.
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Eric M. Clarkson, Saxe Doernberger & Vita, P.C.Mr. Clarkson may be contacted at
EClarkson@sdvlaw.com
The Deadline to File Suit on a Public Works Payment Payment Bond is Triggered by a Claimant’s Work on a Project Not by a Claimant’s Work Under a Contract
June 02, 2026 —
Garret D. Murai - California Construction Law BlogCalifornia law requires that prime contractors furnish a payment bond – providing for payment to lower-tiered subcontractors and suppliers – on state and local public works projects with a value in excess of $25,000. There are three conditions that must be satisfied when a claimant makes a claim against a payment bond on a public works project in California:
- First, generally, the claimant must have served a preliminary notice, unless the claimant is a first-tier subcontractor or supplier;
- The claimant must have “ceased to provide work” on the project; and
- The claimant must file suit against the payment bond no later than six (6) months after the period in which a stop payment notice must be given or, in other words, the earlier of 270 days after completion of the public works project or 210 days after a notice of completion or cessation was recorded on a public works project.
In
Tarlton & Sons, Inc. v. Great American Insurance Company, 111 Cal.App.5th 376 (2025), the 2nd District Court of Appeal examined whether a subcontractor timely filed a claim against a payment bond when a prime contractor was terminated and replaced by another prime contractor who the subcontractor continued to perform work for.
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Garret D. Murai, Nomos LLPMr. Murai may be contacted at
gmurai@nomosllp.com
Real Estate & Construction News Roundup (6/24/26) – HUD to Fund AI Grants, Luxury Hotel Deal Investment Activity to Surge, ESPCs to Fund Energy and Infrastructure Improvements
July 06, 2026 —
Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law BlogIn our latest roundup, data centers are exposed to climate change, commercial tenant sues CoStar, cities see opportunities in emerging sports markets, and more!
- With deferred maintenance growing and capital dollars stretched thin, local governments are using ESPCs to fund energy and infrastructure improvements through future operational savings. (Vicky Uhland, Construction Dive)
- The U.S. Department of Housing and Urban Development is offering up to $3 million in grants for local governments to deploy automated permitting and building code systems. (Ryan Kushner, Construction Dive)
- Luxury hotel deals are set to see a surge in investment activity due to strong fundamentals and strengthening capital markets. (Noor Adatia, Hotel Dive)
Read the full story...Reprinted courtesy of
Pillsbury's Construction & Real Estate Law Team
“The Superintendent Told Us to Do It:” Why Verbal Approval May Not Be Enough
June 02, 2026 —
Andrew Lintner - Colorado Construction Litigation BlogIn construction defect litigation, one scenario appears repeatedly: a subcontractor installs work in a manner that differs from the plans, specifications, manufacturer instructions, or industry standards after being verbally directed to do so by the general contractor, superintendent, architect, or owner’s representative.
At the time, the decision may seem minor. The project is moving quickly, the field team wants to maintain progress, and nobody wants to stop working over what appears to be a small issue. The subcontractor may trust the superintendent or project manager and assume the conversation will be remembered later if questions arise.
Years later, however, when the project experiences problems, the people involved may deny the conversation occurred, remember it differently, or simply no longer remember the project. Without written documentation, the subcontractor can find itself defending claims for defective work, even though it performed the installation exactly as directed.
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Andrew Lintner, Higgins, Hopkins, McLain & Roswell, LLCMr. Lintner may be contacted at
alintner@hhmrlaw.com
No Bad Faith Despite Insurer’s Appraisal Award Exceeding Initial Payment
August 03, 2026 —
Tred R. Eyerly - Insurance Law HawaiiThe federal district court granted the insurer’s motion for summary judgment, finding no bad faith despite the appraisal award exceeding the amount the insurer initially paid. Jazi Kat 4659 Rockridge LLC, et al. v. Travelers Cas. Ins. Co. of Am., et al., 2026 U.S. Dist. LEXIS 105634 (D. Ariz. May 13, 2026).
Plaintiffs sued Travelers for breach of contract and bad faith, alleging that Travelers failed to pay money plaintiffs were owed under the policy. Plaintiffs held a commercial property policy for two properties. A fire destroyed one of the properties. Travelers adjusted the claim and issued two payments. Plaintiffs disagreed with the amount of the payments and demanded an appraisal. Travelers agreed to the appraisal.
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com