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.
Read the full story...Reprinted courtesy of
Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
How AI Turns Construction Documents Into Procurement Intelligence
May 05, 2026 —
Aarni Heiskanen - AEC BusinessMEP equipment accounts for up to 40% of costs on data center or hospital projects, has lead times ranging from 20 weeks to over a year, and has historically been the most underserved area in construction software. In
this episode, I speak with Victor Muchiri from BuildVision about what it actually takes to make AI useful in construction procurement, not as a pilot, but in production.
We dig into why you cannot simply upload a set of construction drawings to ChatGPT and trust the output. Construction documents are complex, cross-referenced, and consequential. Without deep domain context, such as manufacturer ontologies, equipment taxonomies, and engineering expertise, AI produces plausible results, not reliable ones. BuildVision’s approach is to act as a harness around AI models, wrapping them in construction-specific knowledge so the output can be trusted for real procurement decisions.
Read the full story...Reprinted courtesy of
Aarni Heiskanen, AEC BusinessMr. Heiskanen may be contacted at
aec-business@aepartners.fi
Federal Court Pauses New Mexico PFAS Labeling Rule, but Not Its Bans or Reporting Deadline
October 26, 2026 —
Ashleigh K. Myers, Jillian Marullo & Claudia Vetesi - Gravel2Gavel Construction & Real Estate Law BlogAs we
previously reported, New Mexico adopted novel product labeling requirements that would require manufacturers to display a PFAS flask symbol on covered products. Those requirements are now on hold. A coalition of industry associations led by the American Chemistry Council sued in federal court, arguing that the mandate unconstitutionally compels speech in violation of the First Amendment. On September 16, 2026, the U.S. District Court for the District of New Mexico
preliminarily enjoined enforcement of the labeling rule while the case, American Chemistry Council v. Kenney, No. 1:26-cv-02130-MIS-SCY, proceeds. The court found the challengers likely to succeed because New Mexico had not shown a reasonable fit between the label and its interests in protecting consumer health and the environment.
A Broad Rule Built Around One Symbol
New Mexico enacted its
PFAS Protection Act in April 2025, joining Maine and Minnesota as the third state to adopt broad reporting requirements and eventual sales restrictions for products containing intentionally added per- and polyfluoroalkyl substances (PFAS). The Act also authorized the Environmental Improvement Board to require PFAS labels on products. The Board’s
implementing rule, which became effective July 1, 2026, specified the exact format of the label and how it had to appear.
Reprinted courtesy of
Ashleigh K. Myers, Pillsbury,
Jillian Marullo, Pillsbury and
Claudia Vetesi, Pillsbury
Ms. Myers may be contacted at ashleigh.myers@pillsburylaw.com
Ms. Marullo may be contacted at jillian.marullo@pillsburylaw.com
Ms. Vetesi may be contacted at claudia.vetesi@pillsburylaw.com
Read the full story...
New Survey Reveals Overwhelmingly Optimistic Results on the Use of AI in Construction
May 14, 2026 —
Construction ExecutiveOn December 5, 2025,
CMiC and
Dodge released a
survey asking over 6,000 companies across various sectors of the construction industry their stance on artificial intelligence—whether they use it or not; whether they like it or not; whether they have or are planning to implement it or not; and so on. Considering its reputation for skepticism and reluctance when it comes to adopting new forms of technology, the construction industry pleasantly surprised CMiC and Dodge with its answers to these questions, with 87% of contractors believing AI will have a meaningful impact on construction.
“The research indicates the construction industry is nearing a tipping point for AI adoption,” says Steve Jones, senior director of industry insights at Dodge Construction Network, who sat down with Construction Executive to delve further into the survey questions and answers and what the industry’s current position on them means for AI’s future role in construction.
Reprinted courtesy of
Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
Read the full story...
Arizona Court Enters $323 Million Judgment Against ZOM Living Following Unanimous Jury Verdict
May 26, 2026 —
Gray Development GroupPHOENIX, May 19, 2026 /PRNewswire/ -- A Maricopa County court has entered a $323 million compensatory damages judgment in favor of Gray Development Group against ZOM Holding Inc., doing business as ZOM Living, following a 12-day trial, a unanimous jury verdict and post-trial proceedings related to a proposed business transaction.
The jury found ZOM liable on claims of breach of contract and breach of the implied covenant of good faith and fair dealing stemming from a proposed joint venture tied to a planned pipeline of luxury multifamily and commercial projects in Phoenix and Scottsdale.
The lawsuit centered on a 13-project, $1.4 billion development pipeline originated and planned by Gray Development Group over more than a decade. In 2019, Gray invited Florida-based ZOM to participate in a joint venture involving the completion of five projects, which would have marked ZOM's entry into the Arizona market.
According to court findings presented at trial, the companies entered into a mutual confidentiality and non-circumvention agreement before Gray shared extensive sensitive and proprietary information related to the projects, including planning, market analysis, costs, financial data, local business relationships and operational strategies developed by Gray over decades in Arizona.
Evidence presented during trial showed that over a 10-month period while under contract, ZOM made hundreds of requests for confidential project and market information before circumventing Gray and pursuing the projects independently, ultimately displacing Gray from projects it spent years planning and developing.
ZOM Living, headquartered in Orlando, develops multifamily and senior housing communities across the United States and operates regional offices in Boston, Dallas, Fort Lauderdale, Nashville, Phoenix, and Raleigh. ZOM is owned by Timeless Investments, the Amsterdam-based family office of Dutch businessman Hans van Veggel, which acquired the company in 1997.
About Gray Development Group
Gray Development Group was founded by architect Bruce Gray in 1991. The Phoenix-based company was the top-ranked multifamily developer in Arizona for more than a decade. The company designed and developed more than 15,000 apartment and condominium units throughout metropolitan Phoenix. Two Gray-designed developments — a Tempe midrise and a San Diego high-rise — received National Apartment Community of the Year awards.
Real Estate & Construction News Roundup (7/15/26) – The World Cup’s Effect on Commercial Real Estate, Megadeals Lift CRE Sales and Algorithmic Pricing Lawsuits Continue
July 27, 2026 —
Pillsbury's Construction & Real Estate Law Team - Gravel2Gavel Construction & Real Estate Law BlogIn our latest roundup, DOT earmarks $1.73B in BUILD grants, federal housing bill becomes law, data center surge cools off, and more!
- Data center planning cooled off month over month from “extraordinary levels” to start the summer, while other areas of construction finally picked up a little steam. (Sebastian Obando, Construction Dive)
- The U.S. Department of Transportation announced $1.73 billion in 2026 BUILD grants covering 127 projects across 50 states, Washington, D.C., American Samoa, Guam and Puerto Rico. (Joe Bousquin, Construction Dive)
- As algorithmic pricing lawsuits continue to play out around the country, more apartment owners and managers have settled. (Julie Strupp, Multifamily Dive)
Read the full story...Reprinted courtesy of
Pillsbury's Construction & Real Estate Law Team
Building the Research and Healthcare Facilities of Tomorrow Without Impacting the Progress of Today
August 16, 2026 —
Jason Tobias - Construction ExecutiveResearch labs run experiments that can’t be paused. Hospitals treat patients around the clock. Yet these same facilities constantly need upgrades—new infrastructure, modernized systems, renovated spaces—to meet the demands of twenty-first century science and medicine. The challenge for construction teams isn’t just building. It’s building without ever turning the lights off.
This unique dynamic creates an environment where construction activities are happening adjacent to sensitive testing and treatment, a complex setting where disruptions can have serious consequences.
Skanska continues to successfully navigate these challenges across multiple sectors, including from occupied lab space at the
North Carolina Department of Environmental Quality’s (NCDEQ) Reedy Creek Laboratory in Raleigh to hospital corridors alongside staff and patients in various hospital locations across the country.
Reprinted courtesy of
Jason Tobias, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
Read the full story...
Data Center Construction: Contractors Must Step Up
May 26, 2026 —
Aarni Heiskanen - AEC BusinessI attended the
Datacenter Forum 2026 in Helsinki last week. Over 400 people packed the room. Walking out, I had one overriding thought: Is construction operating in a different century from the technology it is being asked to house?
Is Our Industry on Par?
Ciarán Forde, Senior Vice President at CTS Nordics, opened the forum with a statement that set the tone for everything that followed: data centers are no longer just a technical challenge; they are a national strategy. Before AI, Ciarán had worked in telecoms, where data centers were already complex. But now, he said flatly, everything has changed, and the industry must rethink everything.
The numbers behind the claim are staggering. Current AI data center racks run at 40 to 100 kW. In three years, 800 kW per rack is on the roadmap. And the development cycle for a new chip is roughly one year, which means deployments begin aging out almost as soon as they are commissioned.
Read the full story...Reprinted courtesy of
Aarni Heiskanen, AEC BusinessMr. Heiskanen may be contacted at
aec-business@aepartners.fi
