KARNAK ILLINOIS CONSTRUCTION EXPERT WITNESS
DIRECTORY AND CAPABILITIES

Arizona Court Enters $323 Million Judgment Against ZOM Living Following Unanimous Jury Verdict

May 26, 2026 — Gray Development Group
PHOENIX, 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.

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Utah’s Emerging Framework for Responsible Data Center Development

September 08, 2026 — Denise A. Dragoo & Josh Miller - Snell & Wilmer
Utah is establishing itself as one of the nation’s most attractive jurisdictions for large-scale data center development, with a structured, defensible regulatory pathway that gives developers and investors the clarity needed to deploy capital at scale. The cornerstone is Executive Order 2026-03, “Establishing a Higher Bar for Data Center Development in Utah,” signed by Governor Spencer J. Cox on May 29, 2026. The Executive Order creates an actionable compliance framework letting developers demonstrate stewardship across water, air quality, energy, wildlife, and community engagement – reducing regulatory and reputational risk. Recent enactments on energy self-supply and water rights operationalize these principles, while a few counties have adopted short-term local moratoria to update zoning; understanding how these interact with the state framework matters for site selection. Reprinted courtesy of Denise A. Dragoo, Snell & Wilmer and Josh Miller, Snell & Wilmer Ms. Dragoo may be contacted at ddragoo@swlaw.com Mr. Miller may be contacted at jmiller@swlaw.com Read the full story...

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How AEC Firms Move AI Beyond the Pilot

July 27, 2026 — Aarni Heiskanen - AEC Business
Most AEC firms can run an AI pilot, but few can scale it. Enthusiasm for a first experiment rarely extends beyond the pilot team, leaving the pilot as an isolated win that never changes how the company works. In a recent AEC Business Podcast episode, Adeline Chan, CEO and co-founder of Hong Kong-based AAL Innovation, explained why that gap exists and what separates the firms that close it from those that stall. The Pilot Mindset that Holds Construction Back Adeline draws a sharp contrast between finance and construction. Banks cannot afford to fall behind their competitors, so they pilot constantly, sometimes running hundreds of proof-of-concept teams in parallel and letting them compete internally to identify the approach that works. The winning concept becomes the standard and scales across the organization, and the return on investment is measured in undeniable numbers. Read the full story...
Reprinted courtesy of Aarni Heiskanen, AEC Business
Mr. Heiskanen may be contacted at aec-business@aepartners.fi

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Presumption of Prejudice Applies to All Affirmative Defenses Regarding Insured’s Failure to Comply with Post-Loss Policy Conditions

June 23, 2026 — David Adelstein - Florida Construction Legal Updates
n a recent property insurance coverage dispute, an issue on appeal pertained to the “prejudice” jury instruction associated with the insured’s failure to comply with post-loss policy conditions. The trial court found that the prejudice only pertained to prompt notice and not other post-loss policy conditions. This was reversed on appeal as prejudice applied to ALL the post loss policy conditions that the insured failed to comply with, not just the prompt notice requirement. The prejudice presumption applies to all affirmative defenses regarding an insured’s failure to comply with post-loss policy conditions. Consider this discussion when dealing with an insurer raising prejudice as an affirmative defense to do an insured’s failure to comply with post-loss policy conditions, and the associated burdens of proof: On appeal, [the insurer] contends the trial court erred by instructing the jury that the presumption of prejudice was inapplicable to all of its post-loss obligation defenses except prompt notice. We agree. Read the full story...
Reprinted courtesy of David Adelstein, Kirwin Norris
Mr. Adelstein may be contacted at dma@kirwinnorris.com

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Appeals Court Upholds Skanska, Granite Win in ‘I-4 Ultimate’ JV Dispute

June 15, 2026 — Bryan Gottlieb - Engineering News-Record
A federal appeals court has upheld a lower court’s decision requiring The Lane Construction Corp. to pay roughly $79 million in damages, plus interest, to joint venture partners Skanska USA Civil Southeast and Granite Construction for work on Florida’s I-4 Ultimate highway megaproject in Orlando, which was completed in 2022. Read the full story...
Reprinted courtesy of Bryan Gottlieb, Engineering News-Record
Mr. Gottlieb may be contacted at gottliebb@enr.com

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California Poised for the Most Significant Residential Construction Defect Reforms in Decades

September 01, 2026 — Thomas D. Fama & Andrew J. Mallon - Wood Smith Henning Berman
The California Legislature is considering legislation that would dramatically alter the landscape of residential construction defect litigation. Assembly Bill 1903, currently pending before the Senate Judiciary Committee, proposes extensive amendments to California's Right to Repair Act (Civil Code sections 895-945.5) that would substantially strengthen procedural protections for builders while narrowing the scope of recoverable construction defect claims. If enacted, the legislation would affect virtually every stage of a construction defect dispute- from the initial notice of claim through litigation and settlement- and would introduce an entirely new certification process for newly constructed condominium projects. This article details some of the most significant proposed changes. Higher Burden for Construction Defect Plaintiffs Perhaps the most consequential change is the bill's modification of the proof required to establish liability. current law generally requires a claimant to demonstrate the residence fails to satisfy one of the statutory performance standards established under the Right to Repair Act. AB1903 would instead require claimants to establish three separate elements:

• A violation of an applicable statutory performance standard;
• The violation caused appreciable, present, non-speculative physical damage to another building component; and
• The violation resulted from the original construction.

Reprinted courtesy of Thomas D. Fama, Wood Smith Henning Berman and Andrew J. Mallon, Wood Smith Henning Berman Mr. Fama may be contacted at tfama@wshblaw.com Mr. Mallon may be contacted at amallon@wshblaw.com Read the full story...

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Oracle's $16B Michigan Data Center Secures Financing as Power Contracts Face Appeals

June 08, 2026 — Bryan Gottlieb - Engineering News-Record
A $16 billion hyperscale data center under construction outside Ann Arbor, Mich., has secured financing backed by Blackstone and other institutional investors, even as the project's power supply agreements now face a legal challenge before the Michigan Court of Appeals. Read the full story...
Reprinted courtesy of Bryan Gottlieb, Engineering News-Record
Mr. Gottlieb may be contacted at gottliebb@enr.com

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Understanding the EPA’s Latest Proposed Drinking Water Contaminant Monitoring Rule, Published in Law360

September 01, 2026 — Gordon Rees Scully Mansukhani
The U.S. Environmental Protection Agency’s (EPA) proposed Sixth Unregulated Contaminant Monitoring Rule (UCMR 6) represents another step in the federal government’s ongoing effort to identify and evaluate emerging contaminants in drinking water. The proposal would require certain public water systems to monitor and report on 30 unregulated drinking water contaminants from 2028 through 2030, while generating occurrence data that could inform future regulation and affect environmental, commercial, litigation and risk assessments. In an article published by Law360, Gordon Rees Scully Mansukhani Senior Counsel, Ayodeji Ayolola, analyzes the scope and practical implications of UCMR 6, including the contaminants selected, the proposed monitoring requirements for public water systems, and the EPA’s continued focus on PFAS and related organofluorine compounds. The article also touches upon the potential significance of publicly available monitoring data for businesses and property stakeholders. Read the full story...
Reprinted courtesy of Gordon Rees Scully Mansukhani

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