2026 Top Business Risks for Construction and Engineering Companies
May 26, 2026 —
Darren Tasker - Construction ExecutiveThe 2026 Allianz Risk Barometer revealed some surprising findings for construction and engineering businesses. Now in its fifteenth year, this
annual business risk ranking by corporate insurer
Allianz Commercial incorporates the views of 3,338 global risk management professionals on the main perils on their radar for the year.
Survey respondents included construction and engineering risk experts who identified the threats keeping them up at night. Here is how they ranked the top industry risks for 2026:
Natural Catastrophes
Natural catastrophe risk retains the top spot, with 38% of construction and engineering respondents citing this risk as their leading concern for 2026. From the insurance perspective, economic and insured losses remained high, albeit lower than the 10-year average. The evolving nature of natural catastrophes continues to pose significant challenges to businesses and the (re)insurance industry. Insured losses from natural catastrophes are set to reach $107 billion for 2025, according to Swiss Re—the sixth year in a row they have exceeded $100 billion, while economic losses are well in excess of $200 billion.
Reprinted courtesy of
Darren Tasker, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
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Consider The Limited Warranty from Your Homebuilder
July 06, 2026 —
David Adelstein - Florida Construction Legal UpdatesWhen purchasing a home from a homebuilder, there is an important consideration when it comes to the limited warranty you receive around the time you close on the home. That limited warranty likely includes an arbitration provision requiring you to arbitrate your disputes, such as construction defect claims, against the homebuilder. That arbitration provision will most likely include all claims, including statutory claims (such as a statutory violation of a building code claim), requiring you to arbitrate, as opposed to litigate, your disputes against the homebuilder. This is an important consideration. If the arbitration provision does not allow you to arbitrate all of your claims, and eliminates your rights to legitimate statutory claims, the arbitration provision could be unenforceable.
By way of example, in a residential construction defect dispute, Anderson v. Taylor Morrison of Florida, Inc., 223 So.3d 1088 (Fla. 2d DCA 2017), the appeal turned on whether the arbitration provision in the homebuilder’s limited warranty was valid. The homeowners took possession of their home in 2009. In 2015, the homeowners served a Florida Statutes Chapter 558 notice of construction defects that included a statutory violation of a building code claim under Florida Statute §553.84. The limited warranty included an arbitration provision that specified it was the “exclusive remedy” for all disputes arising out of or related to the warranty or issues with the home and property. When read together with the warranty’s disclaimer that precluded claims not covered by the warranty “whether in contract, tort, or otherwise,” the statutory building code violation claim could not be remedied through arbitration because it fell outside the warranty’s coverage.
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David Adelstein, Kirwin NorrisMr. Adelstein may be contacted at
dma@kirwinnorris.com
Are “Financial Hardship” Damages Recoverable?
June 08, 2026 —
David Adelstein - Florida Construction Legal UpdatesIn a case out of the Civilian Board of Contract Appeals, F.O.G., LLC v. Department of the Interior, CBCA 8203, 2026 WL 1191881 (CBCA 2026) a contractor claimed damages that included “financial hardship” damages due to slow payments. The financial hardship damages included personal damages to the contractor’s president and his wife. Are these damages recoverable? Drumroll…The Board ruled that the contractor cannot recover such financial hardship damages.
As it relates the personal financial hardship damages, the Board ruled, “Neither [the contractor’s] president nor his wife are a party to this contract, are in privity of contract with [the government], or are the beneficiaries under this contract. [The contractor], therefore, cannot recover for any losses that either one has suffered individually and that [the contractor] claimed in this appeal.” F.O.G., LLC, supra.
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David Adelstein, Kirwin NorrisMr. Adelstein may be contacted at
dma@kirwinnorris.com
White and Williams LLP Attorneys Recognized as PA and DE Super Lawyers
July 06, 2026 —
White and Williams LLPWhite and Williams LLP is proud to announce that eight attorneys in the firm’s Philadelphia office and one attorney in the firm's Delaware Office have been recognized on the 2026 Super Lawyers® and Rising Star lists. This recognition highlights our attorney's exceptional legal acumen and their commitment to client service excellence.
Lawyers are selected for inclusion in Pennsylvania and Delaware Area Super Lawyers® and Rising Stars through a process that considers independent research, peer recognition and the professional achievements of attorneys from more than 70 practice areas. Approximately 2.5% of lawyers in each state are selected by the research team at Super Lawyers® to receive this honor.
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White and Williams LLP
Doctrine of Substantial Performance When It Comes to Payment
July 27, 2026 —
David Adelstein - Florida Construction Legal UpdatesA recent non-construction case touches upon the doctrine of substantial performance when it comes to payment. In this case, a club was to make two payments to secure a rapper’s attendance. The first payment was made. The second payment was made but was a few hundred dollars short of the agreed amount. The rapper did not show up. The club claimed it substantially performed its obligations. At first glance, the argument makes sense because the second payment fell only a few hundred dollars short. But that wasn’t the case when it comes to pre-commencement payment obligations:
Substantial performance applies only when the variance from the contract terms “is inadvertent or unintentional and unimportant so that the work actually performed is substantially what was called for in the contract.” However, when one party agrees to pay the other on or before a specific date, time is of the essence, and the payor is required to pay the payee on or before that date. “There is almost always no such thing as ‘substantial performance’ of payment between commercial parties when the duty is simply the general one to pay. Payment is either made in the amount and on the date due, or it is not.”
Big Gate Records, LLC v. Washington, 51 Fla.L.Weekly D1281a (Fla. 2nd DCA 2026) (internal citations omitted).
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David Adelstein, Kirwin NorrisMr. Adelstein may be contacted at
dma@kirwinnorris.com
Lost in Translation: AEC Tech’s Missing Role
May 12, 2026 —
Aarni Heiskanen - AEC BusinessI once visited a construction site where the contractor’s headquarters had commissioned a tech company to build an on-site quality-inspection application. The developer had admitted to the site engineer that they had never set foot on a construction site before. The engineer showed me what he was actually using: his own phone camera and an Excel sheet. The new app did not map to how work actually happened on site.
This is not an isolated story. The vendor builds something technically coherent but operationally disconnected. The client, somewhere up the chain, had fallen in love with the idea of the solution before anyone had built an honest business case for it.
The result is a tool that gets demonstrated at a board meeting but isn’t used in the field.
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Aarni Heiskanen, AEC BusinessMr. Heiskanen may be contacted at
aec-business@aepartners.fi
373 Snell & Wilmer Attorneys Recognized in the 2027 Edition of The Best Lawyers in America®
October 06, 2026 —
Snell & WilmerPHOENIX – Snell & Wilmer is pleased to announce that 373 of the firm’s attorneys were recently selected by their peers for inclusion in the 2027 edition of The Best Lawyers in America® including the prestigious “Lawyer of the Year” honors, and “Ones to Watch” list. Attorneys listed as Ones to Watch typically have been in practice for five to nine years.
“Lawyer of the Year” recognition is awarded to individual lawyers with the highest overall peer-feedback for a specific practice area and geographic region. Only one lawyer is recognized for each practice area and location. The following Snell & Wilmer attorneys were named 2027 “Lawyer of the Year” award recipients: Cortland P. Andrews, Troy J. Aramburu, Brian L. Blaylock, M. Lawrence Brown, Brian D. Cunningham, Michael M. Donahey, Jason Ebe, Matthew P. Fischer, Brett W. Johnson, Nathan G. Kanute, William A. Kastin, Timothy J. Kay, James D. Kilroy, Joseph A. Kroeger, Matthew L. Lalli, John F. Lomax, Anne M. Meyer, Robin L. Miskell, Patrick J. Paul, Amit D. Ranade, and M. Roxanne Veliz.
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Snell & Wilmer
Research Illuminates Pollution Problem in Tijuana River Valley
June 29, 2026 —
Jeff Yoders - Engineering News-RecordThe Tijuana River watershed between southern California and northern Mexico has been the epicenter of an environmental and public health crisis for more than two decades. Since October 2023 alone, more than 31 billion gallons of raw sewage and polluted water have flowed into the U.S. and, eventually, the Pacific Ocean.
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Jeff Yoders, Engineering News-RecordMr. Yoders may be contacted at
yodersj@enr.com