California’s Retention Reform on Private Construction Projects
February 17, 2026 —
Michael McKeeman - The Construction SeytRetention has long been a contentious issue in California construction. Traditionally, owners withheld retention of 10% from each progress payment until completion, arguing it was necessary to ensure performance, quality and timely delivery. Contractors and subcontractors, however, often struggled with cash flow, payroll, and material costs while waiting months—sometimes even years—for withheld retention.
Recognizing the financial challenges contractors and subcontractors face, the California legislature passed Senate Bill 61 (“SB 61”), now codified under California Civil Code Section 8811 and effective January 1, 2026, limiting retention to 5% on private works of improvement, aligning with the public works standard in place since 2012. The law’s intent is clear—ease financial strain on contractors and subcontractors while still providing owners with security (albeit reduced) with respect to project completion.
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Michael McKeeman, SeyfarthMr. McKeeman may be contacted at
Segal McCambridge Recognized in 2026 Chambers USA Rankings
June 15, 2026 —
Segal McCambridgeLos Angeles, CA, June 8, 2026 -
Segal McCambridge is pleased to announce that the firm has been recognized as a leader by Chambers USA in California. The firm is listed in the Chambers-ranked department, receiving a
Band 5 ranking for construction in California. The ranking further reinforces the firm's commitment to supporting California's construction market, from owners to developers and contractors, in high-stakes disputes statewide.
"Chambers' research-driven process and independence make this acknowledgment especially meaningful. We're proud of this ranking and grateful to our clients and colleagues whose consistent trust and collaboration make our work possible," said Jason P. Eckerly, Managing Shareholder of Segal McCambridge.
Chambers and Partners is widely regarded as one of the legal industry's most respected and independent ranking organizations. Operating across 200 jurisdictions and relied on in more than 70 countries, Chambers has, since 1990, conducted rigorous research to identify leading lawyers and law firms through a methodology that combines analysis of firm capability, achievement, and market presence through interviews and assessment of recent matters across more than 1,400 U.S. ranking tables, covering all 50 states, Washington, DC, and nationwide.
About Segal McCambridge
Segal McCambridge has built a reputation as a national law firm of accomplished trial attorneys for almost four decades. Founded in 1986, the firm has grown from a four-lawyer shop in Chicago to a firm with more than 20 offices nationwide. The firm routinely counsels and defends clients, including Fortune 500 companies, corporations, and individuals, across the United States in complex litigation matters, including, but not limited to: asbestos, class action, construction, employment, environmental, food and beverage, insurance coverage and bad faith, life sciences, product liability, professional liability, technology and cyber risk, transportation, and warranty. For more information, visit: www.segalmccambridge.com.
Insurer Dispenses with Bad Faith Claim on Summary Judgment
June 22, 2026 —
Tred R. Eyerly - Insurance Law HawaiiThe court granted the insurer’s motion for partial summary judgment because the insured failed to present evidence that the insurer failed to conduct a reasonable investigation. PSY Burger, LLC v. State Farm General Insurance Company, 2026 U.S. Dist. LEXIS 66991(C.D. Cal. March 20, 2026).
The insured’s commercial property suffered heavy damage from tropical storm Hilary. State Farm denied coverage to repair the damage. The insured sued State Farm alleging breach of contract and bad faith due to an inadequate investigation. Apparently, the insured did not retain an expert to opine on claims handling.
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
Insurer Granted Summary Judgment on Claim for Roof Damage Caused by Windstorm
May 26, 2026 —
Tred R. Eyerly - Insurance Law HawaiiThe insurer successfully moved for summary judgment, eliminating the insured’s claim for roof damage due to windstorm. Mulas v. Westchester Surplus Lines Ins. Co., 2026 U.S. Dist. LEXIS 20537 (Jan. 30, 2026).
The insureds’ commercial property sustained windstorm damage during Hurricane Ian. Westchester denied the claim. The insureds believed Westchester wrongfully denied coverage for roof damage and various interior damage to property. The insureds also argued that Westchester’s actual cash value (ACV) payment did not reflect the fully insured loss.
The insureds sued and Westchester moved for summary judgment. Westchester argued the roof damage was not covered because Hurricane Ian did not cause the damage. Westchester hired an engineer who determined the roof damage was not caused by wind from Hurricane Ian. Westchester pointed out that the insureds’ expert also found no wind damage on the roof. The insureds offered no other evidence suggesting the hurricane caused roof damage. Therefore, the insureds could not show that Westchester breached the policy by denying coverage.
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
Seattle’s Residential Zoning Transformation: What Property Owners, Buyers, and Investors Should Understand
May 14, 2026 —
Lawrence S. Glosser - Ahlers Cressman & Sleight PLLCSeattle is in the midst of a significant transformation in residential land use policy. Longstanding neighborhood zoning patterns that historically favored detached single-family development are being reexamined in response to housing supply pressures, affordability concerns, and evolving state mandates.
For homeowners, purchasers, investors, and builders, these changes may create substantial new opportunities. They also create a heightened need for careful legal and practical due diligence.
While zoning reform can expand potential uses of property, it does not eliminate the many other constraints that may still govern what can actually be built.
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Lawrence S. Glosser, Ahlers Cressman & Sleight PLLCMr. Glosser may be contacted at
larry.glosser@acslawyers.com
Structuring Water Resilience for Data Center Development: Water Rights, Reuse Incentives, and Emerging Disclosure Risk
March 10, 2026 —
Ashleigh Myers, Jillian Marullo & Jason Drogin Atwood - Gravel2Gavel Construction & Real Estate Law BlogAs AI-driven data center development accelerates, developers, communities and regulators are increasingly focused on water demand—both the volume required and the sources from which that water will be drawn. While industry attention has largely centered on electricity procurement and grid impacts, the availability and legal entitlement to a firm water supply has become equally material to siting, permitting and community acceptance. Particularly as surface and groundwater supplies become increasingly constrained and new projects are sited in regions experiencing tighter hydrologic conditions or growth-related supply constraints, project teams are increasingly integrating water supply analysis into early-stage development to address issues that can materially affect schedule, financing and long-term operations.
Reprinted courtesy of
Ashleigh Myers, Pillsbury,
Jillian Marullo, Pillsbury and
Jason Drogin Atwood, Pillsbury
Ms. Myers may be contacted at ashleigh.myers@pillsburylaw.com
Ms. Marullo may be contacted at jillian.marullo@pillsburylaw.com
Mr. Atwood may be contacted at jason.atwood@pillsburylaw.com
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Data Center Construction and the AEC Partner of the Future
April 14, 2026 —
Aarni Heiskanen - AEC BusinessDuring my involvement in designing mobile phone production facilities, the speed of design and construction was critical. Any delay could directly translate into lost revenue. That same logic now applies to data centers, though the stakes are much higher. Instead of optimizing physical production lines, we are constructing infrastructure for digital production.
The global data center capacity is expected to nearly double by 2030, and with this level of demand, the traditional project-by-project delivery model begins to show its limitations.
Data centers are no longer isolated projects in the traditional sense. They are evolving into repeatable, scalable production systems, making them ideal environments for AEC process and business model innovation.
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Aarni Heiskanen, AEC BusinessMr. Heiskanen may be contacted at
aec-business@aepartners.fi
High-Rise Design and Construction: Then, Now, and Next
March 16, 2026 —
Aarni Heiskanen - AEC BusinessThe Empire State Building was built in 14 months. Since 2010, the average completion time for a 200-meter-plus building has increased from
4.3 to 5.8 years. Buildings have become more complex, and there's more regulation than in the 1930s. Still, there are ways to make high-rise construction more efficient.
An Unlikely Benchmark From 1930
When construction began on the Empire State Building on March 17, 1930, the world was in the midst of the Great Depression. That turned out to be an advantage. Contractors Starrett Brothers & Eken had access to a vast, motivated workforce, peaking at 3,439 workers on a single day in August 1930.
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Aarni Heiskanen, AEC BusinessMr. Heiskanen may be contacted at
aec-business@aepartners.fi