Alert: Fraudulent Notice of Nonpayment Defense Applies to Payment Bond Claims
April 27, 2026 —
David Adelstein - Florida Construction Legal UpdatesUnder Florida’s Lien Law, there’s an affirmative defense or affirmative claim known as a “
fraudulent lien.” The fraudulent lien defense or claim is set out in Florida Statute s. 713.31. This defense also extends to payment bond claims, whether under a private statutory payment bond (Florida Statute s. 713.23) or a public payment bond (Florida Statute s. 255.05), as it pertains to the notice of nonpayment. A notice of nonpayment needs to be served within 90 days from final furnishing to preserve a claimant’s rights against the bond. However, there really has not been a case, until now, that discusses a “fraudulent notice of nonpayment.”
In K&M Electric Supply, Inc. v. Brown Electrical Solutions, LLC, 51 Fla.L.Weekly D672a (Fla. 4th DCA 2026), a prime contractor and surety prevailed at the trial level on their fraudulent notice of nonpayment defense based on a supplier’s notice of nonpayment and action against a public payment bond (under Florida Statute s. 255.05).
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David Adelstein, Kirwin NorrisMr. Adelstein may be contacted at
dma@kirwinnorris.com
Congratulations to BWB&O’s Orange County Team for Securing a Strong MSJ Result in a Residential Gas Explosion Matter!
May 14, 2026 —
Dolores Montoya - Bremer Whyte Brown & O'Meara LLPHuge Congratulations to Partner
Kevin Wheeler and Associate
Lindsey Wells for securing a strong result on a Motion for Summary Judgment / Summary Adjudication filed on behalf of their client, the City of Murrieta. This was a complex, multi-party matter arising from a residential gas leak and explosion, where Plaintiffs alleged the City and MFPD failed to properly respond to the incident. After multiple complaints were consolidated and extensive defense work narrowed the case, eighteen plaintiffs remained asserting five causes of action against the City, prompting a comprehensive MSJ/MSA targeting liability, causation, and damages.
The Court’s ruling reflects a significant win, particularly on the immunity framework. The Court eliminated the core negligence and assumed-duty claims arising from fire protection and emergency response activities. It further disposed of the misrepresentation and public nuisance claims. At the end of the day, three plaintiffs were dismissed entirely for failure to comply with Government Claims Act requirements, further reducing the scope of the case. While the dangerous condition claim remains, it does so in a very limited posture.
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Bremer Whyte Brown & O'Meara LLP
The Single Source of Truth in Construction Projects: Reality or Myth?
March 24, 2026 —
Aarni Heiskanen - AEC BusinessThe idea of a single source of truth has been a fundamental part of the digital vision in the AEC industry for many years. From centralized CAD storage to BIM collaboration platforms and, more recently, Common Data Environments, the goal stays the same. Project teams want a reliable place where everyone can access the latest information.
The phrase “single source of truth” comes from database and information management practices in the IT world, where the goal was to maintain one authoritative record of data and eliminate data redundancy. As the AEC industry began adopting digital tools, the same idea was applied to project information and workflows.
Despite decades of technological progress, the question remains whether “one ring that rules them all” can actually be implemented in real construction projects.
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Aarni Heiskanen, AEC BusinessMr. Heiskanen may be contacted at
aec-business@aepartners.fi
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.
The Goal Is the Repair, Not the Lawsuit: What Colorado HOA Boards Should Consider Before Suing a Builder
September 08, 2026 —
Gail Gudder - Colorado Construction Litigation BlogFourteen years ago, we cautioned Colorado homeowners associations against a “ready, fire, aim” approach to construction-defect litigation. In
The Hidden Dangers of Construction Defect Litigation, we suggested a fairly simple proposition: when legitimate construction defects exist, the goal should be to get them repaired. Litigation should be a last resort, not an end in itself.
Much has changed in Colorado construction-defect law since then. But a recent Douglas County case, and significant amendments to the Colorado Common Interest Ownership Act (“CCIOA”) enacted in 2025, provide good reasons for HOA board members and owners to revisit that basic premise.
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Gail Gudder, Higgins, Hopkins, McLain & Roswell, LLCMs. Gudder may be contacted at
gudder@hhmrlaw.com
Powering Data Centers in a Moving Regulatory Landscape: Positioning Deals Before FERC’s Next Move
April 27, 2026 —
Stephen J. Humes, Alicia M. McKnight & Andrew H. Jacobs - Gravel2Gavel Construction & Real Estate Law BlogThe explosive growth of data‑center load—driven by artificial intelligence, cloud computing and the expansion of digital infrastructure across industries—has forced U.S. energy regulators into unfamiliar territory. Nowhere is this more evident than at the Federal Energy Regulatory Commission (FERC), which is actively considering how large, concentrated loads can be powered without compromising grid reliability or shifting costs to other customers.
FERC has not yet issued a standalone rulemaking on data centers. But make no mistake, the regulatory framework is quietly and deliberately being built. For developers, hyperscalers, utilities and investors, the period before FERC finalizes its next round of decisions represents the critical window to crystallize advocacy and structure transactions in ways that anticipate regulatory change.
Reprinted courtesy of
Stephen J. Humes, Pillsbury,
Alicia M. McKnight, Pillsbury and
Andrew H. Jacobs, Pillsbury
Mr. Humes may be contacted at stephen.humes@pillsburylaw.com
Ms. McKnight may be contacted at alicia.mcknight@pillsburylaw.com
Mr. Jacobs may be contacted at andrew.jacobs@pillsburylaw.com
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Construction Attorneys: Contract Negotiation Strategy
September 01, 2026 —
Construction ExecutiveContract negotiation is where project expectations become enforceable business obligations. A reasonable bid can become a high-risk agreement when the final contract expands the scope, shortens notice periods, limits payment rights or transfers liability that was never included in the price. Construction attorneys help project leaders identify those consequences before execution.
Their role is not to eliminate every risk or prolong negotiations. It is to determine which risks can be controlled, insured, priced, shared or rejected while preserving a workable deal. The financial stakes can be substantial.
HKA's 2025 analysis of more than 2,200 distressed construction and engineering projects found that disputed costs averaged 33.4% of contract budgets. Scope changes affected more than 28% of the projects studied and remained the most common cause of conflict. In North America,
the average dispute studied by Arcadis in 2024 had a value of $60.1 million and took 12.5 months to resolve.
Reprinted courtesy of
Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
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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