USDOT’s DBE Interim Final Rule: How It Affects Current and Out-to-Bid DOT and Airport Projects
June 15, 2026 —
Zachary F. Jacobson - The Construction SeytIn our April 16, 2026 post, we discussed the U.S. Department of Transportation’s Interim Final Rule (IFR) concerning Disadvantaged Business Enterprise (DBE) and Airport Concession Disadvantaged Business Enterprise (ACDBE) certification, specifically as it concerns transportation and airport projects in California.
This post addresses a broader question: What does the IFR mean for current and out-to-bid DOT projects operating under pre-existing DBE goals? The answer is that the IFR did more than change who qualifies as a DBE. It also changed how federally funded transportation and airport projects must be handled during the re-evaluation period. This affects active contracts, pending procurements, airport projects, design-build teams, and anyone relying on old assumptions about DBE goals and counting of DBE and ACDBE credit.
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Zachary F. Jacobson, Seyfarth Shaw LLPMr. Jacobson may be contacted at
zjacobson@seyfarth.com
Parking Garage Partially Collapses in Dearborn, Mich., Trapping One
March 31, 2026 —
Annemarie Mannion - Engineering News-RecordA multi-level parking garage that partially collapsed in Dearborn, Mich., is fenced off and the city has started the legal process allowed under state law to demolish the privately-owned structure due to alleged dangerous conditions.
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Annemarie Mannion, Engineering News-RecordMs. Mannion may be contacted at
manniona@enr.com
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.
The Modern Nuclear Renaissance Reaches New England
April 14, 2026 —
Stephen J. Humes - Gravel2Gavel Construction & Real Estate Law BlogOn March 31, 2026, the governors of all six New England states issued a joint, bipartisan statement committing the region to explore deployment of advanced nuclear energy technologies while supporting the continued safe, affordable and reliable operation of New England’s existing nuclear generation facilities. This coordinated regional initiative follows a major policy announcement in June 2025 by New York Governor Kathy Hochul directing the New York Power Authority to pursue development of at least 1,000 MW of advanced nuclear generation to support statewide reliability needs and New York’s zero‑carbon mission. Less than one year after New York formally embraced a modern nuclear renaissance, that renaissance has now expanded across the New England states—signaling a broader Northeast regional pivot toward nuclear as a core element of long‑term reliability, affordability and decarbonization strategies. For utilities and power generators, this shift creates both opportunities and planning imperatives that warrant immediate attention.
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Stephen J. Humes, PillsburyMr. Humes may be contacted at
stephen.humes@pillsburylaw.com
Newmeyer Dillion Ranked in Chambers Spotlight California 2026 Guide
May 26, 2026 —
Newmeyer DillionNEWPORT BEACH, Calif. – May 14, 2026 - Prominent business and real estate law firm Newmeyer Dillion has been ranked in Chambers Spotlight California 2026 guide and recognized as a leading firm in Litigation: General Commercial for Orange County.
Newmeyer Dillion was selected based on an independent and in-depth market analysis, coupled with an assessment of the firm’s experience, expertise and caliber of talent where the firm stood out for its exceptional work and is recognized in Litigation: General Commercial.
Managing Partner Paul Tetzloff expressed the firm's gratitude: “It is an honor for our firm to be recognized by Chambers and Partners in their Spotlight California 2026 guide. This acknowledgment reflects our commitment to providing high quality legal services tailored to the unique needs of our clients.”
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Newmeyer Dillion
Course of Construction Exclusions and the CGL Policy
July 20, 2026 —
Anna M. Perry, Rachel S. Kindseth & Nina Catanzaro - Saxe Doernberger & Vita, P.C.I. Course of Construction Exclusions
Course of Construction (“COC”) exclusions are found on General Liability and excess liability policies, typically a wrap-up or project specific policy, and generally exclude “all property damage occurring during the course of construction.” Insurers claim COC exclusions are not problematic because they are intended to prevent an overlap in coverage between the general liability policy and first-party property Builder’s Risk policy. However, because General Liability policies and Builder’s Risk policies provide coverage for different risks, COC exclusions can create a gap in coverage for owners and contractors. Therefore, any exclusion on a wrap-up or project specific policy that limits coverage for property damage liability should be scrutinized, and amendments sought when warranted and commercially achievable, for owners, developers and contractors because General Liability policies do not cover the same risk as that of a Builder’s Risk policy.
General liability policies provide defense and indemnity to the insured(s) for claims made by a third-party against the insured. Broad COC exclusions serve to preclude coverage for all property damage, not just property damage to the insured project. This includes property damage to property other than the insured project, e.g. an adjacent property. On the other hand, Builder’s Risk policies provide first-party property coverage for direct physical loss to the project during the course of construction. The Builder’s Risk policy will not provide coverage for property other than the project itself (e.g., adjacent property) and it will not provide a defense or indemnity in the event the owner of the damaged property brings a claim against a potentially at-fault party.
Reprinted courtesy of
Anna M. Perry, Saxe Doernberger & Vita, P.C.,
Rachel S. Kindseth, Saxe Doernberger & Vita, P.C. and
Nina Catanzaro, Saxe Doernberger & Vita, P.C.
Ms. Perry may be contacted at APerry@sdvlaw.com
Ms. Kindseth may be contacted at rkindseth@sdvlaw.com
Ms. Catanzaro may be contacted at NCatanzaro@sdvlaw.com
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Tariffs As Taxes — What Learning Resources, Inc. v. Trump Means for Contractors and the WSDOT Specifications
March 17, 2026 —
Brett M. Hill - Ahlers Cressman & Sleight PLLCIn October 2025, we explored a pressing question for public works contractors:
should post-contract award tariffs be reimbursable? The crux of that analysis was whether tariffs imposed after contract award constitute a tax under the Washington State Department of Transportation (WSDOT) Standard Specifications, triggering reimbursement under Section 1-07.1(5)B (“tax changes”).
Since then, a landmark Supreme Court ruling in Learning Resources, Inc. v. Trump has clarified the legal nature of tariffs in a way that could significantly affect this debate.
In Learning Resources, Inc. v. Trump, 607 U.S. (2026), the U.S. Supreme Court addressed whether the President had the authority under the International Emergency Economic Powers Act (IEEPA) to unilaterally impose broad tariffs on imports.
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Brett M. Hill, Ahlers Cressman & Sleight PLLCMr. Hill may be contacted at
brett.hill@acslawyers.com
Why Construction Tendering Needs Specialized Intelligence
March 31, 2026 —
Aarni Heiskanen - AEC BusinessThe construction industry has never lacked data; it lacks usable intelligence at the moments that matter most. In the high-stakes phases of tendering and pre-construction, the industry still relies on manual “Control-F” searches through thousands of pages of unstructured documents.
I recently spoke with
Herman Smith, a civil engineer and former Chief Digital Officer at Multiconsult, who left the corporate world to solve this specific bottleneck. His startup,
Volve, isn’t just another AI wrapper; it is a specialized “drill” designed to penetrate the complexity of construction documentation.
The Paradox of Digitalization without a Productivity Boost
For years, the AEC industry has faced a frustrating paradox: we have more digital tools than ever, yet productivity has not improved. Herman observed this from the inside, managing hundreds of unique software licenses while seeing companies struggle to adapt to new workflows.
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Aarni Heiskanen, AEC BusinessMr. Heiskanen may be contacted at
aec-business@aepartners.fi