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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Seventh Circuit, With an Assist From the Illinois Supreme Court, Finds That “Pollution Exclusion” Bars Coverage For Emissions Allowed Under Regulatory Permit
April 20, 2026 —
Jason Taylor - Traub Lieberman Insurance Law BlogIn Griffith Foods Int’l Inc. v. National Union Fire Ins. Co. of Pittsburgh, PA, 24-1217 & 24-1223 (7th Cir. Mar. 13, 2026), the Seventh Circuit addressed the meaning and scope of a pollution exclusion in a standard-form commercial general liability insurance policy for underlying injuries caused by ethylene oxide (EtO) emissions. The insurance dispute arose out of underlying tort litigation involving bodily injury claims, including cancer, allegedly caused by emissions of ethylene oxide over a 35-year period from 1984 through 2019 by Griffith Foods International and later Sterigenics U.S. The pollution exclusion at issue generally barred coverage for “bodily injury” arising out of the discharge, dispersal, release or escape of smoke, vapors, soot, fumes, acids, alkalis, toxic chemicals, or other irritants, contaminants or pollutants.
Interpreting similar exclusions, the Illinois Supreme Court has previously held that the standard CGL pollution exclusion bars coverage for bodily injuries caused by traditional environmental pollution (essentially industrial emissions of pollutants), but not by more commonplace emissions (such as carbon monoxide from a residential furnace or excess chlorine in a backyard swimming pool). See American States Insurance Co. v. Koloms, 177 Ill. 2d 473 (Ill. 1997). In Griffith Foods, the District Court initially concluded that the pollution exclusion did not apply because the companies emitted EtO pursuant to a permit issued by the IEPA. The District Court reached this latter conclusion by applying Erie Insurance Exchange v. Imperial Marble Corp., 957 N.E.2d 1214 (Ill. App. Ct. 2011), an Illinois intermediate appellate court decision finding it ambiguous whether a CGL policy’s pollution exclusion barred coverage for emissions authorized by regulatory permit.
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Jason Taylor, Traub LiebermanMr. Taylor may be contacted at
jtaylor@tlsslaw.com
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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SDV Celebrates 30th Anniversary Press Release
April 08, 2026 —
Saxe Doernberger & Vita, P.C.Trumbull, Connecticut – Saxe Doernberger & Vita, P.C. (SDV) is proud to announce the celebration of its 30th anniversary.
Founded in 1996 by three attorneys in a small New Haven, Connecticut office, SDV was built on a clear and focused mission: representing policyholders in insurance coverage matters. Three decades later, that commitment remains at the core of the firm’s identity and has been instrumental in its continued success and reputation nationwide.
Today, SDV is a nationally recognized boutique firm with 50 attorneys serving policyholders across the United States. Building on its longstanding reputation for excellence and client advocacy, the firm is pleased to announce the opening of its newest office in Massachusetts—an exciting milestone that reflects SDV’s continued growth. The new office is led by Managing Partner Anna Perry.
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Saxe Doernberger & Vita, P.C.
A Permitting Base Checklist for Data Centers and Power Plants
June 02, 2026 —
Michael S. McDonough, Stephen J. Humes & Stacey C. Wright - Gravel2Gavel Construction & Real Estate Law BlogThere is a lot of talk these days about “license to operate” for data centers, meaning management of the relationships with stakeholders and broader communities concerning both the benefits and adverse consequences of locating a facility in a particular locale. Here, we are speaking of “license to operate” more literally—namely, the legal and regulatory permitting and approval requirements for a privately owned data center whether by itself or colocated with a power generating plant.
Our Base Checklist includes generally and potentially applicable permitting requirements for development and operation, using California as an example. (Taking legal authority Frank Sinatra out of context, “If you can make it there, you can make it anywhere.”) The actual requirements for a given facility would depend, in part, on local law, including planning and zoning laws and plans, and the environment of the site. Just as examples, additional permitting and mitigation requirements might apply if sensitive receptors are located nearby (e.g., noise mitigation for residential dwellings), if sensitive and protected biological resources (e.g., jurisdictional waters and/or protected species) would be impacted, or if the present or former land uses require additional measures (e.g., hazardous materials remediation, mitigation for conversion of prime farmland, or protection of cultural resources). The scope of permit requirements would ultimately be determined by the applicable regulatory agencies and by the lead and responsible agencies under the applicable state environmental land use regime—in our reference case here, the California Environmental Quality Act (CEQA).
Reprinted courtesy of
Michael S. McDonough, Pillsbury,
Stephen J. Humes, Pillsbury and
Stacey C. Wright, Pillsbury
Mr. McDonough may be contacted at michael.mcdonough@pillsburylaw.com
Mr. Humes may be contacted at stephen.humes@pillsburylaw.com
Ms. Wright may be contacted at stephen.humes@pillsburylaw.com
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Building in Arizona’s Data Center Boom: How Federal Executive Orders, State Regulation, and National-Security Policy Are Reshaping the Rules for Developers
June 02, 2026 —
Ryan J. Regula - Snell & WilmerDevelopers and practitioners evaluating data center projects in Arizona face a regulatory environment shifting on three fronts simultaneously. Federal executive orders are opening new land, streamlining permitting, and channeling financial incentives toward qualifying projects — but they are not preempting the state and local rules that most directly affect project economics. A carve-out in the December 2025 Artificial Intelligence (AI) Framework Executive Order preserves Arizona’s authority over data center infrastructure, meaning the Arizona Corporation Commission’s (ACC) rate-classification docket, municipal zoning restrictions, water-use ordinances, and pending grid cost-allocation legislation remain the binding constraints on project feasibility. Understanding where federal tailwinds end and state and local headwinds begin is essential for any developer sizing risk or selecting sites in the state.
The Federal Landscape: An Interlocking Framework of Executive Orders
Five interlocking executive orders are accelerating data center development nationally, but none overrides Arizona’s authority over siting energy, or infrastructure.
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Ryan J. Regula, Snell & WilmerMr. Regula may be contacted at
rregula@swlaw.com
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
IRMI Expert Commentary: NY Highest Court Confronts Downstream Risk Transfer for Subcontractor Bodily Injury Claims
March 17, 2026 —
Gregory D. Podolak & Alexander G. Hopkins - Saxe Doernberger & Vita, P.C.Originally published on IRMI.com, copyright 2026 International Risk Management Institute, Inc.
Subcontractor employee bodily injury claims (so-called action over claims) are a staple of construction risk management in the Empire State—so much so that the phrase “labor law” instinctively invites a shudder among the most experienced general contractors. The savvy among them intensely monitor case law developments and the evolution of the insurance market to ensure a cutting-edge, meticulously developed downstream risk transfer plan. And when guidance arrives from an appellate-level court, it’s a moment to take note.
This is one of those moments.
In late 2025, New York’s highest court—the NY Court of Appeals—had the rare opportunity to examine an all-too-routine bodily injury fact pattern and took the opportunity to closely examine the scope of contractual indemnity and its interplay with additional insured coverage in Dibrino v. Rockefeller Center N., Inc., 2025 N.Y. Slip Op. 07077, 2025 WL 3670593 (Ct. App. Dec. 18, 2025).
Reprinted courtesy of
Gregory D. Podolak, Saxe Doernberger & Vita, P.C. and
Alexander G. Hopkins, Saxe Doernberger & Vita, P.C.
Mr. Podolak may be contacted at GPodolak@sdvlaw.com
Mr. Hopkins may be contacted at AHopkins@sdvlaw.com
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