Arizona Supreme Court Clarifies Parties’ Post-Default Conduct Cannot Validate Void Default Orders
August 24, 2026 —
Joseph Kanefield, Ryan P. Hogan & Lilly M. Geiler - Snell & WilmerAfter filing a lawsuit, the first step is always serving process on the opposing party. While that preliminary step sounds basic enough, in McMahan v. Grasshopper, the Arizona Supreme Court recently provided a helpful refresher on the nuances of the service requirement and its importance in litigation for plaintiffs and defendants alike.1
Background
McMahan arose from a hit-and-run where a tractor-trailer collided with safety barricades and injured a construction worker. The construction worker sued the tractor-trailer company, and he attempted to serve the company by leaving a copy of the complaint with the assistant to the company’s statutory agent who forwarded the complaint to the company. The assistant, however, was not authorized to accept service on the company’s behalf. Before the company appeared in the action, the construction worker successfully obtained an entry of default.
Reprinted courtesy of
Joseph Kanefield, Snell & Wilmer,
Ryan P. Hogan, Snell & Wilmer and
Lilly M. Geiler, Snell & Wilmer
Mr. Kanefield may be contacted at jkanefield@swlaw.com
Mr. Hogan may be contacted at rhogan@swlaw.com
Ms. Geiler may be contacted at lgeiler@swlaw.com
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White and Williams LLP Secures Trio of Cyber Coverage Wins
May 12, 2026 —
Gabriel Darwick & Sean Elman - White and Williams LLPThree weeks, three jurisdictions, three cyber wins.
White and Williams picked up the first victory on March 9, 2026, in the United States District Court for the Western District of Texas, where the court granted summary judgment to their client enforcing a Cyber Crime Loss sublimit. See Perry & Perry Builders, Inc. v. Cowbell Cyber and Obsidian Specialty Ins. Co., 2026 U.S. Dist. LEXIS 49409 (E.D. Tex. Mar. 9, 2026). In Perry, the insured was deceived into transferring money intended for a vendor to an unintended third party. The insurer acknowledged that the loss was covered and paid the insured the policy’s Cyber Crime Loss sublimit. Discontent with a single sublimit, the insured argued that because it wired the money to the fraudster in separate transfers, it was entitled to a second Cyber Crime Loss sublimit.
Reprinted courtesy of
Gabriel Darwick, White and Williams LLP and
Sean Elman, White and Williams LLP
Mr. Darwick may be contacted at darwickg@whiteandwilliams.com
Mr. Elman may be contacted at elmans@whiteandwilliams.com
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WSHB Managing Partner Chad Dunigan Named Finalist for Jerrold S. Oliver "Ollie" Award of Excellence
May 12, 2026 —
Wood Smith Henning BermanChad Dunigan, Managing Partner of Wood Smith Henning & Berman's Orlando, Florida, office, has been selected as one of just four finalists for the prestigious Jerrold S. Oliver Award of Excellence, affectionately known in the construction defect community as the "Ollie" Award. This distinguished honor recognizes individuals who have made exceptional contributions and demonstrated unwavering dedication to advancing the field of construction defect law.
Named in honor of the late Judge Jerrold S. Oliver, a revered founder of alternative dispute resolution in construction defect claims and litigation, the Ollie award symbolizes loyalty, commitment, and trust within the industry. Judge Oliver's legacy as a staunch believer in the resolution process continues to inspire professionals who strive for excellence in the construction defect community.
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Wood Smith Henning Berman
Insureds’ Altering Dates for Hailstorm Damage Justifies Denial of Claim
June 02, 2026 —
Tred R. Eyerly - Insurance Law HawaiiThe Firth Circuit affirmed the district court’s grant of summary judgment to the insurer due to the insureds’ failure to establish the date of loss after a hailstorm. Cutchall v. Chubb Lloyds Ins. Co. of Texas, 2026 WL 625633 (5th Cir. March 5, 2026).
In September 2021, the Cutchalls made a claim on their policy for interior water damage due to a hailstorm that breached their roof. Chubb retained two engineers to inspect the home, but neither found evidence that a hailstorm caused the damage. Instead, the engineers concluded a variety of other causes, such as poor ventilation and as-built defects, caused the damage. Because Chubb concluded that some of these other causes were covered by the policy, it paid only for the covered portions.
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Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
A Win for Clarity: What a Recent Federal Court Decision Means for Davis-Bacon Compliance
July 13, 2026 —
Stephen E. Irving - Peckar & Abramson, P.C.Following the
Department of Labor’s 2023 Davis-Bacon rule changes, federal construction contractors faced a pressing question: not whether paying prevailing wages is required, but how far those obligations could extend. Could they reach off-site material suppliers? Delivery drivers? Contracts that omitted Davis-Bacon clauses entirely? A recent federal court decision in AGC of America v. US Department of Labor answers these questions in important ways, vacating several disputed provisions and giving contractors greater certainty when pricing, bidding, and administering federal construction projects.
The ruling addresses three aspects of the 2023 regulations that sought to extend Davis-Bacon obligations beyond their traditional scope. By vacating those provisions, the decision creates a more predictable compliance environment and reinforces an important principle: Davis-Bacon enforcement works best when contractors, workers, and regulators operate under clear, objective rules.
Read the full story...Reprinted courtesy of
Stephen E. Irving, Peckar & Abramson, P.C.Mr. Irving may be contacted at
sirving@pecklaw.com
ACEC Research Institute Report: Real Risk of AI Isn’t Technology. It’s the Org Chart.
September 01, 2026 —
ACEC Research InstituteWASHINGTON (August 19, 2026) – The ACEC Research Institute today released
Leading Through AI Risk: The Enterprise Framework for Engineering Firm Leaders, a new study finding that the most significant risks artificial intelligence poses to engineering firms are organizational rather than technological, and that firms treating AI as an IT initiative are managing the wrong issue.
The report, part of the Institute’s yearslong Firm of the Future initiative, combines an extensive literature review with in-depth interviews of 21 leaders drawn from engineering firms, public infrastructure owners, technology vendors, insurance and legal professionals, licensing and regulatory agencies, and AI consultants.
The report groups AI risk into eight interconnected domains:
- technical reliability and model risk
- professional liability and standard of care risk
- data governance, privacy, and intellectual property risk
- organizational and workforce risk
- ethical, regulatory, and reputational risk
- operational and cybersecurity risk
- financial and business model risk
- strategic leadership and enterprise governance risk
The last serves as the integrating domain through which firms coordinate responsible AI adoption enterprise wide.
The report stresses that firms do not experience these risks one at a time. Weak oversight may create legal liability. Workforce gaps may affect quality assurance. “Understanding these interactions,” the study notes, “is often more important than understanding individual risks independently.”
About the ACEC Research Institute
The ACEC Research Institute is the independent research arm of the American Council of Engineering Companies (ACEC). Its mission is to fund and deliver research to equip the engineering industry with actionable intelligence on the issues critical to its success. Learn more at www.acecresearchinstitute.org.
Integration Can Inoculate in Utah
July 20, 2026 —
Mark O. Morris - Snell & WilmerThe Utah Court of Appeals recently reaffirmed, in the construction context, Utah’s strict approach to enforcing integration clauses to preclude parol evidence and other legal theories that would vary the written terms of a contract. In Reid v. All Surface LC, 2025 UT App 134, decided last September, the court affirmed in all respects the trial court’s grant of summary judgment based on the strength of an integration clause against a homeowner who sued a contractor for breach of contract, breach of the covenant of good faith and fair dealing, fraud, negligent misrepresentation, civil conspiracy, negligence, and breach of the implied warranty of habitability. More recently, however, the same court rejected those same arguments in Tidwell v. Jensen, 2026 UT App 13 as to tort claims arising from a used car sale.
The facts in Reid were sympathetic to the plaintiff. After being told she had a mold issue near a defective basement shower, the plaintiff solicited bids. A remediation contractor advised that while it could address the mold, the shower replacement should be handled by someone else. The plaintiff contacted All Surface LC, a shower replacement contractor. During an interview, the sales representative stated that All Surface could “do full mold remediation, tear everything out, and reframe the shower.” The plaintiff ultimately retained All Surface, expecting it would both resolve the mold issues and replace the shower.
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Mark O. Morris, Snell & WilmerMr. Morris may be contacted at
mmorris@swlaw.com
4th Department Narrowly Interprets Professional Services
August 11, 2026 —
Craig Rokuson - Traub LiebermanIn the recent case of Cty. of Erie v. Selective Ins. Co. of Am., 2026 NY Slip Op 04092 (App. Div. 4th Dept.), New York’s Appellate Division, Fourth Department held that a general liability carrier for a construction manager owed additional insured coverage to the County of Erie, notwithstanding an exclusion in the construction manager’s policy for injuries arising out of professional services.
The underlying case involved injuries sustained when the underlying plaintiff fell off of her bicycle at a park owned by the County when she transitioned from the pavement edge to grass.
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Craig Rokuson, Traub LiebermanMr. Rokuson may be contacted at
crokuson@tlsslaw.com