The “Pay When Paid” Clause in California Construction—Strategies as the Battle Continues
August 03, 2026 —
William L. Porter - Porter Law GroupIt is well known in California Construction circles that the “Pay If Paid” clause is illegal in this state. There is a great distinction, though, between this clause and a similar clause, known as a “Pay When Paid” clause. A pay if paid clause allows a contractor to tell a subcontractor that if the contractor is unpaid for the subcontractor’s work, then the contractor has no legal obligation to pay the subcontractor, ever. For a great variety of reasons, the California Supreme Court, in the case of Wm. R. Clarke Corp v. Safeco Ins. Co. of America (1997) 15 Cal.4th 882, declared this type of clause illegal in California Construction.
Although the pay if paid clause is illegal in California, the pay when paid clause is still perfectly legal and is found in many subcontracts that contractors issue to their subcontractors. The pay when paid clause allows a contractor to delay paying its subcontractors until the dispute between the contractor and the property owner over payment has been resolved and the contractor is paid by the property owner. Although seemingly reasonable (since it merely delays payment until the contractor is paid by the owner, thereby providing a funding source to pay subcontractors), significant problems still arise.
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William L. Porter, Porter Law GroupMr. Porter may be contacted at
bporter@porterlaw.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
Water Reuse Emerges as a Critical Strategy for Data Center Development
June 22, 2026 —
Ashleigh Myers, Jillian Marullo & Jason Drogin Atwood - Gravel2Gavel Construction & Real Estate Law BlogAs demand for data centers continues to accelerate, water availability is emerging as a critical factor in project development and long-term operations. Although power supply and transmission access have historically dominated siting discussions, increasing water constraints in many regions are placing greater focus on the substantial volumes of water required to support data center cooling systems. As we
covered previously, data centers are frequently located in areas already experiencing water stress and require substantial volumes of water to operate—roughly 228 billion gallons in 2023 in the United States alone—with water use projected to
increase by up to 170% by 2030.
Alternative cooling options, such as free-air cooling or mechanical chillers, can reduce direct water consumption but introduce their own tradeoffs. Free-air cooling is climate-dependent and often ineffective in hotter regions, while mechanical chillers increase energy demand, potentially shifting water consumption upstream through increased electricity generation.
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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Bridging the Gap at Alaska’s Juneau Creek
September 21, 2026 —
Tim Newcomb - Engineering News-RecordThe largest single-span steel plate girder bridge launch in the nation wasn’t about setting records. Alaska’s Juneau Creek Bridge design was a matter of necessity. The fully erected steel plate girder bridge, featuring a 440-ft main span hovering 285 ft above the Juneau Creek, was part of the larger Sterling Highway project. It offered a logistical challenge but was chosen among over a dozen bridge types due to the unique constraints brought by the mountainous site.
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Tim Newcomb, Engineering News-RecordENR may be contacted at
enr@enr.com
Ball Janik LLP Welcomes Construction Defect Attorney and U.S. Air Force Veteran Jake Scott to its Fort Lauderdale Office
June 02, 2026 —
Ball Janik LLPBall Janik LLP, a leading construction defect and insurance recovery law firm, has welcomed Jake Scott as an associate in its Fort Lauderdale office. Scott joins the Construction Defect Practice Group, bringing experience across construction litigation that includes construction defect, contract dispute, and negligence matters, along with a track record of representing construction professionals through depositions, court appearances, and trial preparation to support the firm's steady growth and client service statewide.
"We're excited to welcome Jake Scott to our Fort Lauderdale office and Construction Defect Practice Group," said James C. Prichard, Managing Partner at Ball Janik LLP. "We look forward to the fresh perspectives and legal solutions he will provide for community associations across South Florida."
Scott is a results-driven attorney dedicated to providing strategic counsel for complex legal challenges. He has experience managing all phases of a case, from early investigation and discovery through trial preparation and settlement negotiations.
Prior to joining Ball Janik, Scott served as an associate attorney in Fort Lauderdale, where he represented clients in construction litigation matters, handled depositions and court appearances, conducted legal research, and drafted pleadings, motions, and briefs. He also worked as an attorney in Tampa, where he represented contractors, subcontractors, and construction firms in defending claims involving construction defects, contractual disputes, and negligence, and worked closely with expert witnesses, engineers, and consultants to develop and present technical evidence.
Scott's experience representing the development and building sides of construction disputes provides a valuable, contrast-driven perspective that supports the strategic evaluation of claims and practical approaches to resolution for Ball Janik's clients.
A proud veteran, Scott served in the United States Air Force for eight years, including roles as an Airspace Control Officer and in Space Systems Operations, supporting safe space flight operations and satellite communications.
Carrying the discipline of airborne operations, Scott worked in the aerospace sector as a Satellite Engineer and Orbital Analyst. He also held a role in the housing sector, supporting marketing and business development initiatives.
Scott received his law degree from Stetson University College of Law. He attended American Military University, where he earned degrees in marketing, business management, and related support services.
About Ball Janik LLP
Ball Janik LLP is a Florida-based law firm offering construction defect, construction law, insurance recovery, and commercial litigation counsel to its local and national clients. The firm was founded in 1982 and has expanded its capabilities, professionals, and geographic footprint. What started as a small firm focused on real property, land use, and litigation (known then as Ball Janik & Novack) has grown to a team of 50-plus attorneys and paralegals in 5 offices in Florida, with centuries of combined experience and capabilities. The firm has been recognized by Chambers USA, U.S. News & World Report and Best Lawyers®, The Best Lawyers in America©, and Corporate International. Read more here: https://www.balljanik.com.
Fourth Circuit Extends Coverage to Contractor
May 14, 2026 —
Hunton Insurance Recovery BlogThe Fourth Circuit in APAC-Atlantic, Inc. v. Owners Insurance Co., No. 24-1969, 2026 WL 458402 (4th Cir. Feb. 18, 2026) recently endorsed broad coverage for additional insureds, interpreting “arising out of” broadly under North Carolina law to extend coverage to a repaving company under its subcontractor’s liability insurance policy. The court held that an additional insured’s liability “arising out of” a named insured’s work in an additional-insured endorsement means liability “relating to” or “causally connected to” the named insured’s operations, rather than liability defined more narrowly as “caused by” or “the fault of” the named insured.
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Hunton Andrews Kurth LLP
U.S. Supreme Court Decision Alters Course of $745M Louisiana Coastal Damage Judgment
June 15, 2026 —
Jennifer Kretschmann & Jennifer E. Michel - Lewis BrisboisThe U.S. Supreme Court has issued a unanimous decision allowing oil and gas companies to move Louisiana coastal erosion lawsuits from state court to federal court under the federal officer removal statute. While the ruling is procedural, it carries significant implications for environmental- and energy-related risks. The case,
Chevron U.S.A. Inc. v. Plaquemines Parish, Louisiana, Slip Op. 24-813 (April 17, 2026), addressed a threshold jurisdictional question but has broader significance for environmental and climate related litigation. State courts are often viewed as more favorable forums for plaintiffs asserting environmental damage claims, particularly those brought by governmental entities.
The opinion issued on April 17, 2026 is the latest development in long-running Louisiana coastal litigation that began more than a decade ago. Starting in 2013, Louisiana parishes filed 42 lawsuits against oil and gas companies alleging environmental damage related to historic oil field operations. The parishes alleged that oil and gas companies violated state coastal management laws by failing to properly restore impacted areas. Chevron sought to remove the cases from state court under 28 U.S.C. § 1442(a)(1), known as federal officer removal, which provides federal jurisdiction over “any person acting under [an] officer” of the United States "for or relating to any act under color of such office." The Fifth Circuit rejected the argument and remanded the case, and others like it, to state court. Trial began in March 2025 in Point à la Hache, Louisiana. On April 4, 2025, the jury awarded a total of $745 million to compensate for land loss, contamination and abandoned equipment. On June 16, 2025, the U.S. Supreme Court agreed to review the question of whether a federal contractor can remove to federal court when sued for oil-production activities undertaken to fulfill a federal oil-refinement contract.
Reprinted courtesy of
Jennifer Kretschmann, Lewis Brisbois and
Jennifer E. Michel, Lewis Brisbois
Ms. Kretschmann may be contacted at Jennifer.Kretschmann@lewisbrisbois.com
Ms. Michel may be contacted at Jenny.Michel@lewisbrisbois.com
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Motion for Summary Judgment Granted in Significant California Public Utilities Suit
May 12, 2026 —
Dolores Montoya - Bremer Whyte Brown & O'Meara LLPCongratulations to Partner Mike D’Andrea and Associates Ruth Rasiah and Kaylah Abdullah in the Los Angeles office for obtaining a complete dismissal of their clients in a significant claim involving California’s Public Utilities regulations.
After lengthy litigation, BWB&O’s Motion for Summary Judgment was granted against Claimant, Spectrum (Charter Communications), which resulted in a complete dismissal of the action against BWB&O’s clients. At issue was whether California’s Public Utilities Code shifted the common law duty to maintain certain utility equipment in residential areas within Southern California. After significant briefing, the Superior Court found that BWB&O correctly argued that the Public Utilities Code required utility companies, like Spectrum, to fully maintain utility equipment, and that private residents are not responsible for utility maintenance (even if the physical equipment is located on private property).
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Bremer Whyte Brown & O'Meara LLP