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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We Won’t Permit That Excuse!
June 23, 2026 —
Curt Martin & Richard Eiszner - ConsensusDocsA Texas appellate court recently ruled that a building permit wasn’t a condition precedent for a construction project. That caught our attention. Can you build a commercial project without a permit?
But as we read the case, we see the court’s reasoning. And it reminds us of an important legal principle that should inform our contract drafting and negotiation.
The case was a civil suit brought by the project owner against its tenant improvement contractor for work on a medical spa. The owner claimed that the contractor didn’t perform the work properly and didn’t finish construction. The contractor argued that delays and problems were caused by the owner, alleging numerous failures, including the owner’s failure to secure a building permit.
Reprinted courtesy of
Curt Martin, Peckar & Abramson, P.C. and
Richard Eiszner, Peckar & Abramson, P.C.
Mr. Martin may be contacted at cmartin@pecklaw.com
Mr. Eiszner may be contacted at reiszner@pecklaw.com
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Same Insurers, Different Results: Another Chapter in Acuity v. Kinsale and the Limits of Co-Carrier Recovery Under Colorado Law
October 27, 2026 —
David McLain - Colorado Construction Litigation BlogWhen multiple insurers potentially owe coverage for the same construction defect claim, can one insurer force another to participate in the defense or indemnification of their common insured? If the other insurer refuses, what remedies are available?
As is often the case in insurance coverage litigation, the answer depends on precisely what claim is being asserted, whose rights are being enforced, and when the claim is brought.
In our earlier article,
Acuity v. Kinsale Insurance Company: Co-Carrier Obligations and Subrogation under Colorado Law, we examined the United States District Court for the District of Colorado’s decision in Acuity v. Kinsale Insurance Company, 750 F. Supp. 3d 1229 (D. Colo. 2024). That decision addressed the circumstances under which an insurer that funded a construction defect settlement could pursue another insurer for equitable contribution, contractual subrogation, and alleged bad-faith conduct.
Read the full story...Reprinted courtesy of
David McLain, Higgins, Hopkins, McLain & Roswell, LLCMr. McLain may be contacted at
mclain@hhmrlaw.com
Arizona Court of Appeals Clarifies Homeowners Association Open Meeting Requirements
June 29, 2026 —
Jill Casson Owen, Benjamin J. Hawkins & Stephen Wright - Snell & WilmerA Z N H Revocable Trust v. Sunland Springs Village Homeowners Association, No. 1 CA-CV 25-0424 (Ariz. Ct. App. Apr. 28, 2026)
OVERVIEW
The Arizona Court of Appeals issued an opinion clarifying how homeowners associations must conduct meetings under A.R.S. § 33-1804. The decision reinforces the legislative policy favoring transparency in association governance, bringing association meeting requirements more in line with the open meeting standards applicable to public bodies under A.R.S. § 38-431 et seq. (Arizona’s Open Meeting Law).
KEY HOLDINGS
1. All Voting and Formal Actions Must Occur in Open Meetings
The Court affirmed that association boards cannot vote or take formal action during closed (executive) sessions. Under A.R.S. § 33-1804(A), associations may close portions of meetings only for “consideration” of certain enumerated topics, such as legal advice, pending litigation, or personal/financial information about individual members. The Court interpreted “consideration” to mean discussion and deliberation, not voting. The Court noted that dictionaries define “consider” as “spending time thinking about a possibility” and “formulating an opinion,” which are processes that precede formal action. This interpretation mirrors how Arizona’s Open Meeting Law (A.R.S. § 38-431.03(D)) prohibits public bodies from voting in executive session.
Reprinted courtesy of
Jill Casson Owen, Snell & Wilmer,
Benjamin J. Hawkins, Snell & Wilmer and
Stephen Wright, Snell & Wilmer
Ms. Owen may be contacted at jowen@swlaw.com
Mr. Hawkins may be contacted at bhawkins@swlaw.com
Mr. Wright may be contacted at swright@swlaw.com
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Ayushi Neogi Published in ADC Defense Comment on Arbitration in Evolving Plaintiff-Friendly Landscape
May 12, 2026 —
Gordon Rees Scully MansukhaniGordon Rees Scully Mansukhani Senior Counsel Ayushi Neogi has authored an article in the Association of Defense Counsel of Northern California and Nevada’s Defense Comment magazine examining the shifting landscape of arbitration following the Ending Forced Arbitration Act.
Titled “Compelling Arbitration in a Post-Ending Forced Arbitration Act, Plaintiff-Friendly Landscape,” the article analyzes how recent legislative changes are reshaping arbitration strategy, particularly as employees gain greater ability to bypass arbitration in certain claims. Neogi provides practical insight into how courts are responding and what this means for defense counsel navigating increasingly complex and plaintiff-friendly environments.
Read the full story...Reprinted courtesy of
Gordon Rees Scully Mansukhani
Federal Court Strikes Down New York’s Climate Superfund Act: What It Means for the “Polluter Pays” Movement
September 28, 2026 —
Amanda G. Halter, Ashleigh K. Myers & Jillian Marullo - Gravel2Gavel Construction & Real Estate Law BlogA federal judge in the Northern District of New York has struck down New York’s
Climate Change Superfund Act, ruling that the “polluter pays” climate law is preempted by federal law and “simply beyond the limits of state law.” The court concluded that the Clean Air Act (CAA) does not authorize New York’s compensation scheme, which calculates liability based on greenhouse gas (GHG) emissions attributable to worldwide fossil fuel extraction and refining. It separately held that any cost-recovery demand against a foreign producer would be preempted under the constitutional foreign affairs doctrine, which limits state intrusion into matters committed predominantly to the federal government. The court directed the parties to file a status report by September 14, leaving the form of further relief unresolved. In practical terms, the court has decided that the Act is preempted and cannot be enforced but has not yet determined the precise terms of its final order, including whether to formally enjoin its enforcement.
The
decision in West Virginia v. James, Case No. 1:25-cv-00168 (N.D.N.Y. Aug. 31, 2026), issued by Chief U.S. District Judge Brenda K. Sannes, who was appointed by President Obama, marks the first judicial invalidation of a state climate superfund statute and carries significant implications for the
climate superfund landscape and the three remaining
lawsuits challenging these laws.
Reprinted courtesy of
Amanda G. Halter, Pillsbury,
Ashleigh K. Myers, Pillsbury and
Jillian Marullo, Pillsbury
Ms. Halter may be contacted at amanda.halter@pillsburylaw.com
Ms. Myers may be contacted at ashleigh.myers@pillsburylaw.com
Ms. Marullo may be contacted at jillian.marullo@pillsburylaw.com
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Insurer Cannot Raise Issues on Appeal that Were Not Presented to the Trial Court
June 15, 2026 —
Tred R. Eyerly - Insurance Law HawaiiThe Florida Court of Appeals affirmed a judgment on a collapse claim for the insured, rejecting the insurer’s arguments that were not presented to the trial court. Homeowner’s Choice Prop. & Cas. Ins, Co. v. Oakes, 2026 Fl. App. LEXIS 2086 (Fl. Ct. App. March 18, 2026).
The insured’s ceiling collapsed in the secondary home on the insured’s property. The claim was reported to the insurer, but coverage was denied after its investigation.
The insured sued the insurer for breach of contract. Under the Additional Coverage provisions of the policy, collapse was covered if it was “abrupt.” An abrupt collapse was not covered, however, if exclusions for “Fungi, Wet or Dry Rot” and “faulty, inadequate or defective design, specifications, workmanship, repair, construction, renovation, remodeling, materials or maintenance” applied. The collapse provisions contained no language stating that the coverage granted in the provision was also subject to all the other exclusions in the policy.
Read the full story...Reprinted courtesy of
Tred R. Eyerly, Damon Key Leong Kupchak HastertMr. Eyerly may be contacted at
te@hawaiilawyer.com
Emerging Issues in Construction CGL Insurance Part 2: The Separation of Insureds and Additional Insured Interests
September 29, 2026 —
Eric M. Clarkson - SDV FenchurchMany coverage disputes hinge on first principles—the fundamentals of insurance —rather than the minutiae. Unfortunately, the basic anatomy of insurance policies can get lost sometimes when parties are laser-focused on a particular term or set of circumstances. This is true not just in disputes, but also when writing coverage. One of the fundamentals that is commonly misunderstood and overlooked—but which is absolutely critical to the intended operation of insurance coverage—is what is commonly known as the “separation of insureds.”
The “separation of insureds” is the concept that each “insured” under a policy are referred to and treated differently, and most of all that the distinctions matter. The concept is usually included as a condition in the policy. It embodies the requirement that the policy applies to each insured distinctly from how it applies to other insureds. The ISO Form CGL policies specifically state that they apply “[s]eparately to each insured against whom a claim is made or ‘suit’ is brought.” The separate and distinct treatment of insureds is more critical in construction operations than anywhere else. This distinction is essential to ensure coverage works as intended, especially when contracted operations are involved, because the policy must insure the subcontractor that purchased the policy, the general contractor who hired the subcontractor, and the owner that hired the general contractor. Even small modifications can easily frustrate the intent of the parties.
Read the full story...Reprinted courtesy of
Eric M. Clarkson, SDV FenchurchMr. Clarkson may be contacted at
eric.clarkson@sdvfenchurch.us
