Settlement Agreements and Contracts Require a Meeting of the Minds
July 20, 2026 —
David Adelstein - Florida Construction Legal UpdatesA settlement agreement does not need to be executed for it to be enforceable as long as there was a MEETING OF THE MINDS. The same rings true for any contract regardless of whether the contract is signed – THERE NEEDS TO BE A MEETING OF THE MINDS.
In a recent case dealing with the settlement agreement on a construction lien, the essential settlement terms (money and mutual release) were memorialized in an e-mail exchange between the parties (owner and subcontractor). The settlement required the owner to pay the principal amount plus some attorney’s fees and then a mutual general release would be prepared. In response to the confirmatory email, the owner sent a check, which the subcontractor deposited, but the owner refused to sign the release signed and sent by the subcontractor. The owner further claimed it doesn’t need to pay the attorney’s fees because the lien amount was paid in full. The subcontractor sued arguing the owner breached the terms of the settlement. The appellate court agreed.
Read the full story...Reprinted courtesy of
David Adelstein, Kirwin NorrisMr. Adelstein may be contacted at
dma@kirwinnorris.com
Sometimes a General Damages Assessment is Enough. . .
July 06, 2026 —
Christopher G. Hill - Construction Law MusingsIt has been a while since I last posted here at
Construction Law Musings. Life, law practice, and “blogger’s block” have taken their toll on the posting schedule. Hopefully this will be one of several upcoming posts now that the litigation schedule has lightened a bit over the summer.
Today’s post is about damages. Specifically damage to a homeowner’s roof and her legal damages therefor. That last is of course a sentence that only a
construction attorney (or other litigator) could possibly craft and have it make sense. Now, on with the case. . .In
Hardesty Construction, Inc. v. Weedon, the facts are as follows:
Ms. Weedon had hail damage to the roof of her home. She hired Hardesty Construction to repair and replace the roof. After the first roof was installed and failed inspection, a second roof was installed. The issue was that the first roof had a warranty and the second roof, installed similarly to the first (and allegedly with the same construction issues according to Ms. Weedon’s expert), was not provided with the promised warranty. As one may expect, Weedon sued Hardesty and Hardesty Construction for fraudulent inducement and breach of contract. At trial, Weedon testified, without objection, that her home was worth $40,000 less because of Hardesty Construction’s work, which was based partially on quotes Weedon received to fix the roof. The Circuit Court granted Hardesty Construction’s motion to strike Weedon’s fraudulent inducement claim, but not her other claims. A jury awarded Weedon $30,253.30 on her breach of contract claim. Hardesty Construction appealed, arguing the Circuit Court erred in (a) allowing the jury to consider Weedon’s valuation testimony because it was not based on her personal knowledge and (b) denying its motion to strike based on insufficient evidence as to damages. Weedon assigned cross-error in the Circuit Court’s decision to grant the motion to strike her fraudulent inducement claim against Samual Hardesty.
Read the full story...Reprinted courtesy of
The Law Office of Christopher G. HillMr. Hill may be contacted at
chrisghill@constructionlawva.com
Only A Contractor Can Appeal a Contracting Officer’s Final Decision
April 20, 2026 —
David Adelstein - Florida Construction Legal UpdatesA recent decision from the Civilian Board of Contract Appeals confirms that “only a ‘contractor’ may file an appeal of a contracting officer’s final decision.” Wattiker v. General Services Administration, 2026 WL 846001 (CBCA 2026) (citation omitted).
The term “contractor is not an ambiguous term. A ‘contractor’ refers to a party to a federal government contract. Wattiker (citing the Contract Disputes Act). This is why the Contract Disputes Act does not apply to parties that are NOT in contract with the federal government. Id.
In Wattiker, an appellant (appealing party) challenged the dismissal of a co-appellant. The co-appellant was dismissed because he was not a contractor, i.e., a party in contract with the federal government. In other words, the co-appellant had no privity of contract with the federal government.
Read the full story...Reprinted courtesy of
David Adelstein, Kirwin NorrisMr. Adelstein may be contacted at
dma@kirwinnorris.com
Insured General Contractor Prevails on Motion for Summary Judgment to Establish Builder’s Risk Coverage
July 06, 2026 —
Tred R. Eyerly - Insurance Law HawaiiThe general contractor’s motion for partial summary judgment successfully established that damage to footings in place before the policy period was covered after the collapse of a building. Big D Builders, Inc. v. Am Zurich Ins. Co., 2026 U.S. Dist. LEXIS 72012 (D. Idaho March 31, 2026).
Big D was the general contractor for building a new airplane hangar by erecting a 38,000 square foot structure. Before Big D began construction, the site of the hangar did not contain any pre-existing structures or buildings. Before completion of the hangar, it collapsed and caused extensive property damage.
The builder’s risk policy issued by Zurich covered certain aspects of the construction project for the policy period December 28, 2023, to December 28, 2024. Zurich accepted coverage for most of the damage but not for damage to footings and columns installed prior to the start date of 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
One Industry, One Goal: Construction Safety Week 2026
May 05, 2026 —
Maggie Murphy - Construction ExecutiveConstruction safety has long been a top priority across the industry. Yet fatality rates have remained stubbornly flat for more than a decade. Steven Carter, global health and safety director at
Gilbane chair company for
Construction Safety Week 2026—believes the industry has reached a pivotal moment. This year’s theme—”
All In Together: Recognize. Respond. Respect.”—is a unified call to action for owners, designers, contractors and craft professionals around a shared, risk-based approach to preventing serious injuries and fatalities.
In a recent interview with Construction Executive, Carter discusses why the industry must move beyond incremental improvements, how technology and AI can support better planning and what it will take to create a true culture of psychological safety on jobsites.
Reprinted courtesy of
Maggie Murphy, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
Read the full story...
Building the Research and Healthcare Facilities of Tomorrow Without Impacting the Progress of Today
August 16, 2026 —
Jason Tobias - Construction ExecutiveResearch labs run experiments that can’t be paused. Hospitals treat patients around the clock. Yet these same facilities constantly need upgrades—new infrastructure, modernized systems, renovated spaces—to meet the demands of twenty-first century science and medicine. The challenge for construction teams isn’t just building. It’s building without ever turning the lights off.
This unique dynamic creates an environment where construction activities are happening adjacent to sensitive testing and treatment, a complex setting where disruptions can have serious consequences.
Skanska continues to successfully navigate these challenges across multiple sectors, including from occupied lab space at the
North Carolina Department of Environmental Quality’s (NCDEQ) Reedy Creek Laboratory in Raleigh to hospital corridors alongside staff and patients in various hospital locations across the country.
Reprinted courtesy of
Jason Tobias, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
Read the full story...
Turnover Traps for Community Associations: Investigate First, Release Claims Later
April 14, 2026 —
Nicholas B. Vargo - Ball Janik LLPTurnover of a community association from developer control to owner control is a uniquely vulnerable moment. Developers are increasingly presenting Florida condominium and homeowners’ associations with “standard” settlement or release agreements at turnover, often being framed as routine steps to finalize the transition of control. In reality, these agreements can have sweeping consequences, including the release of construction-defect claims before the association has conducted any meaningful independent evaluation.
The developer has years of project knowledge and access to plans, subcontractors, and internal records. The newly elected board is just beginning to organize, obtain documents, and understand the property’s condition. Many defects, especially those involving roofing, waterproofing, windows, or structural components, are latent and not yet visible. Signing a release at this stage means the association is making a binding decision under conditions of uncertainty, without full information, to release all future potential claims.
Over the last few years, there has been a rise in reports of developers offering a packaged deal: they agree to complete certain repairs, often minor punch-list or cosmetic items, and to “forgive” an alleged financial deficit (often around $50,000) supposedly owed by the association from the developer-control period. In exchange, the association is asked to sign a broad release covering all claims, including known and unknown construction defects. To a new HOA board that received their community with limited operating and reserve funds, they are left with a difficult decision to either accept the developer’s offer or assess their owners to pay this alleged debt.
These agreements are occasionally presented through community management companies, which may describe them as “standard” or "routine.” Whether due to misunderstanding or influence from the developer, management companies can unintentionally reinforce the idea that signing is expected. Any recommendation provided to HOAs about whether to sign these releases could open community management to liability down the road. The best practice for both associations and community managers is to refer any agreements to be reviewed by general counsel for the association.
The following two case studies illustrate the real-world consequences:
Case Study One: A newly transitioned board relies on its management company to negotiate with the developer-builder to resolve irrigation issues, pond concerns, and signage deficiencies, along with forgiving an asserted financial shortfall. In exchange, the board signs a broad release covering all claims, including latent defects.
Within a year, several punch-list items remain incomplete, and more serious issues arise. When the association demands completion, the developer delays, prompting the association to seek advice on how to enforce the settlement agreement. The association hires counsel to hold the developer responsible for both the previously agreed-upon items and newly identified construction defects. However, when the association brings claims against the developer, the developer points to the release of all potential construction defects in the community. Thus, the only remaining remedy is limited to enforcement of the specific punch-list terms. The community, still relatively new, has no viable claims against the developer-builder for the construction defects. With warranties expired and the release, the association must fund repairs through special assessments, despite defects that would otherwise have been actionable.
Case Study Two: A community is presented with a similar agreement as above. The management company encourages execution, suggesting it is standard and even telling the board to “name your price.” The developer also pressures the newly elected board to sign.
Instead of signing, the board consults with their attorney. Counsel advises the board not to sign the release and recommends further investigation. Engineers are retained and identify early indicators of broader issues, including stucco cracking, water intrusion, and irrigation deficiencies. Based on this information, the association declines to sign the release. Subsequent evaluation reveals potentially significant construction-defect claims, allowing the community to pursue recovery that would have been lost under the proposed agreement.
These scenarios underscore a fundamental point: signing a release at turnover is not an administrative formality—it is a major legal decision. Board members act in a fiduciary capacity on behalf of their community, and their decisions can bind all current and future owners. At turnover, an association’s right is to investigate and pursue claims. Preserving that right until a full and independent evaluation is completed is not adversarial—it is responsible governance.
Accordingly, associations should retain independent evaluations of the property and consult qualified legal counsel before signing any “standard” agreements, especially ones involving a release of future claims.
Nicholas B. Vargo is a partner in Ball Janik LLP’s Construction Practice Group. He may be reached at nvargo@balljanik.com.
How AEC Firms Move AI Beyond the Pilot
July 27, 2026 —
Aarni Heiskanen - AEC BusinessMost AEC firms can run an AI pilot, but few can scale it. Enthusiasm for a first experiment rarely extends beyond the pilot team, leaving the pilot as an isolated win that never changes how the company works. In a recent
AEC Business Podcast episode,
Adeline Chan, CEO and co-founder of Hong Kong-based AAL Innovation, explained why that gap exists and what separates the firms that close it from those that stall.
The Pilot Mindset that Holds Construction Back
Adeline draws a sharp contrast between finance and construction. Banks cannot afford to fall behind their competitors, so they pilot constantly, sometimes running hundreds of proof-of-concept teams in parallel and letting them compete internally to identify the approach that works. The winning concept becomes the standard and scales across the organization, and the return on investment is measured in undeniable numbers.
Read the full story...Reprinted courtesy of
Aarni Heiskanen, AEC BusinessMr. Heiskanen may be contacted at
aec-business@aepartners.fi
