Construction Law News Blog

Ohio EPA Releases Proposed Surface Water Rules for Public Comment

The OEPA has released proposed new Surface Water Rules that can impact testing, permitting, and other activities required during construction, particularly during earthwork and site development.  Read More ›

National Labor Relations Board Finds Mandatory Arbitration Agreements Unlawful

In another sweeping decision altering what has become a common dispute resolution practice for many employers, the National Labor Relations Board held that mandatory arbitration agreements which preclude the filing of joint, class, or collective claims are unlawful as violative of Section 8(a)(1) of the National Labor Relations Act.  In D. R. Horton, Inc., decided on January 3, 2012, but not issued until January 6, the Board ruled that the company violated federal law by requiring employees to sign arbitration agreements that prevented them from joining together in any way to pursue employment-related claims.  D. R. Horton, a nationwide home-building company, prevented an employee from joining with other employees to arbitrate a single, collective action alleging overtime claims of alleged non-exempt superintendents.  The Board forbade that all such claims be brought to an arbitrator on an individual basis.  

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Owner’s Failure to Follow Contractual Requirements Regarding Termination and Notice of Claim to the Performance Bond Surety is Fatal to Claim

The Indiana Court of Appeals recently issued an opinion addressing the AIA contractual requirements regarding proper termination of a contractor and notice of claim to the surety.  In Town of Plainfield v. Paden Engineering Co., Inc., 943 N.E.2d 904 (Ind. Ct. App. 2011), the owner and the contractor (“Paden”) executed the Standard Form AIA Contract Between Owner and Contractor (“Contract”).  Paden delivered an AIA A312 Performance Bond, which expressly incorporated by reference the terms of the Contract, to the owner.  Submitted by Brian M. Falcon Read More ›

Retainage Reform in Ohio?

Ohio legislators have contemplated retainage reform for years.  New legislation is being drafted to attempt reform retainage on private construction projects (LSC 129 1897).  Read More ›

Feds Crack Down on Fraud in Small Business Procurement Programs

The Federal Government has a stated goal to award 23% of prime contract dollars to small businesses, with sub-goals for HUBZONE, Women-Owned businesses, Service-Disabled Veteran-Owned businesses and Small Disadvantaged businesses.  Last year, the Federal Government spent approximately $9 Billion on construction contracts awarded to small and disadvantaged businesses.
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Hewitt v. L.E. Myers; Ohio Intentional Tort

Despite an Ohio statute that protects employers from most intentional tort claims, the Court of Appeals in Cuyahoga County recently upheld a jury verdict of nearly $600,000 in favor of an employee who was injured on the job and had already received workers' compensation.  Hewitt v. L.E. Myers, 2011 Ohio 5413 (Ohio Ct. App. 8th Dist. October 20, 2011).  The employee was electrically shocked while working with energized high-voltage power equipment.  A supervisor had instructed the employee to work alone without wearing protective safety equipment.  Because of this instruction, the employee was able to persuade the jury that the employer put him in harm's way even though it "knew with a substantial certainty" that the employee would be injured.   Read More ›

IN Court of Appeals Addresses Sufficiency of Contractor’s Claim under Indiana’s Antitrust Act

On October 25, 2011, the Indiana Court of Appeals published its decision in Skyline Roofing & Sheet Metal Co., Inc. v. Ziolkowski Constr., Inc., which addressed, among other issues, the sufficiency of a roofing subcontractor’s antitrust claim against a general contractor and local union. Read More ›

IRS Announces New Voluntary Classification Settlement Program, Providing Past Payroll Tax Relief to Employers Who Reclassify Workers

The IRS announced a new Voluntary Classification Settlement Program (“VCSP”) on September 21, 2011.  The VCSP provides taxpayers not currently under examination with an opportunity to voluntarily reclassify their workers as employees for future tax periods. The employer will be liable for 10% of the liability due on compensation for the most recent tax year, as determined under the reduced rates of Code Sec. 3509, but will not be liable for penalties and interest and will not be subject to audit for employment tax issues. Read More ›

What Project Delivery Method will be Used for the Louisville-Southern Indiana Ohio River Bridges Project?

Spurred by President Obama’s visit to the I-71/75 Brent Spence Bridge last week, bridge construction projects continue to be in the news across the country.  The Louisville Southern Indiana Ohio River Bridges Project, which is one of the largest transportation projects in the United States, continues to move forward.  One of the issues that must be decided is what project delivery method will be used for the project.  On September 13 the Bridges Authority issued a Request for Information to aid in its selection of a delivery model and financial plan for the project. http://www.bridgesauthority.com/wp-content/uploads/2011/09/RFI-final-9-13-11.pdf The RFI seeks input on the following questions: Read More ›

Oh Where, Oh Where, Oh Where Have the Indiana Recovery Act Dollars Gone?

It has been over two years since the completion of the first construction project funded through the American Recovery and Reinvestment Act (“Recovery Act”).  In July 2009, the Indianapolis Executive Airport’s runway was reconstructed at a cost of approximately $3.4 million.  As of June 30, 2011, Indiana is set to receive more than $4.5 billion in Recovery Act funding.  Of this amount, Indiana has already received $3,258,419,927.  So how has our share been allocated and spent?

Before detailing how Recovery Act funds were dispersed in Indiana and in order to bring context to these dollar amounts, it is helpful to review the overall nation-wide distribution of all Recovery Act funds.  Recovery Act funding is broken down into three basic categories:  (1) Tax Benefits; (2) Contracts, Grants & Loans; and (3) Entitlements.

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Attorney Spotlight

C. Michael Shull, III focuses his practice on construction law and litigation. Michael's client representations range from casinos and ENR Top 400 contractors to design firms and subcontractors.

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