Cambridge Massachusetts Building Consultant Directory

Florida Issues Emergency Fraud Prevention Rule to Protect Policyholders in Wake of Catastrophic Storms

November 05, 2024 — Geoffrey B. Fehling & Olivia G. Bushman - Hunton Insurance Recovery Blog
Last week, just before Hurricane Milton made landfall, Florida state officials issued an emergency decree to all licensed insurance adjusters in the state to protect homeowners against “unfair and deceptive acts” and “post-storm fraud” by insurance carriers. According to The Washington Post, the Florida Department of Financial Services is requiring that all claim adjusters provide an explanation for each change they make to a consumer’s loss estimate, document those changes, and retain all versions of the estimate and identify who made those revisions. When processing claims, adjusters must also use an electronic estimating system that provides an itemized report of all damage, as well as labor, materials, equipment and supplies. Those costs should be consistent with what a contractor or a repair company in that particular area would charge. “Property damage from Hurricane Milton will be catastrophic and may result in billions of dollars in property losses,” the emergency rule states. “Fair and transparent loss estimates and claims adjustments will be crucial to ensure Floridians are properly and fairly compensated under the terms of their property insurance contracts, while also ensuring ongoing insurer solvency after potentially momentous financial losses.” Reprinted courtesy of Geoffrey B. Fehling, Hunton Andrews Kurth and Olivia G. Bushman, Hunton Andrews Kurth Mr. Fehling may be contacted at gfehling@HuntonAK.com Ms. Bushman may be contacted at obushman@HuntonAK.com Read the full story...

Court Retained Jurisdiction to Enforce Settlement Under Code of Civil Procedure Section 664.6 Despite Dismissal of Complaint

October 21, 2024 — Garret Murai - California Construction Law Blog
Attorneys will commonly add a Code of Civil Procedure section 664.6 provision in their settlement agreements to ensure that courts have continuing jurisdiction to enforce the terms of a settlement, as opposed to having to file a new complaint in the event of a breach of a settlement agreement. Oral settlements before a trial court are also enforceable under Section 664.6, but as discussed in Eagle Fire and Water Restoration, Inc. v. City of Danuba, Case No. F086052 (May 30, 2024), in cases involving a complaint and multiple cross-complaints, questions can arise as to whether a trial court has in fact retained jurisdiction under Section 664.6 to enforce an oral settlement and even what the terms of the settlement were. The Eagle Fire Case Eagle Fire and Water Restoration, Inc. was hired by the City of Dinuba to reroof the City’s police station and courthouse building. The contract was for approximately $500,000. Before completion of the project, a rainstorm caused significant water damage to the interior of the building. The City incurred over $330,000 in clean-up and repair costs and withheld approximately $319,000 from Eagle as an offset. Read the full story...
Reprinted courtesy of Garret Murai, Nomos LLP
Mr. Murai may be contacted at gmurai@nomosllp.com

Report Highlights Trends in Construction Tech, Digitization, and AI

November 11, 2024 — Aarni Heiskanen - AEC Business
Bluebeam, a top technology provider for AEC professionals, has just released its “Building the Future: Bluebeam AEC Technology Outlook 2025” report. This report highlights key global trends in construction technology, including the role of AI and digital tools. Based on insights from over 400 AEC technology leaders, the report also uncovers challenges that prevent full-scale adoption of these tools. The online research surveyed technology decision-makers (managers or above) within AEC firms in the US, UK, Canada, France, Spain, Germany, Australia, and New Zealand in July 2024. AI’s Growing Role in Construction According to the report, 74% of surveyed AEC professionals are now using AI in one or more phases of building projects. AI is especially popular in the design (48%) and planning (42%) stages. Many AEC firms recognize its value: over half (55%) of companies using AI say it’s crucial, and most now allocate up to 25% of their budgets to AI initiatives. Despite this support, concerns over AI regulation are significant. About 54% of respondents are worried about regulations, and 44% say this impacts their use of AI. Read the full story...
Reprinted courtesy of Aarni Heiskanen, AEC Business
Mr. Heiskanen may be contacted at aec-business@aepartners.fi

Wildfire Risk Scores and Insurance Placement: What You Should Know

July 15, 2024 — Louis "Dutch" Schotemeyer & Molly L. Okamura - Newmeyer Dillion
What Are Wildfire Risk Scores and How Are They Calculated? Wildfire risk scores are scores assigned to properties by third-party vendors based on the likelihood of direct or indirect exposure to a wildfire. Wildfire risk scores can be a factor used by insurance companies when making coverage decisions. Additionally, wildfire risk scores can be a helpful metric for real estate developers to consider when determining whether to buy a piece of property. There are a variety of vendors that use unique methods to calculate wildfire risk scores. For example, CoreLogic, FireLine, and RedZone are vendors used by insurance companies in California. Some vendors' scoring scales are from 1-10, and some are from 1-100, but generally the higher the score, the higher the likelihood of a wildfire impacting the property. There is no national, standardized scoring scale. Reprinted courtesy of Louis "Dutch" Schotemeyer, Newmeyer Dillion and Molly L. Okamura, Newmeyer Dillion Mr. Schotemeyer may be contacted at dutch.schotemeyer@ndlf.com Ms. Okamura may be contacted at molly.okamura@ndlf.com Read the full story...

Busting Major Alternative-Lending Myths

July 22, 2024 — Warren Miller - Construction Executive
Alternative capital is a broad term for financing provided by institutions or firms that typically fall outside of the purview of the larger, regulated institutions (i.e., not traditional banks). While these funding sources may not always be the first option for many businesses, alternative lending is a perfect option for many small and mid-sized capital-intensive companies, like construction companies, which often require fast access to capital that is incompatible with the stringent and laborious processes imposed by traditional banks. Construction companies should take a closer look at alternative financing, understand its benefits, and evaluate its usefulness for achieving their unique funding requirements. REALITY 1: ALTERNATIVE LENDING IS SAFE AND PROVEN Private lending has been around for a long time, and has become increasingly common since the 1990s, when major consolidation took place in the banking industry. As the large, consolidated banks set their sights on providing loans to large enterprises, they left a gap in the small and mid-size market that was filled by alternative lenders. By 2000, alternative lenders had overtaken traditional banks for the majority of corporate loans. Stricter regulation of banks following the Global Financial Crisis of 2007 intensified underwriting standards for bank loans and further diminished banks’ appetites for SMB lending. Reprinted courtesy of Warren Miller, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved. Read the full story...

Arizona Court Affirms Homeowners’ Association’s Right to Sue Over Construction Defects

October 15, 2024 — Melissa Kenney - White and Williams LLP
In Gallery Community Association v. K. Hovnanian at Gallery LLC, No. 1 CA-CV 23-0375, 2024 Ariz. App. Unpub. LEXIS 696 (Ct. App.), the Court of Appeals of Arizona (Court of Appeals) discussed whether a homeowners’ association can file an action for breach of the implied warranty of workmanship and habitability arising from construction defects. At issue was whether the implied warranty extended to the areas within the community that the association maintained, including the common areas. The Court of Appeals held that homeowners’ associations can sue builder-vendors for breach of the implied warranty arising from construction defects. In this case, a homeowners’ association, responsible for managing and maintaining a community of townhomes, sued the developer/builder for alleged construction defects in the common area and exteriors of homes that the association maintained for the homeowners in the community. The alleged defects included the pool cabana and staircase walls in the common areas and the exterior walls, roofs, and staircases on the separately owned townhomes in the community. The builder filed a motion for summary judgment, arguing that the implied warranty extended to dwelling actions initiated by homeowners – not homeowners’ associations – and that the alleged construction defects at issue were not related to a dwelling. The trial court granted the motion. The Court of Appeals vacated the trial court’s grant of summary judgment and remanded for further proceedings. In reaching its decision, the Court of Appeals determined that both common law and statutory law authorized the homeowners’ association’s breach of implied warranty claim. Read the full story...
Reprinted courtesy of Melissa Kenney, White and Williams
Ms. Kenney may be contacted at kenneyme@whiteandwilliams.com

Regional US Airports Are Back After Years of Decay

September 23, 2024 — Lebawit Lily Girma - Bloomberg
The ski resorts near Gunnison and Crested Butte, Colorado, are so close to Aspen, you’d think the area wouldn’t need its own airport. Their glitzier neighbor is just 48 miles north as the crow flies, though that’s roughly 150 miles by road. But people flocking to Crested Butte’s laid back town, extreme ski slopes and epic mountain biking have a new reason to bypass farther-away Aspen: the destination’s gleaming new airport, which debuted in January 2023. Not only is the Gunnison-Crested Butte Regional Airport terminal easy to get across quickly, at just 40,000 square feet, it's also heated and cooled with geothermal energy and uses triple glazed windows to keep travelers warm in a town known to be one of the coldest places in the US. And Crested Butte isn’t the only small town airport receiving an upgrade. All across the US, at least a dozen small and medium-size facilities are being renovated and, in some cases, entirely rebuilt—typically on budgets that stretch eight and nine figures. That contradicts a long-held belief among aviation industry pros that these regional facilities were destined to gather dust and die out. Read the full story...
Reprinted courtesy of Lebawit Lily Girma, Bloomberg

AI AEC Show: Augmenta Gives Designers Superpowers

December 31, 2024 — Aarni Heiskanen - AEC Business
In this episode of the AI AEC Show, host Aarni Heiskanen interviews Aaron Szymanski and Francesco Iorio, the visionary founders of Augmenta, to explore how generative AI is revolutionizing design. Augmenta’s platform gives designers superpowers by automating complex workflows, doubling productivity, and enabling better, faster decision-making. Discover the fascinating origin story of Augmenta, born from the intersection of industrial design frustration and cutting-edge AI research. Aaron and Francesco share how their backgrounds in manufacturing, design, and technology led them to tackle inefficiencies in the construction industry—starting with electrical raceway design. They reveal how their AI-powered tools save time and optimize designs for cost, sustainability, and constructability. Read the full story...
Reprinted courtesy of Aarni Heiskanen, AEC Business
Mr. Heiskanen may be contacted at aec-business@aepartners.fi

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