Category Archives: Infrastructure

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EPC Contractors Procuring from Foreign Companies need to Reconsider their Contracts

A recent California case may force engineering, procurement and construction companies doing business with foreign suppliers to reconsider—and maybe rewrite—their contracts. In Rockefeller Technology Investments (Asia) VII v. Changzhou SinoType Technology Co., Ltd., the California Court of Appeal held that parties may not contract around the formal service requirements of the Convention on the Service … Continue Reading

Contractors May Benefit by Taking Equity in the Project They are Constructing

Contractors may benefit in making a small equity investment in the projects they construct. The financial benefit can arise from the investment itself and from improved understanding and communication with the owner during construction itself. In the past, it was not unusual for construction companies to make small equity investments in the projects they worked … Continue Reading

Public Private Partnership Upheld For Construction of Presidio Parkway

In 2009, the California legislature amended Section 143 of the Streets and Highways Code and greatly expanded availability of the public-private partnership (“P3”) as a mechanism to finance transportation infrastructure projects. In early 2010, under the authority of the newly amended Section 143, the California Department of Transportation (“CalTrans”) began to implement part of the … Continue Reading

Modified Total Cost Method of Proving Damages: Approved For California Public Works

By Edward B. Lozowicki and Bram Hanono Dillingham-Ray Wilson v. City of Los Angeles, 182 Cal.App.4th 1396 (opinion modified by 106 Cal.Rptr.3d 691, (April 16, 2010, No. B192900)) In Dillingham-Ray Wilson v. City of Los Angeles, the California Court of Appeal signaled its holding in the first sentence of its opinion: "The City of Los … Continue Reading

General Contractors’ Liability to Subcontractors’ Employees On Public Infrastructure Projects

By Edward B. Lozowicki As residential and commercial construction markets evaporate and contractors fight for survival, new opportunities are appearing in the form of public infrastructure projects. The federal government is pouring money into public infrastructure and construction projects, to the tune of about $143 billion in total. Of that total, about $14 billion is … Continue Reading

New California Law Prohibits Retention on CalTrans Transportation Projects

By Edward B. Lozowicki California has enacted a new law, Senate Bill 593, which prohibits CalTrans from withholding retention from progress payments to contractors on transportation projects. CalTrans has implemented this law by changing its Standard Specifications to delete the customary retention requirement. The official announcement from CalTrans states:… Continue Reading
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