Construction professionals in New York face new hurdles in ensuring they are covered as additional insureds under other parties’ commercial general liability insurance policies.

In 2002, a New York City agency contracted with a general contractor and a construction manager to construct a forensic laboratory. The owner’s contract with the GC required that the GC obtain general liability insurance for the project containing an endorsement naming the owner and the construction manager as additional insureds.

Four years later, the owner sued the GC and the project architect, claiming they negligently damaged the excavation support system. In 2010, the architect commenced a third-party action against the construction manager, which promptly notified its insurance carrier seeking defense and indemnity under the GC’s policy. The carrier refused, and in 2012, the construction manager filed a lawsuit, arguing that it indeed qualified for coverage.


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One of the general and principal benefits of incorporating a business entity is limited liability; the owners of a corporation are not liable for the corporation’s actions or debts. There are, however, exceptions. One of the exceptions is the doctrine of “piercing the corporate veil,” under which courts may cast aside the “veil” of incorporation and hold a corporation’s shareholders personally liable for the corporation’s actions. 
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A New York appellate court issued a decision in 2016 that serves as an important reminder to all tiers of the construction industry: courts take the notice provisions in your construction contracts very seriously. In the Schindler Elevator Corp. v. Tully Const. Co., Inc. case, the Appellate Division dismissed a subcontractor’s claim in its entirety because emails and letters that the subcontractor provided to the prime contractor did not comply with the strict notice provision in the prime contract.
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On February 12, 2016, New York City Mayor Bill de Blasio and New York City Department of Buildings Commissioner Rick Chandler announced a new aggressive campaign to improve worker safety on construction sites. Specifically, commencing next Tuesday, February 16, rigorous safety sweeps of constructions sites ten stories or less are expected to be performed.

Doubtlessly, this initiative is a direct result of 1) an increase in construction related deaths in 2015, and 2) the investigation into the death of a worker on a project at Ninth Avenue that resulted in, among other things, the August 5, 2015 indictment of Harco Construction and its site safety manager for manslaughter and the debarment of Harco for safety violations.

In 2015, there were 11 deaths on New York City construction sites during which time there has been a 300% increase in construction in the City. However, in an unexpected development, 70% of all accidents occur at building sites of less than 10 stories.


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By: Joyce J. Sun and Peter Plevritis

As a contractor or subcontractor, timely receipt of payment can be the difference between continuing to grow your company and closing its doors. Because of this, contractors and subcontractors will frequently try to shift the risk of nonpayment by the owner onto their subcontractors through the use of

On April 11, 2013, the United States Small Business Administration (SBA) announced that $19 million in grants will be made to SBA resource partners to support small business recovery in the wake of Hurricane Sandy. The funding is part of a package approved by Congress in January to meet the demand for expanded SBA assistance

By: Daniella Gordon and Jennifer M. Horn

Several top New York construction companies have been served with federal subpoenas seeking information regarding their billing practices in connection with New York public works projects.  Skansa USA Building, Inc., Turner Construction Co., Plaza Construction and Tishman Construction Group were among the construction firms served with information

For an increasing number of contractors, survival in the current economy has resulted in the need to find and secure work in other states. The migration of contractors to neighboring states is apparent throughout Jobs.pngthe country. Besides the work itself, benefits of an expanded geographic footprint include a broader client base, thereby creating mutually