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. Continue Reading First Department of New York Loosens the Standard for “Piercing the Corporate Veil”
This article was originally published in the 2017 edition of the Utility and Transportation Contractor Association’s Magazine.
If you are a union contractor, you are probably making contributions into one or more union pension funds every month. These pension funds, known as multi-employer pension plans (MEPs), rely on a number of employers paying their share toward a common fund. Notably, because of the nature of these pension plans, many (if not all) of them are underfunded and do not presently have enough assets to cover their expectant liabilities. However, despite underfunding, employees are still entitled to their full pension benefits. But who is responsible for this unfunded amount, and what happens if you exit the fund? Continue Reading What Every Contractor Needs to Know About Withdrawal Liability
Have you ever been in a situation where your subcontractor or fabricator did not have the financial ability to purchase material needed for a project? Have you ever offered your assistance by way of either directly purchasing the material and providing it to the subcontractor/fabricator or advancing funds to the subcontractor/fabricator to allow for the purchase? While this arrangement has its advantages, contractors should be aware of their exposure, particularly if the subcontractor/fabricator has financial issues down the road. Even though a contractor fronts the funds to purchase the materials, it could lose its interest in those materials to the subcontractor/fabricator’s lender, especially if that lender holds a security interest in the subcontractor/fabricator’s inventory. Continue Reading Contractors: Protect your Investment in Materials
October 26, 2017 – King of Prussia, PA
Cohen Seglias, Madison Risk Group, McCarthy & Company, and The Shepherd Agency invite you to their 2017 Construction Executive Boot Camp featuring New York Times best-selling author Steve McClatchy. Steve will present his Decision-Making System that will help you manage the pressures and tensions inherent in creating, building, leading, and sustaining a fast changing high-performance company within the construction industry. Continue Reading Construction Executive Boot Camp 2017
In a previous post, we wrote about drones (which are more formally referred to as “unmanned aircraft systems” or UAS), as well as the nascent federal and state statutory and regulatory framework.
Since our last article, drone use – as predicted – has grown more prevalent throughout the U.S. commercial marketplace and especially the construction industry. Last year, an estimated 2.5 million drones were sold in the United States, and approximately 670,000 drones were registered with the Federal Aviation Administration (“FAA”) during the same time period. Continue Reading Still “Up in the Air”: More Drones and More Regulations
On July 26th join Cohen Seglias attorneys Matt Gioffre and Dan Fierstein for their seminar, “Killer Contract Clauses for Construction & Service” for the Mechanical & Service Contractors Association (M&SCA) in Blue Bell, PA. Matt and Dan will explain Killer Contract Clauses, how courts will interpret and enforce them, and will provide best practice tips for managing a project to minimize the impact of these contractual provisions.
Design professionals doing business in Kentucky beware: the Kentucky Court of Appeals recently held that a contractor may pursue a negligent misrepresentation claim against an architect for delays to a project resulting from allegedly defective plans and specifications. The Court permitted the contractor’s tort claim despite the absence of a contractual agreement between the parties and the fact that the contractor signed documents that waived its claims. Continue Reading KY Contractors Can Now Assert Claims for Negligent Misrepresentation Against an Architect Despite Absence of a Contract
We are pleased to announce that eleven Cohen Seglias attorneys were selected to this year’s Pennsylvania Super Lawyers list and eight attorneys to the Pennsylvania Rising Stars list in the areas of Construction Litigation, Government Contracts, Employment & Labor, and Employment Litigation: Defense. The Super Lawyers list recognizes no more than 5 percent of attorneys in each state, and no more than 2.5 percent in each state for the Rising Stars list.
Continue Reading Cohen Seglias Attorneys Selected to the 2017 Pennsylvania Super Lawyers List
Liability in Green Building
On June 13th, join Lane Kelman and Jennifer Budd for their Delaware Valley Green Building Council Lunch & Learn on liability in green building. The Lunch & Learn will be held at the Philadelphia office of Cohen Seglias where lunch will be provided. GBCI and AIA credits available. Continue Reading Delaware Valley Green Building Council Lunch & Learn: Liability in Green Building
In Pennsylvania, it is well-established that a homeowner can assert claims for fraud and violation of Pennsylvania’s consumer protection statute – the Unfair Trade Practices and Consumer Protection Law (“UTPCPL”) – against a contractor based upon the contractor’s representations, even absent any contractual relationship between the homeowner and the contractor. Essentially, where a contractor makes a representation on which reliance is “specially foreseeable” and the homeowner relies upon the representation and sustains damages as a result, the homeowner may have a claim against the contractor. This scenario often comes into play where a homeowner asserts a claim against the builder where the homeowner is not the initial purchaser of the home, but rather a subsequent purchaser. Continue Reading Adams v. Hellings Builders, Inc.: PA Superior Court holds that a homebuilder can be liable for representations made in its promotional materials