Philadelphia Construction Law Blog

Pennsylvania House Bill 2470 was referred out of the House Finance Committee to the House Rules Committee today. The legislation, which is a major initiative of Pennsylvania residential home builders’ organizations, is designed to extend approvals already obtained for development.

In the case of Bricklayers of Western Pennsylvania Combined Funds, Inc. v. Scott’s Development Company, the majority of the Pennsylvania Superior Court, sitting en banc, overruled the lower court’s decision to dismiss a mechanics’ lien claim by the trustee of the employee benefits fund for the union on the basis that the trustee lacked standing to file the lien under the Pennsylvania Mechanics’ Lien Law (hereinafter “Lien Law”) for unpaid contributions to union members because neither the trustee nor the union were a “subcontractor” under the Lien Law. Under the Lien Law, only a “contractor” and “subcontractor” are permitted to file a lien claim against the owner of real property for debts due to a “contractor” or “subcontractor” relating to improvements made to the property. Under the Lien Law, a “subcontractor” is defined as:

On March 31st of this year, Congress passed a stopgap highway transportation funding bill for the 9th consecutive time. That 90 day extension avoided a complete cutoff of funding to construction and state transportation funds and is set to expire again on June 30th. With Democrats and Republicans in Congress still battling it out, a 10th stopgap bill now seems more likely.

Television has glamorized contractor criticism of late. Often times, a rip-out and rebuild is recommended when it is unnecessary. This type of sensationalism makes for good TV, but the suggestion that a home with a construction defect be completely ripped apart, requiring complete re-construction, is often not a smart move legally.

On May 21, 2012, the Pennsylvania Commonwealth Court addressed an issue which comes up often but has not been addressed by Pennsylvania appellate courts. The issue: Does a general contractor’s use of a subcontractor’s bid in the general contractor’s bid constitute an acceptance of the subcontractor’s bid?

2013 appropriations bill to fund military construction and various Veterans’ Administration needspassed the House on Friday, June 1, 2012. While it did not do so without significant debate over PLA’s and Davis-Bacon requirements, the entire delegations of both Pennsylvania and New Jersey voted in favor of it.

Opinions vary in the construction industry as to whether the economy has turned the corner. Many report an uptick in available projects, while others say the pickings remain slim. There are any number of reports and polls to consider when reaching a conclusion about the current state of the construction economy and where we are headed. At least one more suggests the possibility of better times.

The Environmental Protection Agency recently approved an ambitious $2 billion plan by the City of Philadelphia to drastically transform how stormwater and sewer overflows are managed. Known as the “Green City, Clean Waters” plan, Philadelphia’s initiative will implement the use of innovative green solutions to address the persistent problem of excessive and unsanitary stormwater runoff and sewer overflow. It also involves a substantial investment in green construction over the next two and a half decades.

In what could be seen as a far reaching decision, the United States Court of Appeals for the District of Columbia recently held a firm line in enforcing a 6 month statute of limitations for on-site injury record keeping violations under 29 C.F.R. § 657. The decision – a significant one for those in the construction business – was a firm reminder to the Department of Labor about the principals of separation of powers and its limited power to enforce safety at the project.

Earlier this month, the Pennsylvania Superior Court for the first time issued some very important analysis of the lien priority amendments to the Mechanic’s Lien Law in Commerce Bank/Harrisburg, N.A. v. Kessler.