Upcoming Virtual Sticks-and-Bricks CLE Program Hosted by the Construction Law Section

By Daniel J. Knight

Dear Section Members,

The NCBA Construction Law Section is hosting a day-and-a-half long CLE on September 24 and 25, 2020. Not immune to the effects of the ongoing public health crisis, this year’s CLE will take place virtually from the comfort of your office, your home, your backyard, or even a beach. Just in case you are wondering, yes, the dress code for this year’s event is “casual.”

All joking aside, this year’s CLE is a sticks-and-bricks presentation, focusing on developing a thorough understanding of the basis for the claims we, as construction attorneys, deal with on a daily basis. Segments include zoning and land use regulations, project scheduling, building envelopes, the design process, structural engineering and civil engineering. Attendees will also hear about legislative updates impacting the construction industry and learn about current trends and hot topics in the industry. Finally, for those still in need of ethics hours, this year’s CLE has been approved for 1.0 hour of Ethics/Professional Responsibility Credit.

As if attending a CLE in your pajamas or on a beach wasn’t incentive enough, the Construction Law Section is offering a $50.00 discount to the first 75 registrants. We still have several discounts left, but you better hurry.

For more information and to register, visit the North Carolina Bar Association’s website. On behalf of the Construction Law Council, we look forward to seeing you there.

Licensing Board Offers Virtual Continuing Education Courses For General Contractors Amid COVID-19

By Jillian C.S. Blanchard

As of January 1, 2020, all general contractors holding a building, residential or unclassified contractor license classification are required to have one of their qualifiers complete eight hours of continuing education on an annual basis in order to renew their license. The continuing education requirement for each new year begins on January 1 and must be completed by November 30. However, the qualifier has a 90-day grace period past November 30 to complete their full eight hours. The failure of a qualifier to complete continuing education requirements before the expiration of the 90-day grace period will result in the invalidation of the contractor entity’s license until continuing education and other licensing requirements have been met.

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Is a Contractor’s License and Building Permit Required to Install Industrial Manufacturing Equipment in North and South Carolina?

By David J. Parrish 

National and international manufacturing companies continue to open new manufacturing facilities and expand their existing facilities in North Carolina and South Carolina. This raises the issue of whether the manufacturing equipment used in such facilities must be installed by a licensed contractor under a building permit. It is not uncommon that such equipment is manufactured oversees and for the foreign vendors to fly their employees into the United States to install the equipment. In a recent article, I discuss the contractor licensure requirements and/or exemptions in North and South Carolina for industrial equipment installation. Click here to read the article.

Happy New (Bar) Year, Construction Lawyers

By Matt Bouchard

Greetings, fellow members of the Construction Law Section, and welcome to the 2020-2021 bar year! It is my honor and privilege to serve as Chair this year and to work with an outstanding group of council members, committee co-chairs, and NCBA staff to reward your Section membership with top-notch programming, activities, content, and other benefits, all aimed at adding meaningful value to your law practices and professional development.

Like the clients and the industry that we serve, our Section will face unique challenges in the months ahead as North Carolina and the country at-large continue to navigate the COVID-19 pandemic. Those challenges include safely providing the same excellent CLE programming that has served as the cornerstone of our Section’s offerings each year. Toward that end, our CLE Committee is working diligently to transition its Summer 2020 program, originally scheduled for in-person presentation in Wilmington, to a webcast format. I urge all of you to mark your respective calendars for the Committee’s “Laying the Foundation, Brick by Brick” CLE webcast the afternoon of Thursday, September 24 and all day Friday, September 25. This not-to-be-missed “sticks-and-bricks” program will focus on a range of construction practices presented by industry experts as well as your Section cohorts, with sessions focused on zoning and other regulatory issues, civil and structural engineering, building envelope considerations, and much more (including Jay Wilkerson’s always anticipated case law update). Please watch this space for additional details soon. And since your calendars are now open, go ahead and mark Thursday, February 18, 2021, for our Winter CLE program and Annual Meeting, to be held in-person (fingers crossed!) at the Bar Center in Cary. Again, details to follow.

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Effective June 26, 2020: Face Coverings Required At Construction Sites Where Six Feet Of Social Distancing Is Not Possible

By Riley W. Smith

On June 24, 2020, Gov. Roy Cooper signed Executive Order No. 147 (“Order 147”), which extends North Carolina’s Phase 2 easing of coronavirus restrictions until 5 p.m. on July 17, 2020. Significantly, Executive Order No. 147 not only delays Phase 3 easing of restrictions but also includes certain amendments to Gov. Cooper’s original Phase 2 Order requiring additional protective measures to mitigate the spread of COVID-19. These additional measures, which went into effect at 5 p.m. on Friday, June 26, 2020, include a requirement for face coverings at construction sites. Specifically, and pursuant to Section II of Order 147, Gov. Cooper’s initial Phase 2 order has been amended to require that all construction workers “must wear face coverings when they are or may be within six (6) feet of another person.”

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In the Uncertain Times of COVID-19, the Bar can Provide a Source of Refuge for those with Questions – Volunteer Opportunities

By Brett M. Becker

During these uncertain times and the impacts of COVID-19, many people are left with questions and a lack of resources to find answers. The Construction Law Section has an opportunity to provide its knowledge and be a source for those with these needs.

The North Carolina Bar Foundation now has three COVID-19 Virtual Legal Hotlines scheduled, and we have been invited to participate in any or all of them:

COVID-19 Legal Hotlines:

Register here to volunteer for the May 21 Western N.C. event

Register here to volunteer for the May 29 Triangle Area event

Register here to volunteer for the June 12 Triad event

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OSHA Releases COVID-19 Guidance for the Construction Workforce

By Jonathan Massell 

As we have all witnessed, the COVID-19 situation remains incredibly fluid and presents unique challenges to the construction industry, which has been deemed an essential business in the Carolinas. On April 21, 2020, OSHA issued an alert containing COVID-19 safety guidance that is specifically directed to the construction industry. A copy of the one page OSHA alert can be viewed here: https://www.osha.gov/Publications/OSHA4000.pdf.

It is imperative that construction professionals review the OSHA guidance and ensure that they are taking all necessary steps to comply. This is important not only for protecting the health and safety of construction workers and the general public, but also for avoiding a possible OSHA violation for failure to adhere to its COVID-19 safety guidance. As many in the industry know, OSHA’s General Duty clause is very broadly enforced. Though current supply shortages of PPE and various cleaning materials present obstacles to compliance, construction professionals should do their best to follow the OSHA guidance by using the resources they have available. As an additional step, we recommend that construction professionals print out and post the linked OSHA guidance at their jobsites and office locations as a visual reminder to their workers of the steps necessary to keep themselves and the general public safe.

Construction Law Alert: COVID-19’s Impacts on Construction Projects

This article was originally published by Nexsen Pruet and has been reposted with permission.

By Eric H. Biesecker

COVID-19 and the ensuing shutdown of much of the economy will affect construction projects dramatically. Projects have become more difficult to perform as industry participants juggle their obligations to their customers, employees, and the public. The impacts will get worse before they get better. This article identifies some construction law issues facing owners, contractors, subcontractors, and suppliers grappling with the impacts of the virus.

When a contractor or subcontractor cannot meet the project schedule, does COVID-19 excuse the delay and warrant a time extension? It depends on the language of the contract. As discussed by my colleague, David Robinson, in his March 3 Insight, in most US jurisdictions, epidemics, pandemics, and other unforeseeable Acts of God do not automatically excuse breaches of contract. In order to determine whether COVID 19 provides an excuse, begin by looking at the terms of the relevant contract.

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Beware of the Risks! No Ownership, No Lien

Republished with permission from Smith Anderson.

A recent North Carolina Court of Appeals decision reiterates the importance of knowing who you are dealing with when undertaking work or selling materials in connection with any construction or development project in our state. In a recent decision the Court of Appeals found that the design firm that performed design services for a prospective property purchaser could not properly assert a lien on the property, given the design services were never actually used to improve the property.  While this case involved a design firm, the lesson of this case extends to any party providing labor or materials on any type of construction or development project in the state. Read more here.

Written by:

Andrew Atkins
Peter Marino 
Patrick Wilson

 

The Mid-Winter CLE is Just Around the Corner!

By Jonathan Massell

As the robot in Lost in Space would say, “Danger, Will Robinson.” However, this alert is not about a warning to a pioneering family of space colonists.  Rather, it is a warning to you, as a member of the Construction Law Section, that the deadline for this year’s Mid-Winter CLE is fast approaching and you are in danger if you have not registered. Here is the rest of the story . . .

This year’s Mid-Winter CLE will take place on Thursday, February 20, 2020 at the NC Bar Center in Cary. The program is titled: Construction Law Potpourri: An Assortment of “Trends and Changes” Topics Requested by Our Members. Designed to address a variety of topics, this program addresses an assortment of trends and changes in the field. These topics, chosen by the section members, include basic lien law at the forefront of a dispute, the bankruptcy considerations at the tail end of a dispute and everything in between. Each session provides practical information for the everyday practice of construction law. Don’t hesitate to register if you wish to attend as those who register by January 30, 2020 will receive a 10% discount. Pasted below is a link to the online brochure containing the detailed agenda and list of speakers.

On a final note, a networking reception will be held the night before the CLE between 5:00-6:30 p.m. at Whiskey Kitchen, 201 West Martin Street, Raleigh. Even if you are unable to attend the CLE, please try to swing by the networking reception to enjoy drinks and appetizers with your fellow Section members.

Link to brochure:

https://www.ncbar.org/media/990576/837clp_web.pdf