Catagory:Articles and Publications

1
Overhaul of the Building and Construction Industry Payments Act 2004 (Qld): How the Changes Will Impact Queensland, Australia
2
Preliminary court injunction or adjudication−new legal tools to avoid excessive duration of con-struction court proceedings in Germany?
3
Biggest Risk of Corruption in The Construction Industry: The Global Picture
4
Issues to Consider When Doing Business in Qatar
5
Changes Made to the Pennsylvania Mechanics’ Lien Law to Protect Holders of Open-End Mortgages and Residential Property Owners
6
The Perennial Question of Concurrent Delay – The English Viewpoint
7
“MINT” Countries Focus in Arbitration World – July 2014
8
New LEED Credential Exams Test Skills and Sustainability
9
Challenging an Arbitrator’s Appointment: A study of the position in Qatar and in ICC Arbitration
10
Encore Presentation: EPA’s Expanded “Waters of the U.S.” Definition: Navigating the Unprecedented Reach and Scope of New Rule

Overhaul of the Building and Construction Industry Payments Act 2004 (Qld): How the Changes Will Impact Queensland, Australia

Sandra Steele and Marcel Marquardt, K&L Gates, Sydney

The amendments to the Building and Construction Industry Payments Act 2004 (Qld) (BCIP Act) were passed on 11 September 2014 and received assent on 26 September 2014. The changes contained in the Building and Construction Industry Payments Amendment Act 2014 (Qld) (BCIPA Act) are extensive and will impact most participants in the building and construction industry in Queensland, Australia.

The commencement date is expected in the coming weeks. 
 
To read the full alert, click here.
 

Preliminary court injunction or adjudication−new legal tools to avoid excessive duration of con-struction court proceedings in Germany?

By Kristina Fischer, Eva Hugo and Christoph Mank, K&L Gates, Berlin

In general, German court proceedings relating to construction and engineering matters can take between three to six years and sometimes up to ten years, until a final, binding judgment is obtained. The reasons for such excessive duration in construction court proceedings are manifold: Courts may be overloaded by the number of disputes brought before them, judges may not have the necessary technical or judicial experience or expertise and the clarification of the facts of the case may be time-consuming and not be possible without one or more experts´ opinions. In addition, the losing party generally exhausts all court instances before a case is finally settled. The excessive duration of construction court proceedings is expensive; and often, it even poses a threat to one or both parties´ economic existence.

The call for a reform of the current procedural law for construction disputes is getting louder: Working groups, organizations and experts demand that a new−accelerated−procedure for the resolution of construction disputes must urgently be introduced into the German legal system.

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Biggest Risk of Corruption in The Construction Industry: The Global Picture

By Elizabeth RobertsonLaura Atherton and Dylan G. Moses, K&L Gates, London

The construction industry is big business. A recent study[1] has predicted that global construction output will increase by more than 70%, to US$15 trillion per year worldwide, by 2025. The dominant sources of this growth will be three countries in particular, China, India and the U.S., with much of the remainder in the emerging markets.

This growth is a cause for celebration, but it will not come without challenges[2]. Some of those countries where the highest growth is predicted are also perceived as having the highest levels of corruption[3].

To read the full Whitepaper, click here.

1 The Global Construction 2025 by Global Perspectives and Oxford Economics.
2 The Chartered Institute of Buildings found that 49% of respondents to a 2013 survey thought that corruption was common within the UK construction industry.
3 China is listed at number 80 and India is listed at number 94 out 177 countries ranked by Transparency International on their corruption perceptions index in 2013.

Issues to Consider When Doing Business in Qatar

As part of K&L Gates’ commitment to continuing professional development, the construction and disputes resolution lawyers in our Doha office regularly discuss relevant legal issues that arise while advising clients in Qatar, giving presentations about issues with Qatar law and lessons learned from live matters.

The attached slides features a presentation by Alex Brightman about issues to consider relating to the registration of the local branch of an international construction company who wants to do business in Qatar.

To view the presentation, click here.

 

Changes Made to the Pennsylvania Mechanics’ Lien Law to Protect Holders of Open-End Mortgages and Residential Property Owners

By Raymond P. Pepe, K&L Gates, Harrisburg

Mechanics’ liens grant contractors and subcontractors an interest in improvements made to real property to secure the payment obligations of owners to contractors, and of contractors to subcontractors. While these liens protect the legitimate interests of contractors and subcontractors, if mechanics’ liens impair access to credit needed to finance construction and expose homeowners to financial risks beyond their reasonable and legitimate expectations, mechanics’ liens may impede new construction in a manner clearly contrary to the interests of the contractors and subcontractors whose rights they seek to protect. Newly enacted Pennsylvania legislation attempts to better balance the interests of construction lenders, contractors, subcontractors and property owners.

The legislation clarifies and expands the extent to which mechanics’ liens are subordinate to open-end mortgage used to finance construction and protects the owners of certain types of residential properties from claims by subcontractors when amounts due have been paid to general contractors.

To read the full alert, click here.

The Perennial Question of Concurrent Delay – The English Viewpoint

By Mike R. Stewart and Mary E. Lindsay, K&L Gates, London

Concurrent delay remains a perennial issue in construction contracts and the disputes arising out of those contracts.  The classic situation of “concurrent delay” occurs when both a contractor and the employer allege that the other is causing delay, where the delay caused by each impacts the project at the same time.The key authorities on the topic remain the same, in our view (all emphasis added).

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“MINT” Countries Focus in Arbitration World – July 2014

Welcome to the 27th edition of Arbitration World, a publication from K&L Gates’ International Arbitration Group that highlights significant developments and issues in international and domestic arbitration for executives and in-house counsel with responsibility for dispute resolution.

To view Arbitration World, click here.

To download a printable PDF of the publication, open the link above and click on the fourth icon from the right in the magazine toolbar at the top of the page.

In this edition, we include articles specifically relevant to the “MINT” countries of Mexico, Indonesia, Nigeria and Turkey, tipped as the next economic giants by ex-Goldman Sachs economist Jim O’Neill who coined the term “BRIC ” countries back in 2001. We look at energy reform in Mexico and its potential impact on commercial and investor-state dispute resolution and a recent decision regarding threshold jurisdictional requirements applicable to bilateral investment treaty (BIT) claims, with particular reference to Indonesia. We review some recent decisions of the Nigerian courts which offer support for arbitration, and current trends and future prospects for arbitration in Turkey.

More generally, we survey the tricky issues that can arise with respect to corruption and bribery in international arbitration. We examine the recent ruling by the Supreme Court of India in the Enercon India case and its implications on the drafting of arbitration agreements. We report on a recent case from Texas regarding the implications of allowing the deadline for rendering an arbitration award to pass. We also provide our usual update on developments from around the globe in international arbitration and investment treaty arbitration.

We hope you find this edition of Arbitration World of interest and we welcome any feedback (e-mail ian.meredith@klgates.com or peter.morton@klgates.com).

New LEED Credential Exams Test Skills and Sustainability

By Alexander M. Moss and Jesse G. Shallcross, K&L Gates, Chicago

Starting June 30, 2014, the updated LEED credential exams become available for practitioners who want to demonstrate their competency in green building principles and practices. The new exams incorporate LEED v4 content for the first time, which the U.S. Green Building Council (USGBC) released last fall. See Erin Emery Hartz, LEED v4 credential exams coming June 2014, USGBC (Feb. 7, 2014). Specifically, the LEED Green Associate exam and LEED AP specialty exams feature the new rating system. See id. Several important changes to these exams reflect the growth of green building construction and development in the last several years, especially in Illinois.

The LEED AP certifications are designed for professionals who are working on LEED projects and have acquired expertise in green building and sustainability. See id. Originally, the AP exams did not evaluate LEED project experience within the exam itself. See id. Under the new format, exam questions will require proficiency in cognitive areas as well as particular skills involved in LEED processes. See id. For example, it is not enough for the candidate to simply know what LEED Online is, but rather he or she must know how to use it too. See How is project experience assessed within the LEED AP exam?, USGBC,  Notably, because the AP exams will now inherently evaluate experiential knowledge, the requirement to submit proof of LEED project experience at the time of the application is no longer necessary. Hartz, supra. However, the Green Building Certification Institute still encourages applicants to gain project experience in order to be successful on the skills-based portions of the exams. Id.

The exams will reflect LEED v4’s heightened focus on the lasting impacts of new buildings on the environment. One significant change under LEED v4 is the enhanced Materials and Resources category. LEED MR now includes credits for product optimization and disclosure as well as assessments of the structure’s life cycle in terms of climate change and nonrenewable energy sources. See Theresa Lehman, LEED Credential Exams to Feature v4 Material, Constructor Mag. (Mar. 26, 2014). Furthermore, the Indoor Environmental Quality credits will now include a low-emitting material credit that requires more sophisticated testing and monitoring procedures. See id. Overall, the LEED v4 changes align with the contemporary push for more sustainable and environmentally friendly human development.

As of September 2013, Illinois had the fourth-largest number of LEED-accredited professionals in the United States at 4,688 total credentials held. LEED Professionals at a Glance: September 2013, USGBC (Sep. 23, 2013). In February 2014, the USGBC revealed the top 10 states in the United States for LEED green building, and Illinois ranked first with over 29 million square feet certified, or 2.9 square feet certified per resident. Jacob Kriss, USGBC Releases the Top 10 States in Nation for LEED Green Building, USGBC (Feb. 18, 2014). Illinois ranked third in the top 10 in the number of buildings LEED-certified last year at 171. Id. Only California (595) and New York (259) had more LEED projects. Id. Some of the top LEED projects in Illinois included the Holocaust Museum in Skokie, a 57-story tower on LaSalle Street in Chicago, the Caterpillar Visitors Center in Peoria, and Lincoln Hall at the University of Illinois at Urbana-Champaign. Illinois Leads Nation in “Green” Buildings, NBC CHICAGO (Feb. 19, 2014, 12:15 PM).

The demand for LEED-certified buildings in Illinois and the rest of the United States creates an incentive for construction industry professionals to consider becoming LEED accredited. It remains to be seen whether the new version requirements and exam content will significantly impact the number of new applicants seeking certification. For those who do decide to take the tests, the LEED v4 credentials can be one effective way to express a commitment to green building practices in the 21st century.
 

Challenging an Arbitrator’s Appointment: A study of the position in Qatar and in ICC Arbitration

Harriet Jenkins, Associate in the Doha office, recently presented a study setting out how to challenge the appointment of an arbitrator in a domestic arbitration in Qatar, as well as in international ICC arbitrations. This study was prompted by potential conflict issues as to the nomination of arbitrators which recently arose on two of Harriet’s construction arbitration claims, one being an ICC arbitration seated in London, England and the other a domestic arbitration seated in Doha, Qatar. In this presentation, Harriet explains the standard of an arbitrator to act independently and impartiality, and its duty to disclose potential conflicts of interest to the parties. She also examines the mechanisms available to parties to challenge a suspect appointment and provides insight of the practical issues to consider when deciding whether to mount a challenge to an arbitrator.

To view the full presentation, click here.

Encore Presentation: EPA’s Expanded “Waters of the U.S.” Definition: Navigating the Unprecedented Reach and Scope of New Rule

Presented by Strafford Publications

Due to overwhelming popularity, Strafford Publications has scheduled an encore presentation of the May webinar "EPA’s Expanded "Waters of the U.S." Definition: Navigating the Unprecedented Reach and Scope of New Rule" with live Q&A for Tuesday, July 1, 1:00pm-2:30pm EDT. Friends of K&L Gates are eligible to receive a 50% discount off the cost of registration.
 
The speakers on the panel will:

  • Provide environmental counsel with an in depth review of the EPA’s newly proposed revision that widely expands the reach of its rule defining "waters of the United States" 
  • Examine the huge number of entities, businesses and local governments that will be impacted and how—and the expected legal challenges that the rule change will precipitate 
  • Outline and analyze practical next steps for counsel in moving forward with transactions involving waters under and not yet under EPA control 

After the presentation, the speakers will engage in a live question and answer session with participants to answer questions about these important issues directly.

Panelists:
James T. Banks, Partner, Hogan Lovells US, Washington, D.C.
Kathryn Kusske Floyd, Partner, Venable, Washington, D.C.
Barry M. Hartman, Partner, K&L Gates, Washington, D.C.

Friends of K&L Gates will receive a 50% discount off the cost of registration. To receive the discount, please register by clicking here, or call 1-800-926-7926 ext. 10 and ask for the Clean Water Act Jurisdiction Expansion program on 7/1/2014, and mention code ZDFCT.
 
We hope you can join us! 
 
Via Webinar

For more information on this topic, click here to view our recent alert, "EPA and the Army Corps Propose Rules Expanding Clean Water Act Jurisdiction, Potentially Affecting Everyone Who Uses Lands Where Water Might Be Present," published  on April 3, 2014.

 

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