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U.S. Supreme Court Decision May Negate State Law Requirement to File a Certificate of Merit with the Complaint in a Federal Action Against a Design Professional

April 27, 2026 — Christopher Olsen & Phillip Boldt - ConsensusDocs
To deter frivolous and unfounded claims against design professionals, states throughout the country have enacted statutes which generally require litigants to furnish a formal certification of merit (“COM”) from a qualified expert or face potential dismissal of their lawsuit. These COM statutes can impose a significant front-end burden on claimants who must pay an expert to review project records, interview the project team, and prepare a formal report before the lawsuit can be filed—often regardless of the amount in controversy. However, in light of a recent U.S. Supreme Court decision in a medical malpractice case, most, if not all of these statutes, may no longer be enforceable in federal court. This article examines the recent decision in Berk v. Choy, 146 S. Ct. 546 (2026), the decisions thus far which have applied Berk to invalidate COM statutes, and other categories of statutes applicable to the construction industry which may face a similar fate. The U.S. Supreme Court Decision (Berk v. Choy) In Berk, the plaintiff, Harold Berk, sued a doctor for medical malpractice under Delaware law in Delaware federal court. 146 S. Ct. at 551. Under Del. Code, Tit. 18, § 6853(a)(1), an affidavit of merit (like a COM) must accompany a complaint alleging medical malpractice. Id. Berk failed to include an affidavit of merit with his complaint. Id. at 552. Applying Delaware state law, the federal court dismissed Berk’s medical malpractice claim. Berk appealed to the Third Circuit, arguing that the affidavit of merit required by § 6853(a)(1) is unenforceable in federal court because it is more onerous than the Federal Rules of Civil Procedure. The Third Circuit affirmed the District Court’s ruling, finding § 6853(a)(1) enforceable in federal court. Reprinted courtesy of Christopher Olsen, Peckar & Abramson, P.C. and Phillip Boldt, Peckar & Abramson, P.C. Mr. Olsen may be contacted at colsen@pecklaw.com Mr. Boldt may be contacted at pboldt@pecklaw.com Read the full story...

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Idaho Contractor Registration: Lessons from the Ward v. Bishop Decision

April 20, 2026 — Tara Martens Miller - Snell & Wilmer
The Idaho Supreme Court’s recent decision in Ward v. Bishop Constr., Ltd. Liab. Co., No. 51118, 2025 Ida. LEXIS 143 (Dec. 31, 2025) offers valuable guidance for contractors and construction attorneys navigating the Idaho Contractor Registration Act (ICRA). The December 2025 ruling clarifies critical questions about when and how defendants may raise contractor registration defenses, the weight of pretrial stipulations, and the consequences of procedural missteps in construction litigation. This article examines the key takeaways from the decision and offers practical actions for consideration by those working in Idaho’s construction industry. The Facts Behind the Dispute The case arose from a long-standing working relationship between cousins Joel Ward and Ren Bishop dating to the 1990s. Ward performed general construction work for Bishop Construction, LLC, including building, plumbing, electrical, framing, roofing, and siding work on projects in Idaho, Montana, and Wyoming. Bishop agreed to pay Ward $10 per hour, later increased to $12 per hour, plus one-way travel expenses. Between 2017 and 2019, Ward worked over 1,100 hours but was never paid, totaling $12,443.54 in claimed damages. Read the full story...
Reprinted courtesy of Tara Martens Miller, Snell & Wilmer
Ms. Miller may be contacted at tmmiller@swlaw.com

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AI Adoption in Construction: A UK Practitioner’s View

April 20, 2026 — Aarni Heiskanen - AEC Business
I recently talked with Chris Brady, an AI adoption consultant based in Birmingham, UK, who has spent 18 years working in construction. Two years ago, he began integrating AI into his work with contractors and SMEs, initially as an add-on service, and it has since become his main business. Chris now runs Metrix, an AI consultancy focused on UK construction companies, alongside two other ventures: Trade Upskill, an education platform for construction professionals, and ctrldash.ai, a compliance-automation SaaS for construction SMEs, both of which are soon to launch. What struck me most in our conversation was how grounded his approach is, built on years of direct industry experience rather than arriving from outside with a technology solution looking for a problem. Read the full story...
Reprinted courtesy of Aarni Heiskanen, AEC Business
Mr. Heiskanen may be contacted at aec-business@aepartners.fi

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Oracle's $16B Michigan Data Center Secures Financing as Power Contracts Face Appeals

June 08, 2026 — Bryan Gottlieb - Engineering News-Record
A $16 billion hyperscale data center under construction outside Ann Arbor, Mich., has secured financing backed by Blackstone and other institutional investors, even as the project's power supply agreements now face a legal challenge before the Michigan Court of Appeals. Read the full story...
Reprinted courtesy of Bryan Gottlieb, Engineering News-Record
Mr. Gottlieb may be contacted at gottliebb@enr.com

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Supreme Court Rules Tariffs Unconstitutional: Why the Construction Industry Shouldn’t Expect Calm Just Yet

March 31, 2026 — Christopher Barnett - Construction Executive
The U.S. Supreme Court’s 6–3 decision in Learning Resources, Inc. v. Trump did what many expected: It held that the International Emergency Economic Powers Act (IEEPA) does not authorize the President to impose tariffs. What few anticipated was the speed of what followed: Within hours of the ruling, the administration announced replacement tariffs under Section 122 of the Trade Act of 1974, imposed a 10% global surcharge effective February 24, and signaled forthcoming Section 301 investigations against most major trading partners. For those in the construction industry hoping the Learning Resources ruling would restore market stability, the message was unambiguous. The constitutional question may be settled, but the market disruption is not. Reprinted courtesy of Christopher Barnett, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved. Read the full story...

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Builders Oppose Senate Housing Bill Over Investor Ban Provision

March 24, 2026 — Katy O'Donnell - Bloomberg
A powerful group representing the nation’s home builders is coming out against the most significant housing legislation in more than a decade over a provision negotiated by the White House that would restrict institutional investors from purchasing single-family homes. The builders’ objection could imperil the bill’s chances of becoming law, even as leaders of both parties are desperate to show they are doing something to alleviate voters’ cost-of-living concerns. The Senate voted 90-8 to clear a procedural hurdle for the bill on Wednesday, with a vote on final passage expected early next week. The inclusion of the investor ban in a broader housing bill was key to getting the White House on board, Senate Banking Committee Chairman Tim Scott, a Republican from South Carolina, told reporters Tuesday. Read the full story...
Reprinted courtesy of Katy O'Donnell, Bloomberg

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Managing Rising Costs and Shifting Legal Risk for Florida High-Rise and Condominium Projects

May 05, 2026 — Stephen Hauptman - Ball Janik LLP
Florida's construction defect landscape is experiencing a major shift. The convergence of material and labor cost volatility, regulatory tightening, and increasingly complex litigation strategies is forcing associations, developers, and their counsel to rethink how they approach risk management and dispute resolution. For those managing large-scale condo and high-rise projects, the stakes have never been higher. The Cost Volatility Trap Construction material prices rose at a "staggering" 12.6% annualized rate during the first two months of 2026, according to recent industry analysis. Tariff impacts are projected to lead to more increases of 5.4% to 6.8%, depending on property type. For associations facing construction defect claims, this volatility creates a cascading problem: repair scopes defined two years ago are now dramatically underpriced, and damage calculations that appeared reasonable at discovery are obsolete by the time of settlement. Courts and mediators are increasingly scrutinizing how cost estimates were developed and whether they account for existing market circumstances. Associations must now commission updated repair assessments more frequently, a practice that increases investigation costs but strengthens the credibility of damage claims. Conversely, defendants are weaponizing cost inflation as a defense, arguing that claimed damages are speculative or inflated. The practical result: repair sequencing and phasing strategies have become critical litigation tools. Associations that can demonstrate a rational, cost-effective repair plan tied to current market data are more favorably placed in settlement negotiations. Regulatory Pressure and Deliberate Timing Florida's 2026 condo compliance regime has significantly changed the defect claims landscape. Elevated transparency requirements, stricter reserve funding mandates, and tightened building safety inspection protocols mean that associations now face dual pressures: Comply with new regulations while simultaneously handling construction defect exposure. This regulatory environment is changing investigation and documentation strategy. Associations that delay defect investigation to avoid triggering reserve funding obligations or disclosure requirements are taking on considerable legal risk. Recent case law such as the Third District Court of Appeal's reaffirmation of Chapter 558's pre-suit mediation requirements, underscores Florida's intent to resolve disputes early. Associations that move deliberately and record carefully during the pre-suit phase gain leverage in mediation and reduce the risk of expensive litigation. Timing also intersects with repair sequencing. Associations must now balance the urgency of compliance inspections against the strategic advantage of phased repairs. Some associations are using compliance deadlines as a forcing mechanism to accelerate settlement discussions, while others are sequencing repairs to demonstrate good-faith remediation efforts before litigation commences. The Emerging Risk Transfer Challenge As construction defect claims grow more complex and costly, the traditional risk transfer systems, such as design-build warranties, contractor bonds, and insurance, are proving inadequate. Developers and general contractors are increasingly shifting risk to subcontractors and material suppliers, fragmenting liability and complicating recovery efforts for associations. Permitting and approval friction is also creating new litigation pressure points. Delays in municipal approvals, changes to building code interpretations, and disputes over remedial work compliance continue to spawn collateral claims that go beyond the original defect. Associations must now anticipate not only defect liability but also regulatory compliance disputes with municipalities, creating a dual-front legal challenge. For large communities, this means reconsidering the entire risk architecture. Insurance carriers are tightening coverage, and traditional indemnification chains are breaking down. Forward-thinking associations are engaging counsel earlier in the development process to negotiate clearer risk allocation provisions and more robust insurance requirements. Taking a Data-Driven Approach Managing rising costs and shifting legal risk in Florida's high-rise and condo market requires a more sophisticated, data-driven approach. Associations must commission frequent cost updates, move deliberately through pre-suit investigation and mediation, and challenge traditional assumptions about risk transfer. Developers and their counsel should view regulatory compliance not as a burden but as an opportunity to demonstrate good-faith risk management and strengthen settlement positioning. The firms and associations that succeed in 2026 will be those that treat cost volatility, regulatory change, and litigation strategy not as separate challenges but as linked elements of a coherent risk management framework. Stephen Hauptman is special counsel in Ball Janik LLP’s Fort Lauderdale office. He may be reached at shauptman@balljanik.com.

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Seventh Circuit Finds “Additional Insured” Requirements Met Where Non-Party Subcontractor Was Proximate Cause of Underlying Injuries

February 23, 2026 — Jason Taylor - Traub Lieberman Insurance Law Blog
In Atlanta Gas Light Company et al v. Navigators Ins. Co., Nos. 24-2888 & 24-2889 (7th Cir. Jan. 22, 2026), the Seventh Circuit Court of Appeals assessed whether an upstream contractor was an “additional insured” under an umbrella policy issued to its subcontractor. Atlanta Gas and Southern Company Gas (“AGL”) hired United States Infrastructure Corporation (“USIC”) to locate and mark gas lines that AGL owned throughout Georgia. In 2018, USIC failed to mark a gas line in Homerville, Georgia, and a boring company struck it, leading to an explosion that severely injured three women. The victims settled their claims with USIC but did not come to terms with AGL. AGL eventually did settle with the victims, but only after they sued AGL in Georgia state court (the “Underlying Suits”). AGL’s service agreement with USIC required USIC to obtain primary and excess liability insurance coverage that included AGL as an additional insured. Because USIC’s settlement with the victims exhausted its primary policy, AGL tendered the defense and indemnification of the Underlying Suits to USIC’s excess insurer, Navigators. Navigators denied the request on the ground that AGL was not an “additional insured” under the policy. Read the full story...
Reprinted courtesy of Jason Taylor, Traub Lieberman
Mr. Taylor may be contacted at jtaylor@tlsslaw.com

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