July 2012

In a long-awaited decision, last week the California Supreme Court held that charter cities are not bound by the state’s laws requiring the payment of prevailing wages on public works. The decision in State Building & Construction Trades Council v. City of Vista finally closes an issue that had lain dormant for years. The decision…

On May 29, 2012, the California Supreme Court heard oral argument on a case that is critical for the building industry, Pinnacle Museum Tower Assn. v. Pinnacle Market Development (US) LLC. The case concerns whether CC&Rs can require arbitration of construction defect claims. Both the trial and appellate courts had refused to enforce arbitration, at which point Hecht…

Real estate owners, lenders, contractors, subcontractors and suppliers — significant changes to California’s Mechanic’s Lien Law are now in effect. Today is the first business day for which these changes are effective, and they represent a significant overhaul of the law, affecting not only future work, but also work in progress. In 2010, the California…