News and Events
Legal Update: Golden Spread Electric Cooperative, Inc. v. Emerson Process Management Power & Water Solutions, Inc.
In a recent U.S. Fifth Circuit case applying Texas law, the court cited the economic-loss rule to bar recovery for damage to a steam turbine generator caused by a faulty software upgrade in Golden Spread Electric Cooperative, Inc. v. Emerson Process Management Power & Water Solutions, Inc., 954 F.3d 804 (5th Cir. 2020). Ruling on an unsettled question of law in Texas, the Fifth Circuit was required to make an “Erie guess” as to whether the Texas Supreme Court would apply the economic-loss rule to bar tort recovery for a faulty replacement part that damaged the original product.
Indemnity, Change Orders, and More: Top Construction Legal Issues and Answers Audio Webinar
Christopher K. LeMieux and Jonathan S. Forester will be hosting an audio webinar with the National Business Institute on June 10, 2020. This webinar will focus on construction issues that can have substantial legal repercussions. It will cover how to troubleshoot these issues and give you the information necessary to find solutions before they escalate. Riess LeMieux regularly provides webinars and seminars for clients on a wide array of legal topics.
Legal Update: Lake Building Products v. Secretary of Labor
A federal appeals court recently vacated an OSHA citation against a contractor for lack of “fair notice” even though the agency had properly interpreted the regulation. In Lake Building Products, Inc. v. Secretary of Labor, 2020 WL 2190772 (6th Cir. May 6, 2020), a contractor argued it did not have “fair notice” that OSHA would impose a citation related to the use of fall protection during erection and connection of steel. After the contractor contested the citation, an administrative law judge (“ALJ”) ruled in favor of OSHA and upheld the citation. On appeal, the Occupational Safety and Health Review Commission (“OSHRC”) declined to hear the contractor’s argument that the citation was improper.
Bankruptcy Code Amendments in the CARES Act
The recently passed CARES Act provides significant assistance to small businesses that may be considering bankruptcy due to financial losses caused by the COVID-19 pandemic. The new law expands the debt limits threshold from $2,725,625 to $7,500,000, thus allowing many more individuals and businesses to qualify for expedited bankruptcy relief under the Small Business Reorganization Act. Bankruptcy filers will also be able to exclude any economic relief they receive from the federal government as a result of the COVID-19 pandemic so as not affect their eligibility to file. Lastly, those operating under a confirmed Chapter 13 plan, assuming proof of “material financial hardship,” can extend their plan up to seven years.
Riess LeMieux Construction Practice and Attorneys Ranked in 2020 Chambers USA: America’s Leading Lawyers for Business
Riess LeMieux has been ranked in the 2020 guidebook, Chambers USA: America’s Leading Lawyers for Business in the area of Construction Law. Firm founders, Michael R. C. Riess and Christopher K. LeMieux were also recognized in the publication for their individual achievements in the area of construction law.
Legal Update: Recent Insurance Decisions
In three recent insurance decisions, Louisiana courts again reminded potential claimants of important insurance principles. These decisions addressed (1) claims that may arise out of contractual and delictual (tort) duties; (2) the manifestation trigger theory to determine policy coverage; and (3) the meaning and application of an “occurrence” for CGL coverage.
Proposed Legislation Due to COVID-19
The Louisiana Legislature has joined a number of other states—including New York, New Jersey, Massachusetts, and Ohio—in introducing legislation that would require business interruption insurance to retroactively cover business losses attributable to the COVID-19 pandemic.
Labor and Employment Issues Amid COVID-19 – What Employers Need to Know
As the novel coronavirus (COVID-19) continues to spread, employers and employees alike are concerned about how the virus may impact their rights. Employers are also concerned about what duties are owed to employees under federal or state law. These concerns may include notifying employees of preventative measures or leave requirements resulting from the spread of the virus. Issues such as [...]