When hiring an environmental consultant, clients are often asked to execute an engagement letter that typically addresses the pricing for the Phase 1 and other logistical information. Attached to the engagement letter will be what often looks like a pre-printed form of terms and conditions that govern the performance of the services to be provided […]
Mass Ct Rules Contractual Limitation Period Unenforceable Read More »
We have previously reported on how disposal of fill material tends not to be well-regulated. During the real estate bubble demand for aggregate was at a premium. Due to the scarcity and cost of aggregate or fill material, contractors often use pulverized construction debris from other construction sites as fill material. Despite the fact that
Consultant Unable To Escape NJ Contaminated Fill Case Read More »
A California state court dismissed a negligence claim brought against an environmental consultant by residents of the infamous Ujima Village low income housing complex for failing to identify health risks associated with a former oil storage facility. The 300-unit Ujima Village complex had been constructed on a portion of the former 122-acre Athens Tank Farm
Consultant Not Liable to Residents of Housing Complex For Not Identifying Vapor Risks Read More »
When retaining environmental consultants, one of the key issues to review in the consultant’s standard terms and conditions is the limitation of liability (LOL) clause. This clause frequently seeks to cap the consultant’s liability at the amount of its fees. Because consultants are usually expected to carry at least $1MM in liability coverage, clients often want consultants to be liable
Ct Upholds Limitation of Liability in Consultant Negligence Case Read More »
Most buildings in New York City have fuel oil-fired burners to supply heat and hot water. The heating oil can range from #2 oil which is similar to diesel fuel to #6 fuel oil which is heavy and thick. Buildings typically store the fuel in storage tanks located in basements or beneath the sidewalk. The tanks
The Importance of Hiring an Environmental Consultant For Leaking NYC Heating Oil Tanks Read More »
Lenders have long played a role as “surrogate regulator” in transactions. In many cases, lenders force potential borrowers to investigate suspected contamination and frequently require remediation under state oversight. Borrowers often balk at these requests any may even retain their own independent consultants to try to convince lenders that the work is not required or
NY Case Illustrates Why Borrowers Should Not Simply Rely on Lender Approval of Phase 1 Read More »
Buyer agreed to purchase former oil field in 1996 to develop for residential complex. Contract included 40 pages detailing remedial obligations of parties. Buyer had five years to complete investigate of property and inform seller of contamination. If cleanup exceeded $30MM, seller could take over cleanup. Contract also provided that after completion of sellers’ corrective
Earlier this year, I discussed the BNY Mellon v Morgan Stanley Mortgage Corp where the defendant/mortgage originator has been sued by the CMBS trust for a $80MM shopping center loan where methane gas issues led to a default. See detailed post at: http://lschnapf.blogspot.com/2011/07/cmbs-lender-kept-in-case-over-questions.html Now we have another case involving a $35MM development loan where a
$35MM Landfill Brownfield Project Derailed By Methane Gas Read More »