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DIRECTORY AND CAPABILITIES

Louisiana Legislature Enacts Act 932 – Significant Changes to Insurer Bad-Faith Exposure for Failure to Settle

July 13, 2026 — Tabitha R. Durbin & Jennifer E. Michel - Lewis Brisbois
The Louisiana Legislature has enacted Act 932 (formerly House Bill 1162), which became law this week without the Governor's signature pursuant to the Louisiana Constitution, after expiration of the applicable constitutional review period. Act 932 makes several important amendments to Louisiana's insurer bad-faith statute and appears intended, at least in part, to address issues arising from the Louisiana Supreme Court's decision in Kelly v. State Farm Fire & Casualty Co., 169 So.3d 328 (La. 2015). The Act also makes changes regarding claim payments involving licensed contractors. The Act takes effect on August 1, 2026. Key Takeaways Act 932:

• Limits certain bad-faith causes of action (bad faith failure to settle) involving personal injury and bodily injury claims where good-faith disputes exist or where an insurer has not been afforded sufficient opportunity to respond to a settlement demand.
• Requires insurers and adjusters to verify a contractor's Louisiana license status before issuing claim payments when a contractor is named as a payee on a check for repair or restoration of immovable property.
• Creates a statutory safe harbor protecting insurers from bad-faith penalties and attorney fees when payment delays result from an inability to verify a contractor's license, provided specified documentation and notice requirements are met.

Reprinted courtesy of Tabitha R. Durbin, Lewis Brisbois and Jennifer E. Michel, Lewis Brisbois Ms. Durbin may be contacted at Tabitha.Durbin@lewisbrisbois.com Ms. Michel may be contacted at Jenny.Michel@lewisbrisbois.com Read the full story...

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Are Robotic Coworkers Soon a Reality in Construction?

March 24, 2026 — Aarni Heiskanen - AEC Business
General-purpose humanoid robots are in the headlines, but is the hype justified? What’s the point of having a robot home assistant when it still needs a “guy behind the curtain” to control it remotely? Despite the challenges, robots, even those that look like humans, are seriously considered as future coworkers in business environments. According to the McKinsey report ‘Will embodied AI create robotic coworkers?‘ the idea that AI-powered robots will become general-purpose coworkers is grounded in real technological progress, but not an overnight reality. 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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Traub Lieberman Recognized in the 2026 Edition of Chambers USA

June 29, 2026 — Traub Lieberman
In the 2026 edition of Chambers USA, Traub Lieberman has been awarded rankings in the following categories: Illinois – Insurance: Dispute Resolution: Insurer In the Chambers research, clients noted: "The team are technically very strong, responsive, and on top of their cases." Florida – Insurance: Dispute Resolution: Insurer In the Chambers research, clients noted: "Traub Lieberman Straus & Shrewsberry distinguishes itself through a combination of deep subject-matter expertise, responsiveness, and practical risk-management orientation." Commenters went on to say: “The team has deep knowledge of Florida property insurance statutes, regulations and case law, enabling effective handling of disputes, appeals and third-party litigation." Read the full story...
Reprinted courtesy of Traub Lieberman

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California Poised for the Most Significant Residential Construction Defect Reforms in Decades

September 01, 2026 — Thomas D. Fama & Andrew J. Mallon - Wood Smith Henning Berman
The California Legislature is considering legislation that would dramatically alter the landscape of residential construction defect litigation. Assembly Bill 1903, currently pending before the Senate Judiciary Committee, proposes extensive amendments to California's Right to Repair Act (Civil Code sections 895-945.5) that would substantially strengthen procedural protections for builders while narrowing the scope of recoverable construction defect claims. If enacted, the legislation would affect virtually every stage of a construction defect dispute- from the initial notice of claim through litigation and settlement- and would introduce an entirely new certification process for newly constructed condominium projects. This article details some of the most significant proposed changes. Higher Burden for Construction Defect Plaintiffs Perhaps the most consequential change is the bill's modification of the proof required to establish liability. current law generally requires a claimant to demonstrate the residence fails to satisfy one of the statutory performance standards established under the Right to Repair Act. AB1903 would instead require claimants to establish three separate elements:

• A violation of an applicable statutory performance standard;
• The violation caused appreciable, present, non-speculative physical damage to another building component; and
• The violation resulted from the original construction.

Reprinted courtesy of Thomas D. Fama, Wood Smith Henning Berman and Andrew J. Mallon, Wood Smith Henning Berman Mr. Fama may be contacted at tfama@wshblaw.com Mr. Mallon may be contacted at amallon@wshblaw.com Read the full story...

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Engineering Seals Versus Contracts ‘Under Seal’ (Two Very Different Things)

May 05, 2026 — Melissa Dewey Brumback - Construction Law in North Carolina
Recently, I was asked by a reader to explain the difference between a document that is ‘sealed’ by an engineer (or architect) and one that is signed ‘under seal’. This question prompted this post, as others may also be wondering about the distinction. [Hi Ed! Thanks for your question] Professionals have ‘seals’ that show that they are registered (Engineers) or licensed (Architects). As most of you likely know, your professional seal is something that is hard won and which is used when—and only when—your plans were made by you or someone under your direct supervisory control. Your signature represents that you were in responsible control over the documents, and that they have met the required professional standard of care. (21 NC Admin Code 2-0206 (a)(11)). Read the full story...
Reprinted courtesy of Melissa Dewey Brumback, Ragsdale Liggett PLLC
Ms. Brumback may be contacted at mbrumback@rl-law.com

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The AI Knows Too Much: When Employees Feed Trade Secrets into Generative AI Tools

April 14, 2026 — Kazim A. Naqvi & John V. Mysliwiec - Sheppard
Every time an employee pastes proprietary source code, a customer list, or a confidential business strategy into ChatGPT, Claude, or Google Gemini, they may be quietly dismantling the legal protections that make those secrets worth protecting. Courts and regulators are only beginning to grapple with this problem, and right now, the burden of preventing it falls squarely on employers. The Legal Stakes Under the federal Defend Trade Secrets Act (“DTSA”) and the Uniform Trade Secrets Act (“UTSA”) as adopted across most states, a trade secret plaintiff must show that the information at issue was subject to reasonable measures to maintain its secrecy. Courts have historically credited measures like confidentiality agreements, physical access controls, and employee training—but those safeguards were designed for a world of thumb drives and disgruntled employees. They were not built for a world where a well-meaning engineer can, in seconds, transmit an entire corpus of proprietary data to a third-party AI platform operating under terms of service that may permit the provider to use inputs for model training. Reprinted courtesy of Kazim A. Naqvi, Sheppard and John V. Mysliwiec, Sheppard Mr. Naqvi may be contacted at knaqvi@sheppard.com Mr. Mysliwiec may be contacted at jmysliwiec@sheppard.com Read the full story...

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How AI Turns Construction Documents Into Procurement Intelligence

May 05, 2026 — Aarni Heiskanen - AEC Business
MEP equipment accounts for up to 40% of costs on data center or hospital projects, has lead times ranging from 20 weeks to over a year, and has historically been the most underserved area in construction software. In this episode, I speak with Victor Muchiri from BuildVision about what it actually takes to make AI useful in construction procurement, not as a pilot, but in production. We dig into why you cannot simply upload a set of construction drawings to ChatGPT and trust the output. Construction documents are complex, cross-referenced, and consequential. Without deep domain context, such as manufacturer ontologies, equipment taxonomies, and engineering expertise, AI produces plausible results, not reliable ones. BuildVision’s approach is to act as a harness around AI models, wrapping them in construction-specific knowledge so the output can be trusted for real procurement decisions. 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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Labor Shortages in Construction: Managing Legal and Operational Risks

April 14, 2026 — Meghan Douris - Construction Executive
Labor shortages in the construction industry have become more than a scheduling headache—they are a legal and financial risk multiplier. As contractors scramble to meet deadlines with limited manpower, shortcuts in compliance, safety and subcontractor oversight become more likely. These gaps can expose companies to regulatory penalties, contractual disputes and reputational damage. Understanding how workforce constraints intersect with labor laws and contractual obligations is critical to mitigating the risks and navigating these challenges without compromising compliance or project integrity. The construction industry has faced persistent workforce challenges for years, but recent trends have intensified the problem. Factors such as an aging workforce, reduced immigration and post-pandemic recovery pressures have left contractors struggling to find skilled labor. According to Associated Builders and Contractors, the construction workforce shortage surpassed half a million workers in 2024; in the same year, Associated General Contractors reported 88% of construction companies had difficulty finding qualified workers. Reprinted courtesy of Meghan Douris, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved. Read the full story...

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