Ohio Supreme Court Clarifies that the Statute of Repose Protects Design Professionals and Contractors from Stale Claims
The Supreme Court of Ohio held on July 17, 2019 in the New Riegel Local School District case that breach of contract claims for property damage due to defective work may be barred by Ohio's ten year construction statute of repose. This holding confirms that the statute of repose applies to both tort and breach of contract claims brought against design firms and builders.
A statute of repose generally serves to bar any lawsuit from being brought after a specified time once the project is substantially complete. Ohio's construction statute of repose bars a lawsuit from accruing after ten years from the date of substantial completion of the improvement. Substantial completion is the date the improvement is first used by the owner or when the real property is first available after the improvement is completed in accordance with the contract.
The statute provides that no cause of action to recover for bodily or property damages shall accrue against a person who performed services for an improvement to real property, including the design professional and contractors, more than ten years after the date of substantial completion. The General Assembly recognized that requiring builders and designers to maintain records of improvement projects for more than ten years after substantial completions was problematic and an unacceptable burden.
The design and construction of a school building for the New Riegel Local School District was substantially completed in December 2002. The School District alleged that moisture intrusion and other defect issues existed in areas of the building due to improper design and construction. In January 2015, the District notified the design and the construction firms contracted to perform the work of the claims for the alleged defects. The District filed a lawsuit several months later alleging breach of contract against the design firm, the general contractor, and the roofing subcontractor. A claim was also made by the District against the roofing subcontractor for breach of express warranty. The School District alleged it incurred damages as a result of the physical damage to its property.
The Seneca Court of Common Pleas relied upon the statute of repose to dismiss the School District's breach of contract claims because substantial completion of the project occurred more than ten years before the School District filed its lawsuit. The Court of Appeals reversed the trial court's decision and held that the statute of repose did not apply to claims for breach of contract. The Ohio Supreme Court accepted the appeal by the design professional firm and the contractors, and held that the statute of repose does, in fact, apply to both tort and breach of contract actions that accrue more than ten years after substantial completion.
This article was provided by Patrick A. Devine, Ice Miller LLP.
AGC Education and Research Foundation Undergraduate and Graduate Scholarship is Now Open
Each year the AGC Education and Research Foundation offers undergraduate and graduate level scholarships to students enrolled in ABET or ACCE accredited construction management or construction related engineering programs. The application opened July 1, 2019 and closes November 1, 2019.
Over $10 million in scholarships have been awarded to more than 4,000 students attending colleges and universities across the country. Through endowments made by AGC members and supporters, as well as AGC Chapters, the Education and Research Foundation awards over 100 scholarships each year to students dedicated to pursuing a career in the construction industry.
Those interested can click here to apply and a flyer can be viewed by clicking here which contains more information.
If you have any questions please contact Courtney D. Bishop, Associate Director, AGC Education and Research Foundation, [email protected]
Cement Masons, Building Trades, ACT Ohio to Demonstrate Skills at State Fair
This week, Wednesday July 24 through Friday July 26, 2019 the Ohio Conference of Plasterers’ & Cement Masons Union, will be doing their yearly event at and during the Ohio State Fair. This year all the State Building Trades crafts, along with ACT Ohio, will be joining up with the Plasterers and Cement Masons. All crafts will perform hands-on work of their specific trades, as a show to the general public. In addition, all the trades representatives will talk and hand out information of their craft to the public, to educate and try to recruit new workers into the union programs.
We invite you to stop by at the fairgrounds to visit, enjoy and talk with some of the union leadership. The event is held on the Concrete Patio, under the large tent, on the west lawn of the Kasich building, located on the north side of 17th Ave.
For additional information or if you are interested in attending the event, please contact:
Ohio Conference President – Mr. Ken Vierling, 1-419-466-2155 or,
OPCMIA Representative – Mr. Joseph Ciacchi, 1-740-590-9827
NACB Crane Train-the-Trainer Course in Cincinnati
National American Crane Bureau, Inc. (NACB) will be conducting an Overhead Crane Train the Trainer course in Cincinnati on August 20-23, 2019. This 4-day training program is designed for in-house personnel, previously qualified as trainers, who need a thorough understanding of the subject(s) for presentation to groups of their supervisors, operators, and inspection and maintenance personnel. All attendees will be assigned the task of specific research, development, and the presentation of materials during this course. Immediately following the completion of this program, a block of time has been reserved for administration of written testing for Certification. For additional information and/or to register for this course, click on the following link.
Register for Train the Trainer.
OCA/Ohio Laborers LECET Fund Charity Golf Outing
OCA is co-sponsoring a charity golf outing with the Ohio Laborers LECET Fund on September 13, 2019 at the Deer Ridge Golf Club in Bellville, Ohio. OCA's designated charity to benefit from the event is the Ronald McDonald House. We encourage OCA members to join us for a day of fun and networking with representatives of the Ohio Laborers Union, and to generate much needed funds for some wonderful charities. To review additional information about the event and for a registration/sponsorship brochure, please click on the following link. Click here for more information. Click here for registration material.
Ohio VW Grant Application Opportunity - UPDATE
Ohio EPA has posted an updated list of responses to questions we are receiving from prospective applicants to Ohio's Volkswagen Mitigation Trust grant program this cycle, on the program web page under the accordion link to "DMTF 2019 Request for Applications." Applications may be submitted online until 3:00 p.m. on Friday, August 2nd.
A total of $15 million is available this cycle, of which $5 million will be awarded to repower or replace eligible diesel school buses; $5 million to repower or replace eligible public transit buses; and $5 million for repower or replacement of eligible heavy duty local freight trucks, shuttle buses, port cargo handling and airport ground support equipment, tugs and ferries, and switcher locomotives. To be eligible, vehicles and equipment must have been operating at least 75% of the time over the past two years within 26 Ohio priority counties for this program.
Workforce Development Outreach: Creating Awareness in our Communities
As creating workforce awareness continues to become a larger part of our industry’s recruiting efforts, OCA wants our members to know that your work to engage the next generation is making a difference around the state.
We recently asked the membership to share individual outreach actions they are taking to make young people aware of career opportunities in our industry. After reviewing the many emails submitted, it was clear that collectively we are making a huge reach around the state when it comes to promoting heavy highway careers.
Here is one of the actions shared, with others to be included in future e-newsletters along with being published in the bi-monthly OC magazine.
Company: The National Lime & Stone Co.
Event: Wynford 3rd Grade Quarry Visit to the National Lime & Stone-Bucyrus Plant
Action taken to create awareness: The National Lime & Stone- Bucyrus Plant welcomed the Wynford Elementary 3rd grade to our plant to learn about the types of rocks, how the quarry system works, and safety, to name a few things.
Approximately 75 children visited on school buses and toured the location. The students were very interested in seeing the huge loaders, conveyors, and crushing equipment to understand how it all works. Each child received a plastic hardhat and National Lime provided lunch at a local park.
To submit and share how your company is creating career awareness in your community, contact OCA Director of Chapter Development Melanie Kitchen at [email protected].
OCA Future Leaders Forum - Application Deadline Next Monday - July 29th
For full details, application material, promotional brochure and sessions outline click here.
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