Dallas Gerstle Snelson, LLP Austin

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Joining Non-Signatories to Arbitration

What if you or your company are arbitrating a dispute and the need arises to join parties or individuals who are not parties to the contract that got you into arbitration in the first place or have downstream contracts without arbitration provisions or otherwise conflicting dispute resolution provisions? Texas courts have addressed exactly how to join a non-signatory to an arbitration, though the likelihood of success depends. Generally, only the signatories to an arbitration agreement are bound by the agreement. A corporate relationship is generally not enough to bind a non-signatory to an ar
Fire fighting helicopter carry water bucket to extinguish the forest fire.

Fires, Tariffs and Price Escalation Clauses

The California fires and the tariffs imposed by the Trump Administration, both occurring in the first quarter of 2025, will have profound impacts on the construction industry. How can you brace for the coming storm of highly variable costs for labor and materials? As Hurricane Katrina and the COVID-19 pandemic taught us, natural disasters can cause immense disruptions to the construction supply chains. In 2005, Katrina caused significant disruptions in the supply of petroleum-based products, drywall, and other construction materials. And, during the COVID-19 pandemic, a reduced work force and
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U.S. Corporate Transparency Act on Pause

Under the Corporate Transparency Act (CTA), which went into effect on January 1, 2024, many U.S. business owners are required to file corporate transparency reports with beneficial ownership information. But the CTA is currently on hold. Why and what impact does the pause have on you? The CTA, enacted by Congress in 2021, requires many companies formed or operating in the United States to report information about their beneficial owners to Treasury’s Financial Crimes Enforcement Network (FinCEN), which will store this sensitive information in a secure, confidential database. The Department
Texas State Capitol Building in Austin, 3/4 view

2025 Texas Legislative Preview

In anticipation of the upcoming 2025 Texas Legislative Session, bills are starting to be filed.  Just because a bill is pre-filed does not mean that it might ultimately be passed or even considered.  According to the Texas Construction Association, the following are some of the areas on which bills will be filed. Securing Reserved Funds/Retainage.   Increase security for reserved funds by amending the Construction Trust Fund Act to statutorily classify reserved funds as trust funds. Documents Incorporated by Reference into Construction Contract.  Amend the Business & Commerce Code to
Grain Silo Bins and Truck in Farm Field Agricultural Landscape

Property Damage in Texas under CGL Policies

What constitutes “property damage” that would invoke an insurer’s obligation to indemnify under a commercial general liability (CGL) insurance policy? In TIG Ins. Co. v. Woodsboro Farmers Cooperative, the 5th Circuit for the U.S. Court of Appeals, looking to the Texas Supreme Court opinions in U.S. Metals and Lamar Homes, provided some guidance in construction defect disputes. Woodsboro Farmers Cooperative (Woodsboro) contracted with E.F. Erwin, Inc. (Erwin) to construct two, 105-foot diameter grain silos. Erwin hired a subcontractor, AJ Constructors, Inc. (AJC), to construct the silo