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Special Announcement - February 2010

Some new development and news that I thought everyone would be interested in.First I received notice from our attorney Hugh Russ that the Ironworkers Union in New York State is planning to file an amicus brief in opposition to our suit. Obviously the Law Journals across the state had an article in about the second suit that apparently has the state worried. Albeit, my response is simple, the US Constitution, 14th amendment provides every American citizen the right to due process: Labor Law 240 denies that constitutional right. I do not deny their 1st amendment right to free speech, therefore we welcome their amicus brief as to why contractors in New York State should be denied the right to due process in 240 proceedings.  

I would like to inform everyone that a group of contractors that do primarily public contracts with municipalities has sued the state claiming that the Wicks Law is unconstitutional the case will be heard today in State Supreme Court, Buffalo NY. One of the founders of the group is Carl Paladino a developer and activist for "sane" government which as we know does not exist in New York State is running for Governor. I know Carl and was a part of the original group that formed in opposition of the Wicks Law. Although I do not engage in public bidding, I was interested on how they would approach their suit and offered information on our suit against the state.

It is really unfortunate that as businessmen and women we have to take time out of our busy schedule and police our elected officials. Remember, we are the ones that create jobs not the government! Government is there to facilitate our efforts lately, all branches of our government seem to have had a revelation that they can create jobs using our money, while at the same time not taking responsibility for their action. How many of you would like to make major business decisions with someone else's money? If you have no skin in the game what do you have to lose? Job creation starts with you and I we are the ones that had the dream mortgaging our homes, taking loans, sometimes working for nothing to pay bills to achieve the American dream. As we near the anticipated court date sometime in March for our case I am asking everyone to make a contribution to BBNY. Our opposition is well funded and has no problem throwing money at this in an attempt to stop us. "This is about have skin in the game."

Frank DeCarlo, Executive Director
Businesses For A Better New York

Special Announcement - June 2009

I apologize for the lengthy delay in responding to our case that was heard in May of this year. Unfortunately, the request for discovery was denied for a number of reasons; The Equal protection, Interstate Commerce, and OSHA preemption was too open ended for the Second Circuit to rule favorably on. However, the stunner was this.

Our entire case was based on the fact that we believed labor law 240 violated our 14th Amendment rights. From the very first day we formed BBNY this went without saying, when I made my argument before the Second Circuit that we are denied Due Process in all 240 claims the courts decision was as follows:  

"BBNY and Frank DeCarlo( pro se ) , in separate briefs, argued that the scaffold laws violate the Due Process clause of the Fourteenth Amendment because their strict liability scheme precludes construction companies from raising certain defenses when faced with scaffold law claims. The due process claims were not stated in the complaint and were not considered by the magistrate judge;they were raised for the first time in the objections to the report and recommendations, and the the district court did not address them. Because we consider such issues "only when necessary to avoid manifest injustice, or where there is some extraordinary need," and because BBNY has not demonstrated manifest injustice or extraordinary need, we decline to consider them here." 

The purpose of this case was exactly that! The Due Process violation, the other matters were collateral damage to the Due Process. The courts found a loophole and we lost the appeals but not the case! 

Another suit has been filed and this one deals with only the Due Process violation. We are currently waiting for the service to officially take place in Albany, once that happens we will schedule a press release and secure a court date.  While the other matters may be addressed I can assure you they will be only lightly addressed because the issue here the fact we are denied Due Process in 240 violations.  Check our website for future information.

 Wishing everyone a Merry Christmas and a Happy Holiday Season

Frank DeCarlo, Executive Director
Businesses For A Better New York

In The News

NY Labor Law 240/241 must be eliminated to help stabilize the cost of working and living in New York State. It is estimated that construction related insurance costs have skyrocketed 250-500% for New Yorkers from 2004-2006; jobs are being lost by the increased cost of doing business in New York; and, these costs are substantially increasing the cost of living for New York citizens.

BUSINESSES FOR A BETTER NEW YORK (BBNY) has formed for the sole purpose of effecting a positive change for New York by pursuing, via legal action, the elimination of this outdated NY law. BBNY is looking for support of this action from concerned NY businesspersons and citizens. Your financial participation is urgently needed.

LIABILITY INSURANCE RATES/SECTION 240/241 OF NYS LABOR LAW
 

There has been a greatly increased awareness within our industry of the oppressive liability insurance rates we are all experiencing and the following will attempt to shed some light on the problem and prompt all to action:

Q. How old is this law?

A. This was passed in the late 1800s – long before worker’s compensation insurance and OSHA laws were passed to protect construction workers.
 
Q. This law is also called the “Scaffold Law”. Why?

A. 240-241 was passed when the first tall buildings were being built in New York City. Workers had no insurance and very few job safety rules, so the law was enacted to provide workers coverage in the event of an accident.
 
Q. How many other states have such a law?

A. None. Only New York State still has such a law on their books. All other states repealed their obsolete laws when worker’s compensation insurance was developed in the 1930s.
 
Q. Why are New York liability insurance rates going up so dramatically?

A. Personal injury attorneys are using this law to milk the insurance companies for huge settlements. One of the largest firms is said to annually spend in excess of $4,000,000 to attract clients. Another local firm has actually offered to make sales calls at construction sites – complete with coffee and doughnuts! These firms, and others like them, persuade potential clients to call them and then they simply file a claim against all possible insurance companies without concerned for who may actually be at fault, and proceed to collect one-third of the settlements. Without possibility of defending themselves, the insurance companies are stuck paying whatever the lawyers agree upon.
 
Q. Who could possibly support such an obviously unfair law?

A. Trial lawyers and their spokespersons in Albany. Assembly Speaker Sheldon Silver has, in the past, refused to consider any reform to the current law. Assembly member Susan John, who is the chairperson of the Assembly Labor Committee, claims to be concerned about this problem, but she is dead set against any reform to the law itself. Why?
 
First, the New York State trial lawyers are the largest contributors to politicians in Albany by far – with this law in effect, they can afford to be - and those politicians who help inflate their profits are the beneficiaries of these contributions. Second, Assembly Speaker Silver is a trial lawyer himself and Susan John is also a lawyer. Those are the facts from which you can draw your own conclusions.

 

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