Market Insight: Green Building Code Risk Mitigation Strategies

Hundreds of municipalities across the United States have mandated that new buildings must be built to LEED standards.  By doing so, government officials have created numerous litigation risks for stakeholders involved in the green building construction process.  The creation and rapid spread of the new model green building codes from the ICC and ASHRAE will alleviate several of the risks created by mandating LEED compliance.  However, contractors will be faced with a variety of increased risk exposure under the new green codes, stemming primarily from the growing focus on green building performance metrics.  

Successfully navigating the complex web of litigation risks created by the new green building codes will require the adoption of best practices in contract document risk allocation; well-crafted insurance coverage and surety bonding; subcontractor training and education; and expertise in green product selection.

This 42-page Market Insight provides an in-depth examination of the above issues, including:

  • A detailed discussion of the litigation risks created by the LEED certification process and by those jurisdictions that have mandated LEED compliance;
  • Thorough analysis of the new green building codes: CALGreen, the International Green Construction Code, and ASHRAE Standard 189.1;
  • Evaluation of how the adoption of the new green codes will impact the existing litigation risks to contractors pursuing LEED; and
  • Detailed risk mitigation strategies, divided into clear action items ready for implementation.

Negawatt Research: Market Insight