SZD Construction Focus: Prevailing wage; Time to file a claim; Who does the OUPS law protect?

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Prevailing wage penalties are mandatory

When the Department of Commerce determines that there has been an underpayment of prevailing wages on a public improvement, the contractor liable for the underpayment may also be assessed a penalty equal to 100 percent of the amount of the underpayment.

Time to file a claim against the state

Proper documentation of a construction claim is an obvious prerequisite for recovering extra costs on a project. But when dealing with State of Ohio projects, one must be vigilant about the time frames in which to file and pursue the claim.

Who does the OUPS law protect?

This question was recently addressed by an Ohio Court of Appeals in a case involving the installation of a fence on private property where the excavator struck underground utility lines.

Terms and conditions on the reverse side of sales agreements

The fine print language common on the reverse side of a supply sales agreement or credit application can be one-sided and problematic for contractors. A common “no modification” clause attempts to prohibit post-contract changes to the terms and conditions of the sales agreement. Can a contracting party’s course of performance serve to modify the agreement despite a no modification clause?

Settlements of claims are contracts and will be construed like contracts

When entering into a settlement of a claim, the contractor must be careful to include all terms of the settlement and make certain that the provisions state what the contractor agreed to. This principal was exemplified in the following case.

Project Labor Agreements

A Project Labor Agreement, is a project specific uniform agreement covering all the crafts on a project and lasting only as long as the project. A PLA essentially sets the terms and conditions of employment on the project by schedules, work rules and labor dispute resolution procedures.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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