Construction Contracts

News & Analysis as of

State of Alaska Tightens Its Claim Provisions

In 2015, the Alaska Department of Transportation and Public Facilities significantly amended the claims provision of its Standard Specifications—105-1.17. The amendments incorporate language from the standard conditions...more

Subcontractor Exception Torpedoes Insurers’ Defense To Faulty Workmanship Claim

As this blog has reported, a line of cases deciding coverage disputes over faulty workmanship runs against (or, at least, around) a basic rule for interpreting insurance policies. Under that rule, the scope of coverage is...more

Harsh Consequences for Contractor’s False Payment Certifications in Massachusetts

On most construction projects, a project owner will require the contractor to certify that it has fully paid each of its subcontractors as a condition to the owner making payment to the contractor. The purpose of these...more

Contractual Indemnification

Aluma Systems Concrete Construction of California v. Nibbi Bros. Inc., et al. - Court of Appeal, First Appellate District (August 16, 2016) - This case considered the applicability of a contract’s indemnification...more

New Jersey Federal District Court Holds That Arbitration Clause In AIA A201-1997 Does Not Apply To Post Construction Disputes

Blackman & Co., Inc., v. GE Bus. Fin. Servs., Inc., 2016 U.S. Dist. LEXIS 87904 (D.N.J. July 7, 2016) - Grove Street Realty Urban Renewal, LLC (“Grove Street”) contracted with Blackman & Co., Inc. (“Blackman”) to manage...more

Unpaid Subcontractors Beware

Alberta Court of Appeal confirms no duty to disclose existence of labour and material bond unless asked - Labour and material payment bonds (L&M Bonds) serve an important purpose on a construction project by providing...more

Mississippi Court Rejects Expansive Reading of Oral Construction Contracts

In McKean, et. al. v. Yates Engineering, 2015 Miss. App. LEXIS 446 (2015), the Court of Appeals of Mississippi affirmed the Circuit Court’s dismissal of four (4) plaintiffs’ personal injury claims stemming from the collapse...more

Under Construction - September 2016

Letter from the Editor - Welcome to the Fall 2016 edition of our Under Construction newsletter. We hope your summer has left you relaxed and refreshed to successfully finish out the remainder of the year. Most...more

Dispute Adjudication Boards: Are they the future of dispute resolution?

Contractors who are working in international markets will almost certainly have encountered the Dispute Adjudication Board ("DAB") contained in each of the FIDIC Red, Yellow, Silver and Gold Books. However, they may be left...more

[Webinar] Health Care Construction Projects: Avoiding Claims Through Better Coordination - September 21st, 12:00pm EDT | 9:00am...

In January of this year, following frantic talks and a public fight over who was to blame for delays costing close to $100,000 a day in lost revenue, Santa Clara County was finally able to reach an agreement and settle its...more

JAMS Global Construction Solutions Newsletter, Summer 2016

Q&A with Linda Turteltaub, Skanska USA Building - Today, we are talking with Linda Turteltaub, Corporate Counsel, Skanska USA Building. Linda has worked in both construction and as a construction lawyer prior to joining...more

Unpaid construction work? Stay calm – and make sure every word of your mechanics lien is accurate

Not getting paid infuriates most contractors and material suppliers. Don’t let that anger cause you to make a bad situation worse by overdoing a mechanics lien. By the time a contractor reaches the point of recording a...more

FAR Council and DOL Issue Final Rule Implementing Fair Pay & Safe Workplaces Executive Order

The Federal Acquisition Regulatory Council and the Department of Labor published a final rule, implementing the Fair Pay and Safe Workplaces Executive Order (also known as the “blacklisting” Executive Order), on August 24,...more

Litigating Against the Government? Recent Decision Regarding Claim Certification Dispute Proves That Forrest Gump's Mama Was Right...

Forrest Gump’s mama was a brilliant woman. As anyone who watched the 1994 Academy Award-winning classic can confirm, Mrs. Gump’s advice to her son provided an indispensable well of wisdom from which Forrest often drew to...more

Standard is Not Always Fair - Six Questions Owners Should Answer Before Entering a Construction Contract

Construction documents, whether for a new building project or for a build out of tenant improvements, can be quite involved and perhaps a little daunting to an owner presented with “standard” American Institute of Architects...more

Is it the End of Lease-Leasebacks as We Know it?

TEOTWAWKI. The end of the world as we know it. For K-12 school construction contractors it could well be. Although their acronym would likely be TEOLLAWKI. The end of lease-leasebacks as we know it....more

Limitations of Liability Clause Does Not Violate Ohio's Consumer Sales Practices Act

Contractors often attempt to limit their liability by including a limitations of liability clause in the contract. Plaintiffs attempt to avoid the limitations of liability by asserting that the clause is unconscionable under...more

Title Insurance Treatment of Mechanic’s Liens

The “Homeowner Amendments” to Ohio Mechanic’s Lien law significantly limits the rights of subcontractors and suppliers to file mechanic’s liens against a homeowner’s property. These apply if the owner has paid the builder in...more

CEO of World Trade Center contractor found guilty of fraud by misstating compliance with Port Authority’s minority- and...

Public entities at the Federal, state, and local levels set aside contracting opportunities, provide preferential price treatment, or otherwise grant favorable treatment to contractors (1) owned by veterans, women,...more

Court of Appeals of Michigan Holds Contractor Cannot Recover Eichleay Damages from Supplier Absent Contractual Right and Proof...

ITT Water & Wastewater USA, Inc. v. L. D’Agostini & Sons, Inc., 2016 Mich. App. LEXIS 579 (March 17, 2016) - This action arises out of a contract dispute between plaintiff, ITT Water & Wastewater USA, Inc. (“ITT”), and...more

Contract Interpretation: Whether The Contract Is A Non-Insurance Indemnity Agreement Or An Insurance Policy Makes A Big Difference...

In Crawford v. Weather Shield Mfg., Inc. (2008) 44 Cal. 4th 541, 187 P.3d 424, 79 Cal.Rptr.3d 721, the California Supreme Court addressed an indemnitor’s duty to defend the indemnitee under a non-insurance indemnity agreement...more

Broad “Assumption of Liability” Clause in Subcontract Likely Trumps “Waiver of Subrogation” Clause in Prime Contract

In a recent case handled by Bradley, a federal court in Maryland issued a decision attempting to reconcile inconsistent contract provisions. The general contractor said that its fire sprinkler subcontractor was...more

Looking Forward: A workman’s view of the construction business and the practice of construction law

A few weeks back my colleague, mentor and friend Greg Faulkner wrote a post here that looked back on his 25 years as a construction lawyer.  It was a very thoughtful piece and frankly I think it was one of the best legal blog...more

“Rip and Tear” Damage Remains Covered Under CGL Policy as “Accident”—for Now.

The Colorado Supreme Court has approved a settlement between the parties to an appeal of the 2012 Colorado Pool Systems v. Scottsdale Insurance Company Court of Appeals case, leaving that ruling intact. The ruling parses a...more

Tennessee Federal District Court Holds That Contractor May Pursue Both Breach of Contract Action in Federal Court and Lien...

Summit Contracting Grp., Inc. v. Ashland Heights, LP, 2016 U.S. Dist. LEXIS 60662 (M.D. Tenn. May 6, 2016) - Ashland Heights, LP (“Owner”) contracted with Summit Contracting Group, Inc. (“Contractor”) to construct an...more

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