Construction Contracts

News & Analysis as of

Restrictive Covenants in the Construction Industry: An Often Overlooked and Underutilized Source of Protection

Restrictive covenants come in many forms; they can be stand-alone agreements, such as a confidentiality agreement, or they can be included in various types of contracts, such as noncompete or nonsolicitation provisions in...more

Arbitration’s Diamond in the Rough: Lessons from the Dichele Superior Court Ruling

In construction law, contracts are at the heart of our business; contracts between: owners and architects; owners and general contractors; contractors and subcontractors; and subcontractors and sub-subcontractors....more

Construction Case Law Update - March 2015

Racial discrimination; City Contracting Ordinances; Federal Affirmative Action Compliance in Contracting – Plaintiff-contractor sued the City of Jacksonville, alleging racial discrimination against him and other...more

Constructor made mistake of law, not fact: convicted of OHSA charge

A constructor that argued the “mistake of fact” due diligence defence was instead found to have made a “mistake of law” and was convicted of a charge under the Occupational Health and Safety Act....more

Caught in the Middle: What Is a Supplier Supposed to Do When Its Customers Ask to Use a DBE as a Pass-Through?

Suppliers are caught in the middle of a new enforcement trend in federal, state, and local investigations of disadvantaged business enterprise (DBE) fraud. Historically, DBE fraud investigations have focused on the...more

Letters of the Law: 'D' is for Decennia

Sometimes the greatest risk lies in what a contract does not say. Construction contracts usually state a length of time during which the contractor is liable to return to the handed-over project to complete outstanding...more

Surety Bonds: Direct Claims v Derivative Claims – Who Knew?

New Bern Riverfront Dev., LLC v Weaver Cooke Constr., LLC (In re New Bern Riverfront Dev. LLC), 521 B.R. 718 (Bankr. E.D.N.C. 2014) – The debtor made claims against a surety that issued a performance bond in connection with a...more

When a Construction Lender Steps into the Shoes of the Developer, the Door is Open for Claims by the General Contractor

Thank you to my partner Garret Murai for giving me the opportunity to post again on his excellent California Construction Law Blog. I am the author/editor of the Money and Dirt Blog, where I focus on issues relating to...more

Plunging Oil Prices: Options for Long-term Project Participants affected by the Price Collapse

Plunging oil prices over the past six months have left many participants in long-term energy projects looking at very different deals from the ones they signed. Having hovered around US$115 per barrel in June 2014, prices...more

Construction Case Law Update - February 2015

Delay Damages; “Total Cost” vs. “Modified-Total-Cost” Approach – A party may not establish delay damages under the “total cost” or “modified-total-cost” approach when uncontroverted record evidence attributes delay costs to...more

Letters of the Law: 'B' is for Breach

No project is truly complete before one party accuses the other of “breach of contract”. Often the initial accusation is an attempt to scare the other party into action, to compel it to perform to the word of the...more

Letters of the Law: 'A' is for Attestation

Contracts do not need to be signed, but… An ‘attestation clause’ or ‘execution clause’ is the part of a contract which parties sign to indicate that they intend to be formally bound by the provisions of that contract....more

Harmonizing Risk Transfer: Avoiding Pitfalls With Additional Insured Provisions

A contractual additional insured provision is an important tool in managing risks. Historically seen in construction contracts, additional insured provisions now appear in many other types of contracts, including those...more

California Court of Appeals Determines Subcontractor is Unable to Maintain Cross-Claims for Equitable Indemnity and Contribution...

In State Ready Mix, Inc. v. Moffatt & Nichol, 232 Cal. App. 4th 1227 (2015), the California Court of Appeals considered whether a subcontractor could maintain cross-claims for equitable indemnity and contribution against the...more

Letters Of Intent In Construction Project Negotiations

Anyone who works in the construction industry knows how important it is for everybody to have the same understanding about the terms of a project, including the materials needed, deadlines to be met, and the procedure for...more

Minimum Wage Increases for Federal Government Contractors

Executive Order 13658 increases the minimum wage to $10.10 per hour, effective January 1, 2015, for certain workers providing services under new contracts with the federal government. The Final Rule, the Fact Sheet, and the...more

Construction Alert: School District Flunks Public Contract Code Exam on Withholding Retention

On January 27, 2015, the Court of Appeal, Second Appellate District, affirmed, in part, a hefty trial judgment against the Rio School District for improperly withholding retention funds in the case of FTR International, Inc....more

Construction Defects – Right to Jury Trial on Factual Issues Necessary to Determine Whether a Construction Defect Cause of Action...

Stofer v. Shapell Industries, Inc. - Court Of Appeal, First Appellate District (January 15, 2015) - During the lifetime of a home, it may have many owners. This case considered a subsequent purchaser’s ability...more

Avoiding Liability Under the Home Solicitation Sales Act

By now most contractors are familiar with Ohio’s Home Solicitation Sales Act and have added language to their consumer contracts incorporating the standard 3 day notice of a consumer’s right to cancel. ...more

What We Can Learn from PennDOT's Award of the First Rapid Bridge Replacement P3 Project

In the first significant public private partnership (“P3?) infrastructure project in Pennsylvania, PennDOT recently selected Plenary Walsh Keystone Partners (“Plenary Walsh”) for award of the Rapid Bridge Replacement program....more

New Notice, Registration and Reporting Requirements for California Public Works Projects

- Effective July 1, 2014, (or a later date if DIR's online registration system was not in place on that date) contractors and subcontractors working on "public works" projects were required to register with the California...more

Reminder - Maryland's Prevailing Wage Law for Elementary and Secondary School Construction Projects is in Effect

Maryland's new prevailing wage law for elementary and secondary school construction projects (HB 727/SB 232 from the 2014 General Assembly session) is in effect. This law requires all such construction projects costing more...more

Allen Matkins/UCLA Anderson Forecast Winter/Spring 2015: It's a Perfect Storm for California's Commercial Real Estate Market [Video]

California commercial real estate is booming once again. During the past six months the average value of newly issued permits for non-residential construction after adjusting for inflation was the highest it had been since...more

Anatomy of an Indemnity Provision

Indemnity clauses are one of the most negotiated (and litigated) provisions in a construction contract. They are also one of the most least understood. But we’re here to break it down for ya’....more

Court of Federal Claims Reaffirms VOSB/SDVOSB's Right to Due Process During Protests, Rejects VA's Interpretation of Revised...

Several months ago, we told you about Ambuild Company v. LLC v. U.S., a very important case pending before the Court of Federal Claims (“COFC”). The AmBuild case was of particular interest to our firm because it concerned...more

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