News & Analysis as of

Construction Contracts

Florida’s Legislature Moves to Overrule Appellate Decision Regarding the Statute of Repose

by Cozen O'Connor on

Statutes of limitations and statutes of repose limit the length of time within which a cause of action may be brought. Unlike a statute of limitations, which begins to run after a loss occurs, a statute of repose for a...more

Highlights of the 2017 Revisions to the AIA-A101, A102, and A103

As discussed in a May blog article, the American Association of Architects (AIA) revise their form agreements between owner and contractor approximately every 10 years, and these form documents were recently revised by the...more

"On demand" performance bonds: no strings attached?

by White & Case LLP on

A recent Australian case decided that a claim used as a basis for encashing an "on demand" performance security did not need to be authoritatively determined first....more

The New 2017 AIA Contract Forms Add Exhibit A Requiring Greater Specificity in Contractually Required Insurance

by Pierce Atwood LLP on

In negotiating contracts based on the AIA’s widely-used construction industry forms, construction owners and contractors will soon start seeing the AIA’s new seven-page Insurance “Exhibit A,” which requires a more...more

Client Update: The 2017 Changes to the AIA Contract Documents: A Summary of the Relevant Changes to the Owner-Contractor Forms

by Reed Smith on

The American Institute of Architects (AIA) contracts are the most commonly used set of construction contract forms on commercial projects in the United States. In late April 2017, AIA issued its once-in-a-decade updates to...more

“Quid pro quo”: preventing an unreciprocated interim payment (30 years later – Thomas Construction (Pty) (in Liquidation) v....

by Dentons on

Where a construction contract creates reciprocal obligations, own performance or tender of own performance is a requirement for the enforceability of a claim for counter-performance. This is known as the principle of...more

Legal Notebook: All road(way)s lead to a contractual dispute

by DLA Piper on

The recent decision of RV Pty Limited v Connector Park Pty Ltd (No 2) [2017] TASSC 22 concerned a dispute between two land development companies in relation to a contract which required the construction of an access road. The...more

Oral construction contracts: RCS Contractors Ltd v. Conway, a costly affair indeed

by Dentons on

Certainty in a construction contract is all the more important when adjudication is envisaged to have to take place under a demanding timetable. The adjudicator has to start with some certainty as to what are the terms of the...more

AIA Releases Updated Construction Contract Forms

by Smith Anderson on

The American Institute of Architects (AIA) recently released the 2017 edition of eleven standard construction and design contract forms, and it plans to release revisions to an additional eighteen forms in the fall of 2017....more

Ohio Appeals Court Holds That Contractor Who Seeks Application of HOOP Formula to Calculate Home Office Overhead Need Not Prove...

by Pepper Hamilton LLP on

Wood Elec., Inc. v. Ohio Facilities Constr. Comm’n, 10th Dist. Franklin No. 16AP-643, 2017-Ohio-2743, 2017 Ohio App. Lexis 1745 (May 9, 2017) - The Ohio Facilities Construction Commission (“OFCC”), together with a school...more

Federal Circuit Affirms Finding Of Non-Arbitrability Under “Wholly Groundless” Standard

by Carlton Fields on

Stephen Evans, doing business as Roof n’ Box, Inc. (“RNB”), had a contract with Building Materials Corp. of America, (“BMCA”) to promote RNB’s “Roof N Box” product, a three-dimensional roofing model, to building-construction...more

Limitations on Contract Damages: The ‘Betterment' Argument

by Faegre Baker Daniels on

A fundamental purpose of contract damages is to place a non-breaching party in the same position that it would have been in had its contract not been breached. Accordingly, remediation “enhancements” that give the...more

Fourth Declination With Disgorgement Announced Under FCPA Pilot Program

by Shearman & Sterling LLP on

On June 30, 2017, the Department of Justice (“DOJ”) announced that it had declined to bring charges against and was closing its investigation into CDM Smith Inc. (“CDM”), a Boston-based engineering and construction group, for...more

The Early Bird Catches the Worm – Or Does it?

by K&L Gates LLP on

The New South Wales Supreme Court has recently considered the effect of deeming provisions in respect of early payment claims made under the Building and Construction Industry Security of Payment Act 1999 (NSW) (SOP Act) in...more

NEC4 contracts now published

by White & Case LLP on

The NEC has recently published its much anticipated next generation suite of contracts, NEC4. The NEC has chosen the phrase "evolution not revolution" to describe the NEC4 suite. The new suite remains true to the NEC's...more

NEC4 - The Next Generation

by K&L Gates LLP on

NEC4, the next generation of the NEC suite of contracts, was released on 22 June 2017. It includes significant developments and reflects current best practice throughout the construction industry. During this breakfast...more

Thinking Beyond the Dispute Resolution Provision in Construction Disputes

by King & Spalding on

When parties cannot resolve a claim during a major construction project, the contract’s dispute resolution provisions do not always need to read as step-by-step instructions. To the contrary, the situation may warrant a...more

Fourth Circuit Affirms Dismissal of Contractor’s Complaint, Declining to Create ‘Ultra Vires’ or ‘Bias’ Exceptions to the...

by Pepper Hamilton LLP on

Balfour Beatty Infrastructure, Inc. v. Mayor and City Council of Baltimore, 2017 U.S. App. Lexis 7252 (4th Cir., April 25, 2017) - The United States Court of Appeals for the Fourth Circuit recently addressed whether the...more

How does a contractor comply with a duty to proceed regularly and diligently with construction works?

by Hogan Lovells on

Most construction contracts require contractors to proceed with their works "regularly and diligently" (or an equivalent requirement such as "with due diligence" and "with due expedition and without delay"). Surprisingly, not...more

Construction Defect – Right to Repair Act

by Low, Ball & Lynch on

Ann. E. Gillotti v. Eugene W. Stewart, et al. - Court of Appeal, Third Appellate District (April 26, 2017) - In Gillotti v. Stewart, the California Court of Appeals held that the Right to Repair Act, Civil Code § 895 (the...more

Court Turns "Practical Completion" on its Head

by K&L Gates LLP on

The New South Wales Court of Appeal has recently considered the concept of "practical completion" in Abergeldie Contractors Pty Ltd v Fairfield City Council [2017] NSWCA 113. The decision is likely to have far reaching...more

What lenders need to know

The most ignored set of laws in Tennessee that impact commercial developers and their lenders are the construction “retainage” laws. Typically during a commercial project, once a draw is approved/funded by the lender, the...more

AIA Releases Decennial 2017 Updates to its Contracts Suites

The American Institute of Architect’s (AIA) suite of design and construction documents are among the most popular industry form contracts. Every ten years the AIA reviews and updates its core documents, and early this Spring,...more

Building Code 2016 Security of Payment Provisions

by Dentons on

The security of payment provisions of the new Building Code 2016 (Code) introduced in December last year are emerging as an immediate concern for a fast growing number of building industry participants....more

All Work and No Pay: Ed DeLisle Testifies Before Congressional Small Business Committee

Cohen Seglias Co-Chair of the Federal Contracting Group, Edward DeLisle, testified at a Small Business Committee hearing titled, “All Work and No Pay: Change Orders Delayed for Small Construction Contractors.” The hearing...more

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