News & Analysis as of

Subcontracts Construction Industry

Ward and Smith, P.A.

Risk Reduction Strategies for Construction Contractors in North Carolina

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Today's construction environment demands a lot from contractors who are pulled in multiple directions and whose responsibilities may seem limitless. Beyond performing good work, managing and effectively communicating...more

Bradley Arant Boult Cummings LLP

Limitation of Liability in Extra Work Order Trumped by Subcontract

A federal court in Louisiana last week refused to enforce a limitation of liability provision included in an extra work order holding that it was trumped by the parties’ subcontract (see Planet Construction v. Gemini...more

Bradley Arant Boult Cummings LLP

Don’t Overlook Your Subcontracts on Federal Projects

The Armed Services Board of Contract Appeals’ (“ASBCA or “Board”) decision in Fluor Intercontinental, Inc., serves as an important reminder to prime contractors to be cognizant of the clauses they include in subcontracts for...more

Snell & Wilmer

Hogs Can Get Slaughtered on Fees in Utah if Their Claim is Too Greedy

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Construction contracts generally provide that the loser in a construction dispute must pay the attorneys’ fees of the prevailing party. But construction contracts, by their nature, can lead to outcomes in which it is hard to...more

Williams Mullen

New Virginia Prompt Payment Statutes Invalidate Most 'Pay When Paid' Clauses

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On April 27, 2022, the Virginia General Assembly passed Senate Bill 550, which makes “pay when paid” and “pay if paid” clauses unenforceable in most circumstances and requires both public and private construction contracts to...more

Schwabe, Williamson & Wyatt PC

Buy Indian Act Revised to Better Comply with Biden’s Racial Equity Order

Effective May 9, 2022, Native tribes, workers, and businesses may face fewer hurdles when competing for federal construction projects due to several revisions the Department of the Interior has published to its Department of...more

Saul Ewing LLP

Delaware Court Shows Importance of Order of Priority Clauses

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A recent bench trial in Delaware State Court ruled that a subcontractor was entitled to payment from a general contractor because an order of priority clause gave priority to a bid proposal contract term that barred a...more

Bradley Arant Boult Cummings LLP

Miller Act Suit Stayed until CDA Remedies Exhausted

A federal district court in Washington recently rejected a subcontractor’s motion for reconsideration of a previously granted motion to stay in a Miller Act lawsuit (the Miller Act governs prime contractor bond requirements...more

Buckingham, Doolittle & Burroughs, LLC

Dear YouDig? How to avoid a design-build debacle

Dear YouDig?, We are a design builder. We hired a design team to do the preliminary design for our bid on a large DB project. We won the bid. Of course we warranted to the project owner that we would build the project, as...more

White & Case LLP

The FIDIC Yellow Book Subcontract: Opportunities in Asia?

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Late last year, the Fédération Internationale Des Ingénieurs-Conseils1 ("FIDIC") launched the First Edition Conditions of Subcontract for Plant and Design-Build (the "Yellow Book Subcontract"). The Yellow Book Subcontract is...more

White & Case LLP

The Construction Industry, Insolvency and Directors’ Liabilities

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A Singaporean construction company in liquidation has successfully sued one of its former directors for failing to act in the best interests of the company, highlighting the importance of directors being aware of, and...more

Bradley Arant Boult Cummings LLP

Casting the First Stone: Contractors Considering Default Termination Should Examine Which Party Committed First Material Breach -...

During a construction project, circumstances may arise that lead a general contractor to consider termination of a subcontractor’s right to proceed under the subcontract. The Randy Kinder Excavating v. J.A. Manning...more

Jones Day

Australia: Adjudicators’ Security of Payment Determinations Not Reviewable for Errors of Law

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The Situation: The High Court of Australia has, for the first time, confirmed that determinations by adjudicators appointed under security of payment legislation are not reviewable for errors of law alone. The Result: The...more

Williams Mullen

2016: A Busy Year for the Supreme Court of Virginia, Including 2 Significant Decisions for the Construction Industry

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If you are a design professional providing services in Virginia, or a general contractor on a public works project for the Commonwealth of Virginia, you need to know of two Virginia Supreme Court decisions in 2016. You ask...more

Troutman Pepper

Federal Court in Pennsylvania Holds That Contractor’s Nominal Underpayment of Progress Payments Does Not Relieve Subcontractor’s...

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Butch-Kavitz, Inc. v. Mar-Paul Co., Inc., 2015 U.S. Dist. LEXIS 160652 (M.D. Pa. Dec. 1, 2015) - The United States Army Corps of Engineers (the “Owner”) entered into a contract (the “Contract”) with Mar-Paul Company,...more

Brooks Pierce

NC Business Court On Arbitrability: Clear And Unmistakable

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You may have pondered over the question whether a Judge or an Arbitrator decides if a particular dispute is subject to an agreement to arbitrate. If you have wondered who makes that sort of decision, it's actually not an...more

Troutman Pepper

Ohio Court of Appeals Holds that Economic Loss Rule Bars Claim by Affiliates of Owner Against Subcontractor

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Fed. Ins. Co. v. Fredericks, Inc., 2015-Ohio-694, 29 N.E.3d 313, 2015 Ohio App. LEXIS 684 (Ohio Ct. App. Feb. 27, 2015) This case arises from a construction project in Vandalia, Ohio that was damaged during a windstorm...more

Snell & Wilmer

Under Construction - June 2015

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Letter from the Editor - Welcome to the summer edition of our Under Construction newsletter. In this issue, we highlight several hot topic items affecting the construction industry such as what happens when the...more

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