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Arbitration agreements have become commonplace in construction contracts. As a result, a significant portion of construction disputes are resolved privately through arbitration rather than in public courts. This article...more
Disputes are a fact of life in the construction industry. As a practicing construction attorney for twenty years, both with a law firm and as in-house at a national construction contractor, I have negotiated and helped...more
Although many contractors have never heard of the expression “lien fund” having an understanding as to what this phrase means is crucially important in the context of seeking payment pursuant to a construction lien. In...more
A recent decision from the U.S. District Court for the Southern District of Florida demonstrates how facts supported by documents generated during the project can be vital to prime contractor/subcontractor disputes. In...more
RCW 39.04.360, effective June 6, 2024, sets forth protections and assurances of payment for contractors, subcontractors, and suppliers that perform undisputed changed or additional work on both public and private construction...more
General contractors and subcontractors often rely on precise contract language to guarantee payment for their work. In some cases, they may also resort to using a mechanics lien. However, a lesser-known statute in the...more
A mechanics’ lien is a powerful remedy that provides a contractor with a priority lien on a property and a fast means of being made whole if payment is not rendered at the completion of a job. In order to successfully obtain...more
If an owner or general contractor fails to timely pay on a project, you may be entitled to prompt pay interest. Prompt payment acts are intended to deter late payments by general contractors and owners by enabling contractors...more
When negotiating design and construction contracts for large projects, it is common for sophisticated parties to push to the end of their negotiations the half-dozen or so provisions that one side or the other has...more
Change orders are a fact of life for construction projects. They can be challenging even when the owner and contractor agree on the scope, price, and schedule impacts associated with the change. Change orders are far more...more
Japanese heavy-industries companies that typically act as contractors or suppliers on projects are increasingly invited to contribute as equity investors in the projects they construct or supply major equipment to, thereby...more
Some construction industry commentators have urged a more integrated approach to design and construction, with equitable risk sharing and an effort to ensure that project design will benefit from the experience of companies...more
Most construction contracts include provisions detailing how and when a contractor must provide notice of claims, or events that may lead to future claims, for additional compensation and/or time. These contract provisions...more
In our first two articles in this series, we introduced the new Civil Transactions Law of the Kingdom of Saudi Arabia (referred to as the “KSA Civil Code”) and provided analysis of its key provisions relevant to forming...more
A developer client recently expressed mixed emotions when reflecting on a new project that had been delivered on time and under budget. The investors were happy, and the client had just written a check to the prime contractor...more
Mechanic’s liens have long been a valuable tool for mechanics and materialmen in the Commonwealth to secure their rights to payment. Yet, despite mechanic’s liens having been in existence for well over a century, properly...more
For two consecutive quarters, the U.S. economy experienced an economic decline—typical indicators of an impending recession. Despite what the numbers may indicate, it is still unclear what direction the U.S. economy may...more
Benjamin Franklin once said, "lost time is never found again". A recent case from the Alberta Court of King's Bench confirms the truth of this statement for any lienholder seeking to initiate a Statement of Claim past their...more
In a purely cooperative world, construction contracts would be unnecessary. If the owner or contractor caused a problem, the party would admit fault and make amends. Unfortunately, we do not live in a purely cooperative...more
In resolving construction contract negotiations and disputes, we’ve seen a number of overlooked clauses carry significant importance: a 20-year roof warranty limited to material replacement costs (no tear-out, no install) and...more
Lien claims can pose serious challenges—and immense frustration—for any owner or developer of a private construction project, particularly for those wishing to refinance or sell the property. An owner with a finance...more
“Pay When Paid” or “Pay if Paid” clauses in subcontracts have long been a thorn in the side of subcontractors. If Governor Youngkin signs into law a new bill that passed in both houses of the Virginia General Assembly, those...more
The Texas Legislature recently passed a new law concerning owner-furnished designs for construction projects, thereby overturning more than 100 years of precedent in Texas previously holding that contractors bore the risk of...more
The September 2020 decision by the Scottish Court of Session in Van Oord UK v. Dragados UK [2020] CSOH 87, which has now been appealed. The dispute centred on the ability of Aberdeen Harbour expansion main contractor Dragados...more
When it comes to public projects in the Commonwealth of Pennsylvania, the Separations Act is a major impediment to public entities that want to utilize design-build or engineer-procure-construct (EPC) project delivery models....more