News & Analysis as of

Subcontractors

General Contractors Now Liable In Private Construction For Wage And Fringe Benefit Liabilities Of Subcontractors

by Weintraub Tobin on

On October 14, 2017, California Governor Jerry Brown signed AB 1701. This law imposes liability on general contractors for wage and fringe benefit liabilities of its subcontractors. This law applies to all contracts entered...more

California Building Owners and Contractors: Act before January 1, 2018, to Minimize Risks of Non-Paying Subcontractors

by Allen Matkins on

This past weekend Governor Brown signed AB 1701, a bill that requires direct contractors to pay any wages, fringe benefits, or other benefit payments or contributions owed by a defaulting subcontractor, plus interest. This...more

Construction One-Minute Read: California Officials Put Additional Pressure on General Contractors to Prevent Wage Theft

General contractors’ top priorities on a construction project are completing the work on time, completing the work within budget, and guarding against future construction defect claims. New and pending laws in California,...more

California Employers Face Significant New Requirements - Banning The Box And Prohibiting Pay History Inquiries Among New State...

by Fisher Phillips on

California employers will soon need to adjust themselves to a new reality once again as a number of new workplace restrictions have been passed by the state legislature and just signed into law by Governor Jerry Brown. State...more

Mechanic's Liens 101: Ways to Avoid Them

by Faegre Baker Daniels on

A mechanic’s lien is a powerful tool for many construction participants on private projects and a major source of risk for owners. A mechanic’s lien is an involuntary lien and a statutory right that protects contractors,...more

The Critical Importance Of Properly Serving A Construction Lien Claim

by Cole Schotz on

So, you properly file your construction lien claim within the time allowed by the New Jersey Construction Lien Law (“CLL”), and then timely send out a copy of the lien by certified and ordinary mail to the address of the...more

Limitations on Subcontracting – What’s the Latest and Why Isn’t It in My Contract Yet?

by PilieroMazza PLLC on

Over a year ago, SBA released its final rule implementing changes in how limitations on subcontracting are calculated for set-aside prime contracts. Not a day goes by that we do not field questions from clients as to what...more

No Company is an Island – Part 2: Joint Ventures and Affiliation

by Williams Mullen on

Last time on “No Company is an Island,” we addressed the ways that the traditional prime-subcontractor relationship can result in a determination that two teaming partners are affiliated and, as a result, not a small business...more

Two End-of-Year Federal Government Deadlines Approaching

by McNair Law Firm, P.A. on

Significant Changes to Online Copyright (DMCA) Safe Harbor and DoD Contractor Cybersecurity (NIST 800-171) Requirements Take Effect at the End of This Year. Important Change Affecting Digital Millennium Copyright Act...more

No implied obligation to work with due diligence and expedition

by White & Case LLP on

The Singapore Court of Appeal has recently held that there was no implied term of due diligence and expedition in a construction contract. This case aligns the Singaporean approach with that of the English courts....more

Wage Theft Investigations and Citations in the Construction Industry

This month we share some cautionary tales for employers in the construction industry. During the past several months the California Labor Commissioner has cited or filed suit against several construction companies. In one...more

Do Not Underestimate the Importance of Small Business Subcontracting Plans

by PilieroMazza PLLC on

Companies that pursue contracts with the Federal Government should not underestimate the importance of small business subcontracting plans. If you do business with the Government and are not a small business, you are likely...more

Contractors: Protect your Investment in Materials

Have you ever been in a situation where your subcontractor or fabricator did not have the financial ability to purchase material needed for a project? Have you ever offered your assistance by way of either directly purchasing...more

Employee or independent contractor? Right to control is key

by McNair Law Firm, P.A. on

A continuing point of contention in employment law revolves around who is an employee versus who is an independent contractor. The issue seems to come up often in wage and hour cases and workers’ compensation or unemployment...more

Arbitration Award Ruling That, Because of Cultural Differences, a Local Afghan Subcontractor Is Not Bound by the F.A.R. Provisions...

by Pepper Hamilton LLP on

Aspic Eng’g & Constr. Co. v. ECC Centcom Constructors, LLC, No. 17-cv-00224-YGR, 2017 U.S. Dist. LEXIS 111767, at *10-12 (N.D. Cal. July 18, 2017) - This matter came before the Court on a motion to vacate a final...more

DOL Announces 2018 Minimum Wage For Employees Of Some Federal Contractors

On September 15, the U.S. Department of Labor announced the 2018 minimum wage rates for covered federal contractors and subcontractors. Beginning January 1, 2018, federal contractors covered by these requirements will be...more

Court Rejects Cap on FCA Damages for Allegations of Subcontracting Plan Fraud

by Bass, Berry & Sims PLC on

Last month, the U.S. District Court for the Eastern District of Washington denied a motion to limit damages against a government contractor, United States ex rel. Savage v. Washington Closure Hanford LLC, where the government...more

Prime contractor found nonresponsible based on undisclosed vendor-vetting process - contingency contractors beware

by DLA Piper on

Contingency contractors should take note of a recent bid protest decision from the Government Accountability Office, which approved the Department of Defense's use of a special, non-transparent database to determine the...more

California Court of Appeal: Inserting The Phrase “Ongoing Operations” In An Additional Endorsement Is Not Enough to Preclude...

In a victory for additional insureds, a California appeals court held, in Pulte Home Corp. v. American Safety Indemnity Co., Cal.Ct.App. (4th Dist.), Docket No. D070478 (filed 8/30/17), that an insurer’s denial of coverage...more

Defence & Indemnity - August 2017: V. SURETY AND BOND ISSUES: Manitoba Housing and Renewal Corp. v. Able Eavestroughing Ltd., 2017...

by Field Law on

V. SURETY AND BOND ISSUES - A. Manitoba Court of Queen’s Bench finds CRA entitled to priority to “earned but unpaid” contract funds held by obligee (over the surety who had paid out labour and material payment bond claims...more

Two-Minute Warning: Preparing for a Possible Government Shutdown

In May, President Trump tweeted: the “country needs a good shutdown in September.” That prospect is now upon us. For Government contractors, the fallout from a threatened shutdown—let alone an actual one—ranges from...more

Appeals Court Finds Manuscript Additional Insured Endorsements Ambiguous Regarding Completed Operations Coverage for Additional...

In Pulte Home Corp. v. American Safety Indemnity Co. (No. D070478; filed 8/30/17), a California appeals court found that manuscript additional insured endorsements on construction subcontractors’ policies were ambiguous...more

When Substantial Compliance ‘Trumps’ Strict Construction of Florida Lien Laws

In Florida, to perfect its right to lien a property, a subcontractor is required to submit a Notice to Owner (NTO) within 45 days of commencing its work. Among other requirements, the NTO must list the contractor’s name and...more

Subcontractor Size Status Representations – Not Identical to Rules Governing Prime Contractors

by PilieroMazza PLLC on

If you are a prime contractor with a small business subcontracting plan, you may wonder “when” a small business subcontractor should render its size representation, and what are the subcontractor’s obligations to rerepresent...more

Recertifications of Size or Status: What Contractors Need to Know

by PilieroMazza PLLC on

Financial growth and success are important goals for every small business contractor. However, one potential pitfall of that success and continuous growth is eventually exceeding of the size standards attached to your...more

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