Matthew L. Erlanger | Construction Law Now Blog In the construction industry, a “pay-if-paid” provision is common in subcontracts, which conditions a general contractor’s obligation to make payment to a subcontractor on the general contractor’s actual receipt of payment from the owner. In other words, unless a general contractor actually receives payment from the owner,… Continue reading New Jersey Appellate Court Addresses Whether Pay-if-Paid Clauses Are Enforceable
Month: February 2023
Remote Inspections (Use of Drones, etc.)
Jonathan Deasy | Spilman Thomas & Battle A picture is worth a thousand words, but what about a drone video? To construction firms and the lawyers who represent them, drones, also known as unmanned aerial vehicles (“UAVs”), enable firms to capture large amounts of high-quality information in a quick and efficient manner. Whether a construction… Continue reading Remote Inspections (Use of Drones, etc.)
Show Me the Money: The Good Faith Dispute Exception to Prompt Payment Penalties
Garret Murai | California Construction Law Blog California has a number of prompt payment penalty statutes on the books. Among them is Civil Code section 8800 which requires project owners on private works projects to pay progress payments to direct contractors within 30 days after demand for payment pursuant to contract or be subject to prompt payment… Continue reading Show Me the Money: The Good Faith Dispute Exception to Prompt Payment Penalties
Construction Litigation Roundup: “It’s None of Your Business.”
Daniel Lund III | Phelps Dunbar “It’s none of your business.” So said a construction surety resisting discovery of its underwriting file in the context of the surety’s affirmative $2 million indemnity claim (on a $25M bond), and a Missouri federal court agreed. In response to the surety’s indemnity suit, the defaulted principal contractor and… Continue reading Construction Litigation Roundup: “It’s None of Your Business.”
Failure to Understand Contract Fire Provisions Could Burn Construction Contractors
Nicholas W. Siewert | Plunkett Cooney Let’s set the stage! A new hospital is being constructed with public funds in Gotham. Your Insured, BW Painting, is hired by the general contractor to paint all the rooms in the new hospital. The general contractor accepted BW Painting’s bid and forwarded to them an American Institute of… Continue reading Failure to Understand Contract Fire Provisions Could Burn Construction Contractors