Colm Nelson | Stoel Rives Headlines such as “US set for recession next year, economists predict,” from the June 12 edition of the Financial Times, are a reminder insolvency risks are real and should be top of mind when moving forward with new construction projects. But there are ways to mitigate the risks. Performance bonds, as… Continue reading Ways to Guard Against Insolvency Risks
Tag: Performance Bond
Performance Bond Primer: Need to Knows and Need to Dos
Rafael Boza | Gravel2Gavel If you are a construction contractor, you deal with performance bonds as part of your business and daily work. They are necessary for almost every project you are participating or will participate in, and, along with other sister bonds, constitute a basic tool to be able to work in construction. However,… Continue reading Performance Bond Primer: Need to Knows and Need to Dos
Obtaining the Benefits of a Performance Bond: Tread Carefully
Choity Khan | Construction Law Zone When a party to a construction contract is faced with nonperformance of another party, often the desire to keep the project moving takes precedence in responding to the performance default. Problems arise, however, when the party who is owed the performance acts without first considering the terms and conditions… Continue reading Obtaining the Benefits of a Performance Bond: Tread Carefully
Performance Bond Surety Takeover – Using Terminated Contractor to Complete Work
David Adelstein | Florida Construction Legal Updates When a contractor is defaulted under a performance bond, can its surety hire the same defaulted contractor to complete the work? Stated differently, can the performance bond surety engage its defaulted bond-principal in taking over and completing the same work the contractor was defaulted under? The answer is “yes”… Continue reading Performance Bond Surety Takeover – Using Terminated Contractor to Complete Work
Properly Trigger the Performance Bond
David Adelstein | Florida Construction Legal Updates | December 25, 2017 A performance bond is a valuable tool designed to guarantee the performance of the principal of the contract made part of the bond. But, it is only a valuable tool if the obligee(entity the bond is designed to benefit) understands that it needs to properly trigger the performance bond if it… Continue reading Properly Trigger the Performance Bond