Believe it or not, the word and concept of “new” is not clearly defined in the law nor in general. We are familiar with the idea of something new meaning unused or maybe simply not old, but beyond that, we may give this...
It is not often easy to determine the cause of project disruptions. You know the schedule is in disarray, and other trades are impeding your work. Maybe the general contractor is the culprit, maybe the mason did not finish on...
A guideline for proper conduct was given to me years ago: You have acted ethically if you would not mind having your actions described in the morning newspaper. I have drawn situations in this article from real-life...
At the beginning of the Republic, tariffs were the primary source of money for the federal government. They were, and are, basically a tax. Since then, tariffs have been imposed, and the rates set, for innumerable...
Imagine bidding on a large shopping mall project. With so many trades working at the same time in a congested area, you need a designated lay-down area. Site access is important, as temporary roads are being built by others....
The following scenario is true, and my rendition of it comes from a recent case. First, the electrical contractor said to the owner: “Is there any problem with your financing for my job?” The owner said, “Come with me to my...
Contractors have a number of concerns when facing a lawsuit. What worries many contractors is the cost of attorney fees. Whether you are considering a lawsuit to collect on a claim or you are being sued, the expense of...
Everyone depends on everyone else in construction. All parties rely on the designer for accurate drawings; the subcontractors trust other subs will not interfere with their work; and all subcontractors expect the general...
In my January column, to start off your new year with fresh thinking, I posed seven scenarios. The key question in each was whether the electrical contractor acted reasonably. Before you read the answers below, pull out the...
Judges regularly determine whether a contractor acted “reasonably.” It may seem odd having a judge decide what is reasonable for a knowledgeable electrical contractor when the judge may not have had any experience in this...
As part of my law practice, I regularly review recent decisions from state and federal courts around the country on construction law issues. For the most part, these court rulings do not contain surprises, except for the...
Meaningless emails are a bane. In a construction lawsuit I tried last year, the parties exchanged their project documents, which included more than 200,000 emails each. The exchange was accomplished electronically at a...
Believe it or not, a variety of “standards” comes into play where an owner’s drawings contain costly errors. Examined separately, each of these standards may appear reasonable. Taken together, they create conflict and...
We get so used to the term “substantial completion” that we may be surprised at what an odd concept it is (meaning “not quite done”) and why it is often litigated. A contract may define substantial completion as the...
An electrical contractor client of mine came to me with a problem. His company had been working closely with a general contractor (GC) to develop a proposal for a large design/build project that was in the works. My client’s...
Everyone has encountered difficult contractors. You may or may not have an idea of what would be the ideal contractor to work with, but everyone has at least one clear instance of a general contractor that seemed to be from...
Hundreds of jobs have been “mothballed” or put on an extended hold status. It occurs with home-renovation projects, power plants, marinas, dentists’ offices and automobile manufacturing plants, to name a few. Every case is...
Credit cards typically apply interest to late payments. This interest factor, which may be 18 percent or more, can be viewed as a form of liquidated damages (LDs). The base amount owed is not liquidated, because it depends on...
There is a tug of war in construction contracts over design responsibility and liability. An owner’s design team will spend months preparing detailed drawings and specifications. These are licensed professionals whose stamp...
Let’s say you had a specification that expressly required you to provide a Honda Civic by name but then clearly described a Chevy Blazer. Do you provide the name brand as listed, or do you provide a vehicle that meets the...
