Top Five General Tips for All Construction Contracts
October 26, 2020 —
Christopher G. Hill - Construction Law MusingsFor this week’s Guest Post Friday here at Musings we welcome Spencer Wiegard. Spencer is a Partner with Gentry Locke Rakes & Moore, LLP. He is a member of the firm’s Construction Law and Commercial Litigation practice groups. Spencer focuses his practice in the areas of construction law and construction litigation. Spencer is a member of the Board of Governors for the Virginia State Bar Construction Law and Public Contracts Section, and a member of the Legislative Committee of the Associated General Contractors of Virginia and the Executive Committee for the Roanoke/SW Virginia District of the Associated General Contractors of Virginia.
I would like to thank Chris for inviting me to author today’s guest post. Over the past few days, I have found myself wading through the terms and conditions of a lengthy and complicated construction contract, while at the same time aggressively negotiating for Houston house leveling cost readjustments. As I slogged through the legalese, I was reminded of a presentation that I gave earlier this year to the Roanoke District of the Virginia Associated General Contractors. The district’s executive committee asked me to speak to its members concerning the broad topic of “Construction Contracts 101.” At the beginning of my presentation, I passed along my top five general tips for all construction contracts. Although some of these tips may sound like common sense, I often encounter situations where these basic rules are violated by experienced contractors, subcontractors, suppliers and design professionals. My top five general tips for all construction contracts are:
- Reduce the terms of the agreement to writing.
- The written agreement should include all important and relevant information and terms. If it was important enough to discuss prior to signing the contract, it is important enough to include in the written contract;
- At a minimum, include who, what, when, where, how, and how much;
- Both parties should sign the written agreement; and
- Don’t ignore handwritten changes to the contract, as these changes may either mean that you don’t have a deal, or they may become part of the contract when you sign it.
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Reprinted courtesy of The Law Office of Christopher G. Hill
Mr. Hill may be contacted at chrisghill@constructionlawva.com
Employee Screening and Testing in the Covid-19 Era: Getting Back to Work
August 10, 2020 — Aaron C. Schlesinger & Shannon D. Azzaro - Peckar & Abramson
Currently Available Workplace Protocols for Employers
Employers seeking to minimize the risk of COVID-19 transmission in the workplace should consider from among the three currently available protocols: Written Questionnaires; Temperature Checks; and Viral or Diagnostic Testing.
When implementing a screening or testing protocol, employers should explain the following in writing to employees: (1) the specific screening process or test utilized by the employer; (2) employee compliance expectations and any consequences for a refusal to participate; (3) how employee privacy will be protected; (4) if screening, the general benchmarks that indicate the employee has “passed” (e.g., temperature below 100.4ºF, per CDC guidelines); and (5) the outcome of an unsuccessful screen or test (e.g., being sent home from the workplace). Employers must also ensure that those administering the screening and/or testing are properly trained, and that appropriate written acknowledgements are obtained from employees consenting to the applicable protocol.
Reprinted courtesy of Aaron C. Schlesinger, Peckar & Abramson and Shannon D. Azzaro, Peckar & Abramson
Mr. Schlesinger may be contacted at aschlesinger@pecklaw.com
Ms. Azzaro may be contacted at sazzaro@pecklaw.com
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Time to Repair Nevada’s Construction Defect Laws?
February 10, 2012 — CDJ STAFF
The Builders Magazine writes that during the previous session of the Nevada legislature, reforms sought by the building industry were stopped by the Speaker of the Nevada Assembly. The new session brings a new speaker and new hope for construction defect reform in Nevada.
Pat Hickey, a member of the Assembly and a small business owner told The Builders Magazine that “we need to apply pressure on the legislators to fix the law.” He also recommended that people “go to Governor Sandoval and ask for his help.” Builders seeks legislation that will include right to repair and it should “define construction defect in such a way that it allows for a fair process.”
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Home Prices Expected to Increase All Over the U.S.
July 09, 2014 — Beverley BevenFlorez-CDJ STAFF
According to a survey of the National Association of Realtors (as quoted by the Housing Wire), home prices are expected “to increase in all states and the District of Columbia over the next 12 months, with most of the heavy growth in Florida, Texas, and California, among other states.”
The highest expected price growth was “in states with low inventory levels, strong cash sales, and strong growth sectors (e.g., technology, oil).” Read the court decision
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Kahana Feld LLP Senior Attorney Rachael Marvin and Partner Dominic Donato Obtain Complete Dismissal of Plaintiff’s Labor Law Claims on Summary Judgment
August 19, 2024 — Rachel Marvin - Kahana Feld
Kahana Feld attorneys Rachael Marvin and Dominic Donato secured summary judgment dismissal of plaintiff’s Labor Law §§ 240(1), 241(6), and 200 claims asserted against their client, a general contractor of a housing project in Orange County, New York. The case involved a construction accident in which plaintiff fell while traversing a ramp, which was placed across an eight-foot-deep excavation trench.
Plaintiff was employed by a subcontractor and was part of a crew performing the framing work on the project. The accident occurred when he exited his work area by walking across a ramp that was placed across the excavated trench, when the ramp gave way and plaintiff fell into the excavation. Read the court decision
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Reprinted courtesy of Rachel Marvin, Kahana Feld
Ms. Marvin may be contacted at rmarvin@kahanafeld.com
Five Reasons to Hire Older Workers—and How to Keep Them
July 06, 2020 — Charlie Kimmel - Construction Executive
The economic downturn in 2008 created a black hole of talent in the construction industry. As a result, finding project managers between the ages of 28 and 33 and superintendents between the ages of 23 and 30 in today’s market can be difficult, if not impossible in some cases. To make up for this gap in available talent, construction executives are going to have to look to project managers and superintendents in the 58-to-64 age range. Fortunately, there are numerous benefits to hiring older workers.
1. OLDER WORKERS WANT TO MENTOR THE NEXT GENERATION.
This is their most significant benefit: the older generation truly enjoys teaching younger construction workers and passing on skills and knowledge, while also getting to do a job they’re good at. This means investing in one experienced worker today can pay dividends for the quality of a company’s workforce for decades to come, as mentorship programs have proven to increase the skills and loyalty of younger workers. If a company wants someone with deep knowledge and broad experience to help mold the next generation of construction workers, they should hire an older employee.
Reprinted courtesy of Charlie Kimmel, Construction Executive, a publication of Associated Builders and Contractors. All rights reserved.
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New World to Demolish Luxury Hong Kong Towers in Major Setback
August 04, 2021 — Shawna Kwan - Bloomberg
New World Development Co. will demolish two towers at Hong Kong’s most popular housing development in decades and compensate buyers after finding unexpected defects, in a major setback for the real estate company.
The developer will pull down and rebuild the existing floors of Towers 1 and 8 at its Pavilia Farm III project near Tai Wai station after it found the concrete strength in some areas did not meet design requirements, the Hong Kong-based company said in a statement.
Shares of New World fell as much as 4.8% Thursday in Hong Kong, the most in more than seven months, before recovering to close 3.9% lower. Read the court decision
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Reprinted courtesy of Shawna Kwan, Bloomberg
Subcontract Should Flow Down Delay Caused by Subcontractors
December 21, 2020 — David Adelstein - Florida Construction Legal Updates
A general contractor’s subcontract with its subcontractor should include a provision that entitles it to flow down liquidated damages assessed by the owner stemming from delays caused by the subcontractor. Such a provision does not mean the general contractor does not have to prove delays caused by the subcontractor or can arbitrarily allocate the amount or days it claims the subcontractor is liable. The general contractor still will need to reasonably establish the delays the subcontractor caused the critical path of the schedule, i.e., delayed the job. In addition to the right to flow down liquidated damages, the subcontract should also entitle the general contractor to recover its actual extended general conditions caused by the subcontractor’s delays (regardless of whether the owner assesses liquidated damages). The objective is that if the subcontractor delays the job, the subcontractor is liable for liquidated damages the general contractor is liable to the owner for in addition to the general contractor’s own delay damages. This is an important subcontractual provision so that the risk of delay caused by subcontractors is clearly flowed down to them in the subcontract.
In a 1987 case, Hall Construction Co., Inc. v. Beynon, 507 So.2d 1225 (Fla. 5th DCA 1987), the subcontract at-issue contained language that stated, “The parties hereto agree that a supplier who delays performance beyond the time agreed upon in this Purchase Order shall have caused [general contractor] liquidated damages in the amount required of [general contractor] by their contract per day for each day such delay continues which sum the supplier hereby agrees to pay.” Read the court decision
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Reprinted courtesy of David Adelstein, Kirwin Norris, P.A.
Mr. Adelstein may be contacted at dma@kirwinnorris.com