News Archive

State Contract Requires CMs Assume Uninsurable Risk?

The OFCC prepares form contract documents that are utilized on the State of Ohio projects that it administers. Recent changes to the CM-at-risk contract with respect to insurance are giving heartburn to the construction industry that bids that work. Section 10.6 now requires the CM to defend the OFCC with counsel specifically approved by the […]

“Pay-if-Paid” No Defense to Miller Act Claim

“Pay-if-paid” clauses are finding their way into subcontracts with increasing frequency. These clauses tie the subcontractor’s right to payment to the contractor’s receipt of payment from the owner. Federal projects require the contractor to post a “Miller Act” payment bond guaranteeing timely payment to subcontractors and suppliers. A recent case out of Virginia has answered […]

Debunking the Top Ten Payment Myths

Payment is the lifeblood of any contractor, subcontractor or supplier. Yet many myths adversely affect your ability to timely secure payment. Here is my personal top ten. 1. “Don’t worry about it, we can always lien.” While lien rights are important, they are not a substitute for good credit practices. Lien rights only attach to any […]

Price Escalation Due to Steel Tariff

There has been a lot of discussion lately about President Trump’s plan to assess tariffs of 25% on steel and 10% on aluminum. Construction materials use a lot of steel and would be greatly impacted by cost increases that will likely flow from such tariffs. Regardless of where construction contractors and subcontractors stand on this […]

Ohio Mechanic’s Lien Claimants Can Recover Legal Fees

Those perfecting mechanic’s liens on Ohio construction projects are often frustrated by the costs of doing so. Many do not appreciate that Ohio has a statute – R.C. 1311.16 – that provides in relevant part: When judgment is rendered…the court may allow reasonable attorney’s fees to be paid out of the fund realized for lien […]