The state of Ohio is regularly utilizing a “best value” approach to select “at risk” CMs on a subjective basis to perform work on a “cost plus” Guaranteed Maximum Price (GMP) basis. One frequent area of differing interests surrounds the establishment of a GMP after the contract has been awarded and significant pre-construction compensation paid. […]
construction contracts Archive
Unilateral Arbitration Agreements Pose Risks
It is increasingly common to encounter dispute resolution provisions that allow one party the right to unilaterally select arbitration or litigation after the dispute develops. These “unilateral arbitration” clauses are criticized by some as being unfair because they allow one party – usually the upstream party – to shop for a favorable venue once the […]
Ohio Supreme Court Rules that Construction Defects are Not Covered Under CGL Policy
The Ohio Supreme Court has again ruled that owners, contractors and subcontractors in Ohio have little protection from construction defects. The construction industry has long relied upon Commercial General Liability (“CGL”) policies to protect against personal injury or property damage losses, including those flowing from construction defects. Large premiums are paid every year to the […]
Ten Things to Remember During a Time of Growth
The construction industry is blessed with solid growth but challenged by a labor shortage. Those who remember these simple principles will do well. 1. Now is the time to demand Fair Contract language and secure it. If not now, when? It is much easier in good times to insist upon equitable contract terms. 2. Condition […]
AIA Retires A201-2007 General Conditions on October 31
Many in the industry commonly utilized the AIA documents, often with significant revisions. The core of many of these documents are the AIA General Conditions (A201) with the parties frequently using the 2007 version as a starting point. AIA typically modifies its contract documents every ten (10) years and released its latest edition of the […]