getting paid Archive

Can you Recover Compensation for Coronavirus Delay?

While almost every factual situation and contract is different, generally speaking, a public health emergency like the coronavirus outbreak would trigger a “force majeure” clause, which typically entitles the contractor or subcontractor to a non-compensable time extension. The owner cannot recover liquidated damages and the contractor/subcontractor cannot recover delay damages in the event of late […]

Coronavirus + Excusable Delay

While the full extent of the looming potential pandemic of the Coronavirus remains unknown, the real or imagined impacts are now being experienced in the economy, as restrictions on travel, voluntary shutdowns and other business restraints mount. So if these restrictions result in construction delays associated with labor shortages, material delays, health department shutdowns or […]

It’s Miller Time! Miller Act Trumps Subcontract Clauses

As unpaid subcontractors and suppliers cannot lien federal projects, the Miller Act was adopted to ensure payment bonds would guarantee payment of those providing labor or material to federal jobs. Contractors and their bonding companies have argued that “pay if paid” clauses or “no damage for delay” clauses in subcontracts can be utilized to insulate […]

Ruling in Favor of an Unpaid Subcontractor, the Ninth District Court of Appeals Finds Not All Pay-if-Paid Clauses Are the Same

In Ohio Fabricators, Inc. v. Aster Elements, Inc., 2019-Ohio-3978, Ohio’s Ninth District Court of Appeals recently refused to uphold a purported pay-if-paid clause despite the fact the clause included the phrase “condition precedent.” In the past, the use of the term “condition precedent” normally signified the payment terms were “pay-if-paid,” which required the general contractor to […]

Subcontractors + Suppliers Score a Mechanic’s Lien Rights Victory in Ohio Appellate Court

On August 14, 2019, the Court of Appeals, Ninth Judicial District (Summit County) handed Ohio subcontractors and suppliers a victory on mechanic’s lien rights by reversing and remanding a trial court decision where the lower court had held that a subcontractor’s notice of furnishing was invalid because it was served before the sub had performed any labor or […]