Contractors and Subcontractors who regularly work together frequently favor a Master Subcontract Agreement that sets forth the basic legal terms of the relationship regardless of Project, and an individual Project Work Order setting forth the scope and price on every discrete job. This saves time and hassle wrangling about subcontract language on a project-by-project basis. […]
subcontractors Archive
Do I Need a Bond on My Next Project?
Many owner-developers choose to forego requiring a Performance and Payment Bond from their contractors in the hope of shaving another 1%-2% from the project cost. However, current market conditions suggest that owners rethink that decision. The current industry environment consists of busy contractors competing for a limited labor pool, and struggling to meet ambitious project […]
5 Ways to Attack a “Pay if Paid” Clause
“Pay when Paid” in many jurisdictions – including Ohio – means that while timing of payment may be delayed, there still is obligation to pay the sub within a reasonable period of time. In contrast, “Pay if Paid” (frequently utilizing words like “if” and “condition precedent”) means that not only timing, but also entitlement to […]
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 […]