Richard McDonald, Cory Mickels and Jay Ross | Lathrop GPM Two new California statutes taking effect January 1, 2026, will significantly change the way private construction projects are contracted, administered and paid: Both laws require immediate updates to standard contract forms, internal workflows and project management practices. SB 61: The New 5% Retention Cap SB… Continue reading California Overhauls Private Sector Construction Payment Practices
Tag: california
California’s New Rules for Private Construction Contracts Take Effect Jan. 1, 2026
Sydne Levy, Joshua Rabinowitz and Michael Zehner | Brownstein Hyatt Farber Schreck Beginning Jan. 1, 2026, new amendments to the California Civil Code will significantly affect most private construction projects (excluding certain smaller residential projects under four stories). Two statutes—Civil Code sections 8811 and 8850—impose non-waivable requirements and render noncompliant contract provisions unenforceable. Owners, contractors… Continue reading California’s New Rules for Private Construction Contracts Take Effect Jan. 1, 2026
Those Involved in Private Construction Agreements in California Must Act Now to Prepare for New Claim Resolution Requirements
Laurence Phillips | Procopio, Cory, Hargreaves & Savitch The clock is ticking for anyone involved in negotiating or administering private construction agreements in California. Beginning January 1, 2026, the Private Works Change Order Fair Payment Act (SB 440) will reshape how change orders and claims arising from them are handled on private construction projects. Private… Continue reading Those Involved in Private Construction Agreements in California Must Act Now to Prepare for New Claim Resolution Requirements
Cities Relying On Housing Overlays May Face “Builder’s Remedy” Under New Court Decision
Daniel R. Golub, William E. Sterling and Luca Trumbull | Holland & Knight Highlights California’s Second District Court of Appeal recently held that local governments cannot satisfy their Regional Housing Needs Allocation (RHNA) obligations by using zoning “overlays” that allow, but do not require, residential development. Residential overlay zoning is a very common practice in housing… Continue reading Cities Relying On Housing Overlays May Face “Builder’s Remedy” Under New Court Decision
9204 Meet 8850. Public Works Claims Processes Now Apply to Private Works, With Some Differences
Garret Murai | California Construction Law Blog Contractors working on public works projects are likely familiar with the statutory claims resolution process under Public Contract Code section 9204. Section 9204, which went into effect in 2017, and which has been amended a couple of times since, provides a claims resolution process for public works projects with… Continue reading 9204 Meet 8850. Public Works Claims Processes Now Apply to Private Works, With Some Differences