In California, It’s Time to Revisit Your “Pay-When-Paid” Contract Clause

Michael Barker | Snell & Wilmer In California, the “pay-when-paid” contract language typically found in general contractor’s subcontractor agreement may no longer be enforceable. A contract provision requiring a subcontractor to wait until the general contractor concluded its litigation with the owner before it could seek payment on a payment bond was held unenforceable as… Continue reading In California, It’s Time to Revisit Your “Pay-When-Paid” Contract Clause

Fraudulently Filing Lien Backfires on Contractor

J. David Pugh and Amandeep S. Kahlon | Buildsmart Liens represent one of the primary mechanisms by which contractors, subcontractors, and other downstream parties secure payment rights under a construction contract. When utilized properly, filing a lien may induce an owner to release funds that are undisputedly owed to the lienor. However, when a party’s… Continue reading Fraudulently Filing Lien Backfires on Contractor

Exceptions to the Enforceability of Limitation of Liability Clauses

Patrick Tighe | Snell & Wilmer A common feature of some contracts, including construction and design contracts, is a limitation of liability clause that limits or “caps” the amount of potential damages a party faces in the event of a breach. Although Arizona courts will generally enforce limitation of liability clauses, there are at least… Continue reading Exceptions to the Enforceability of Limitation of Liability Clauses

Contracts and Fraud Don’t Mix (Even for Lawyers!)

Christopher G. Hill | Construction Law Musings In prior posts here at Construction Law Musings, I have discussed how fraud and contracts are often like oil and water.  While there are exceptions, these exceptions are few and far between here in Virginia.  The reason for the lack of a mix between these two types of claims is the so-called… Continue reading Contracts and Fraud Don’t Mix (Even for Lawyers!)

At a Glance: Construction Contracts and Insurance in USA

Michael S. Zicherman | Peckar & Abramson Contracts and insurance Construction contracts What standard contract forms are used for construction and design? Must the language of the contract be the local language? Are there restrictions on choice of law and the venue for dispute resolution? Many different form contracts are utilised. The most widely used… Continue reading At a Glance: Construction Contracts and Insurance in USA