Tag: Construction Contract

Federal Subcontractors Beware: The Workshare Provision in Your Subcontract May Not Apply When the Government Increases the Value of the Prime Contract

Christopher Griesedieck, Jr. and David smith | Venable A recent decision from the Court of Appeals of Virginia may have companies doublechecking the workshare terms in their subcontracts. The Court held that a subcontractor’s 40 percent workshare only applied to the $70 million originally awarded under the prime contract and did not apply to the additional $55 million that… Continue reading Federal Subcontractors Beware: The Workshare Provision in Your Subcontract May Not Apply When the Government Increases the Value of the Prime Contract

Bright-Line Changes: Prompt Payment Act Trends

Stephanie L. Cooksey | ConsensusDocs Untimely payment by the owner for contract work and additional work on construction projects can place an unfair financial burden on contractors and subcontractors.  Most states have attempted to eliminate or mitigate this inequity in construction contracting through Prompt Payment Acts that govern payment deadlines and provide remedies for untimely… Continue reading Bright-Line Changes: Prompt Payment Act Trends

Louisiana Legislature Grants Sureties the Right to Raise Contractor Defenses, Including “Pay-If-Paid”

Mark Frilot, Max Hadley and Mark Mercante | Baker Donelson Governor Landry recently signed into law two legislative acts that should allow Private Works Act and Public Works Act payment bond sureties to rely on defenses available to their general contractor principals in defense of sub-tier payment claims, including “Pay-If-Paid” provisions contained in the general… Continue reading Louisiana Legislature Grants Sureties the Right to Raise Contractor Defenses, Including “Pay-If-Paid”

Preparing Contracts For Hurricane Season – Force Majeure

Patrick A. Kelly,Graham P. Quinn and Mary Hatcher | Gray Reed The recent derecho storm in May and Hurricane Beryl just this week caused severe damage throughout Houston and the surrounding area. The intense winds and flash flooding served as a costly lesson to many contractors and project owners. With the expected active hurricane season… Continue reading Preparing Contracts For Hurricane Season – Force Majeure

Construction Contracts: How Prevailing Party Clauses Offer Leverage to the Little Guy

John Swansinger | Buckingham, Doolittle & Burroughs A prevailing party clause is a contractual provision that requires the court or arbitrator to include the winning litigant’s attorneys’ fees and costs associated with the dispute as part of an award or judgment. In construction contracts, a prevailing party clausecan encourage the parties embroiled in a dispute… Continue reading Construction Contracts: How Prevailing Party Clauses Offer Leverage to the Little Guy