Tag: construction contracts

Louisiana First Circuit Holds that Private Works Act Surety Cannot Raise Pay-if-Paid Defense

Mark W. Frilot, Mark W. Mercante | Baker Donelson | January 25, 2018 The Louisiana First Circuit recently held that a Private Works Act payment bond surety cannot raise a pay-if-paid provision in its principal’s contract as a defense to a claim against the bond. Bear Industries, Inc. v. Hanover Insurance Co. involved the construction of… Continue reading Louisiana First Circuit Holds that Private Works Act Surety Cannot Raise Pay-if-Paid Defense

Kentucky Supreme Court Holds “Pay-if-Paid” Provision in Subcontract Is Valid and Enforceable, Shifting Risk to Subcontractor

Michelle Beth Rosenberg | Pepper Hamilton LLP | January 25, 2018 Superior Steel, Inv. v. Ascent at Roebling’s Bridge, LLC, 2017 Ky. LEXIS 511 (December 14, 2017) Corporex Development and Construction Management, LLC (“Corporex”), a design builder, contracted with Dugan & Meyers Construction Company (“D&M”), a construction manager and general contractor on the Ascent at… Continue reading Kentucky Supreme Court Holds “Pay-if-Paid” Provision in Subcontract Is Valid and Enforceable, Shifting Risk to Subcontractor

Does Arbitration Apply to Contemporaneously Executed Contracts (When One of the Contracts does Not Have an Arbitration Provision)?

David Adelstein | Florida Construction Legal Updates | January 6, 2018 Binding arbitration is an alternative to litigation.  Instead of having your dispute decided by a judge and/or jury, it is decided by an arbitrator through an arbitration process.  Arbitration, however, is a creature of contract, meaning there needs to be a contractual arbitration provision requiring the… Continue reading Does Arbitration Apply to Contemporaneously Executed Contracts (When One of the Contracts does Not Have an Arbitration Provision)?

Properly Trigger the Performance Bond

David Adelstein | Florida Construction Legal Updates | December 25, 2017 A performance bond is a valuable tool designed to guarantee the performance of the principal of the contract made part of the bond.   But, it is only a valuable tool if the obligee(entity the bond is designed to benefit) understands that it needs to properly trigger the performance bond if it… Continue reading Properly Trigger the Performance Bond

Georgia Court of Appeals Holds That Sovereign Immunity Shields County From Contractor’s Claims Based Upon Unwritten Change Orders

Robert A. Gallagher | Pepper Hamilton LLP | December 28, 2017 Fulton County contracted with SOCO Construction Company (“SOCO”) to build a cultural center near the Fulton County Airport. The contract specified that the contract sum and the contract time could only be changed according to County procedure, which required “a written, bilateral agreement (Modification)… Continue reading Georgia Court of Appeals Holds That Sovereign Immunity Shields County From Contractor’s Claims Based Upon Unwritten Change Orders