The Clock is Ticking: Construction Delays and Liquidated Damages

Tiffany A. Harrod | Peckar & Abramson With the on-going shortage of construction workers in the industry and other factors ranging from weather to procurement problems, the threat of project delay is real. When a contract contains a liquidated damages clause for assessing project delays, real financial consequences for contractors can result. Courts have long… Continue reading The Clock is Ticking: Construction Delays and Liquidated Damages

Can Liquidated Damages Clauses set General Cap?

Corinna Whittle | Bryan Cave Leighton Paisner SUMMARY A pair of cases in the past two years have come to opposite conclusions about whether general damages can be capped by contract provisions for liquidated damages. Liquidated damages clauses are a common feature of construction contracts, and often include a cap on the overall amount that… Continue reading Can Liquidated Damages Clauses set General Cap?

Show Me the Money: The Good Faith Dispute Exception to Prompt Payment Penalties

Garret Murai | California Construction Law Blog California has a number of prompt payment penalty statutes on the books. Among them is Civil Code section 8800 which requires project owners on private works projects to pay progress payments to direct contractors within 30 days after demand for payment pursuant to contract or be subject to prompt payment… Continue reading Show Me the Money: The Good Faith Dispute Exception to Prompt Payment Penalties

Construction Litigation Roundup

Daniel Lund III | Phelps Dunbar Fluid dynamics? A surety completed a handful of publicly-bid projects in Texas and sought recovery of the contract balances from the projects’ private developers. The developers asserted as affirmative defenses clauses within the general contracts which provided for liquidated damages for late completion. If recognized, the LDs would eliminate… Continue reading Construction Litigation Roundup

Careful Contract Drafting Could Mean Recovery of Liquidated Damages and Actual and Consequential Damages

Alexandra C. “Allie” Apple | ConstructLaw Town of New Milford v. Std. Demolition Srvcs., Inc., 212 Conn. App. 30 (2022) The case involved cleanup and environmental remediation of a vacant factory contaminated with polychlorinated biphenyls and asbestos. The town of New Milford (Town) contracted with Standard Demolition Services, Inc. (Contractor) to perform the third phase… Continue reading Careful Contract Drafting Could Mean Recovery of Liquidated Damages and Actual and Consequential Damages