{"id":884777,"date":"2015-11-04T12:09:04","date_gmt":"2015-11-04T19:09:04","guid":{"rendered":"https:\/\/www.myconstructionexpert.com\/blog\/?p=884777"},"modified":"2015-11-04T12:09:04","modified_gmt":"2015-11-04T19:09:04","slug":"know-your-obligations-under-both-the-prime-contract-and-subcontract","status":"publish","type":"post","link":"https:\/\/www.myconstructionexpert.com\/blog\/know-your-obligations-under-both-the-prime-contract-and-subcontract\/","title":{"rendered":"Know Your Obligations Under Both the Prime Contract and Subcontract"},"content":{"rendered":"<p>Craig Martin | Construction Contractor Advisor | November 2, 2015<\/p>\n<p>A recent case out of New Mexico highlights the importance for subcontractors to review <a href=\"http:\/\/www.constructioncontractoradvisor.com\/wp-content\/uploads\/2013\/02\/iStock_000003390628XSmall1.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"alignleft size-thumbnail wp-image-1287\" src=\"http:\/\/www.constructioncontractoradvisor.com\/wp-content\/uploads\/2013\/02\/iStock_000003390628XSmall1-150x150.jpg\" alt=\"iStock_000003390628XSmall[1]\" width=\"150\" height=\"150\" \/><\/a>their <a href=\"https:\/\/www.myconstructionexpert.com\/blog\/bar-against-forum-selection-clauses-in-construction-contracts-extended-to-design-professionals\/\" target=\"_blank\">contract<\/a> with the general and the contract between the general and the owner.\u00a0 In\u00a0Centex\/Worthgroup, LLC v. Worthgroup Architects, L.P, the architect claimed that the limitation of liability clause in the prime contract trumped the provisions of the subcontract.\u00a0 The court disagreed and ruled that the specific provision in the subcontract controlled.<\/p>\n<p>In the case, a general contractor was hired to expand and renovate a resort.\u00a0 The general contractor subcontracted with an architect to design a mechanically stabilized earth wall.\u00a0 The prime contract contained a <a href=\"https:\/\/www.myconstructionexpert.com\/blog\/limitation-liability-clause-pre-2007-professional-contracts-enforceable\/\" target=\"_blank\">limitation of liability clause<\/a> that states:<\/p>\n<blockquote><p>general contractor shall require its <a href=\"https:\/\/www.myconstructionexpert.com\/blog\/protecting-design-professionals-from-third-party-liability\/\" target=\"_blank\">design professional<\/a> Subcontractor(s) to obtain insurance in an amount not less than $3,000,000. Owner agrees that it will limit general contractor\u2019s liability to Owner for any errors or omissions in the design of the Project to whatever sums Owner is able to collect from the above described professional errors and omissions insurance carrier.<\/p><\/blockquote>\n<p>The subcontract with the architect included two important provisions, an order of precedence clause and a flow down clause.<\/p>\n<blockquote><p>The order of precedence of the documents, \u2026 shall be: (1) the most current approved edition of the construction documents; (2) modifications to the subcontract; (3) the subcontract, unless the prime contract imposes a higher standard or greater requirement on the parties, in which case the prime contract; (4) the prime contract, unless the provisions of (3) apply.<\/p>\n<p>In respect of the design work, Architect shall . . . have all rights toward general contractor which general contractor has under the prime contract towards the Owner and Architect shall, to the extent permitted by applicable laws and except as provided herein, assume all obligations, risks and responsibilities toward general contractor which general contractor has assumed towards the Owner in the prime contract with respect to the design work.<\/p><\/blockquote>\n<p>The wall the architect designed&#8230;<\/p>\n<p><a href=\"http:\/\/www.constructioncontractoradvisor.com\/know-your-obligations-under-both-the-prime-contract-and-subcontract\/\" target=\"_blank\">To finish reading this article<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Craig Martin | Construction Contractor Advisor | November 2, 2015 A recent case out of New Mexico highlights the importance for subcontractors to review their contract with the general and the contract between the general and the owner.\u00a0 In\u00a0Centex\/Worthgroup, LLC v. Worthgroup Architects, L.P, the architect claimed that the limitation of liability clause in the&hellip; <a class=\"more-link\" href=\"https:\/\/www.myconstructionexpert.com\/blog\/know-your-obligations-under-both-the-prime-contract-and-subcontract\/\">Continue reading <span class=\"screen-reader-text\">Know Your Obligations Under Both the Prime Contract and Subcontract<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","enabled":false},"version":2}},"categories":[9],"tags":[118,224,8795],"class_list":["post-884777","post","type-post","status-publish","format-standard","hentry","category-construction-contracts","tag-architect","tag-construction-contract","tag-design-professinals","entry"],"jetpack_publicize_connections":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v25.0 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Know Your Obligations Under Both the Prime Contract and Subcontract - Advise &amp; Consult, Inc.<\/title>\n<meta name=\"description\" content=\"A recent case highlights the importance for subcontractors to review their contract with the general and the contract between the general and the owner\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.myconstructionexpert.com\/blog\/know-your-obligations-under-both-the-prime-contract-and-subcontract\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Know Your Obligations Under Both the Prime Contract and Subcontract - Advise &amp; Consult, Inc.\" \/>\n<meta property=\"og:description\" content=\"A recent case highlights the importance for subcontractors to review their contract with the general and the contract between the general and the owner\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.myconstructionexpert.com\/blog\/know-your-obligations-under-both-the-prime-contract-and-subcontract\/\" \/>\n<meta property=\"og:site_name\" content=\"Advise &amp; Consult, Inc.\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/Advise-Consult-Inc-126949043996790\/\" \/>\n<meta property=\"article:published_time\" content=\"2015-11-04T19:09:04+00:00\" \/>\n<meta property=\"og:image\" content=\"http:\/\/www.constructioncontractoradvisor.com\/wp-content\/uploads\/2013\/02\/iStock_000003390628XSmall1-150x150.jpg\" \/>\n<meta name=\"author\" content=\"admin\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@adviseconsult\" \/>\n<meta name=\"twitter:site\" content=\"@adviseconsult\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"admin\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/know-your-obligations-under-both-the-prime-contract-and-subcontract\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/know-your-obligations-under-both-the-prime-contract-and-subcontract\/\"},\"author\":{\"name\":\"admin\",\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/#\/schema\/person\/0a11abe008083d5fb19c2b0feefe7bd7\"},\"headline\":\"Know Your Obligations Under Both the Prime Contract and Subcontract\",\"datePublished\":\"2015-11-04T19:09:04+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/know-your-obligations-under-both-the-prime-contract-and-subcontract\/\"},\"wordCount\":331,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/#organization\"},\"image\":{\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/know-your-obligations-under-both-the-prime-contract-and-subcontract\/#primaryimage\"},\"thumbnailUrl\":\"http:\/\/www.constructioncontractoradvisor.com\/wp-content\/uploads\/2013\/02\/iStock_000003390628XSmall1-150x150.jpg\",\"keywords\":[\"architect\",\"Construction Contract\",\"Design Professinals\"],\"articleSection\":[\"Construction Contracts\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/www.myconstructionexpert.com\/blog\/know-your-obligations-under-both-the-prime-contract-and-subcontract\/#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/know-your-obligations-under-both-the-prime-contract-and-subcontract\/\",\"url\":\"https:\/\/www.myconstructionexpert.com\/blog\/know-your-obligations-under-both-the-prime-contract-and-subcontract\/\",\"name\":\"Know Your Obligations Under Both the Prime Contract and Subcontract - Advise &amp; Consult, Inc.\",\"isPartOf\":{\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/know-your-obligations-under-both-the-prime-contract-and-subcontract\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/know-your-obligations-under-both-the-prime-contract-and-subcontract\/#primaryimage\"},\"thumbnailUrl\":\"http:\/\/www.constructioncontractoradvisor.com\/wp-content\/uploads\/2013\/02\/iStock_000003390628XSmall1-150x150.jpg\",\"datePublished\":\"2015-11-04T19:09:04+00:00\",\"description\":\"A recent case highlights the importance for subcontractors to review their contract with the general and the contract between the general and the owner\",\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/www.myconstructionexpert.com\/blog\/know-your-obligations-under-both-the-prime-contract-and-subcontract\/\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/know-your-obligations-under-both-the-prime-contract-and-subcontract\/#primaryimage\",\"url\":\"http:\/\/www.constructioncontractoradvisor.com\/wp-content\/uploads\/2013\/02\/iStock_000003390628XSmall1-150x150.jpg\",\"contentUrl\":\"http:\/\/www.constructioncontractoradvisor.com\/wp-content\/uploads\/2013\/02\/iStock_000003390628XSmall1-150x150.jpg\"},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/#website\",\"url\":\"https:\/\/www.myconstructionexpert.com\/blog\/\",\"name\":\"Advise &amp; Consult, Inc.\",\"description\":\"Construction Expert Witnesses\",\"publisher\":{\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/www.myconstructionexpert.com\/blog\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Organization\",\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/#organization\",\"name\":\"Advise & Consult\",\"url\":\"https:\/\/www.myconstructionexpert.com\/blog\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/#\/schema\/logo\/image\/\",\"url\":\"https:\/\/www.myconstructionexpert.com\/blog\/wp-content\/uploads\/2015\/11\/AC-Red-Logo.png\",\"contentUrl\":\"https:\/\/www.myconstructionexpert.com\/blog\/wp-content\/uploads\/2015\/11\/AC-Red-Logo.png\",\"width\":162,\"height\":75,\"caption\":\"Advise & Consult\"},\"image\":{\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/#\/schema\/logo\/image\/\"},\"sameAs\":[\"https:\/\/www.facebook.com\/Advise-Consult-Inc-126949043996790\/\",\"https:\/\/x.com\/adviseconsult\",\"https:\/\/www.linkedin.com\/company-beta\/204526\/\",\"https:\/\/www.youtube.com\/user\/MrConstructionExpert\"]},{\"@type\":\"Person\",\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/#\/schema\/person\/0a11abe008083d5fb19c2b0feefe7bd7\",\"name\":\"admin\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/b01e71b7acadd7657af782b7ad1a30cc?s=96&d=mm&r=pg\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/b01e71b7acadd7657af782b7ad1a30cc?s=96&d=mm&r=pg\",\"caption\":\"admin\"},\"sameAs\":[\"http:\/\/www.expertwitnessinconstruction.com\"]}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Know Your Obligations Under Both the Prime Contract and Subcontract - Advise &amp; Consult, Inc.","description":"A recent case highlights the importance for subcontractors to review their contract with the general and the contract between the general and the owner","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.myconstructionexpert.com\/blog\/know-your-obligations-under-both-the-prime-contract-and-subcontract\/","og_locale":"en_US","og_type":"article","og_title":"Know Your Obligations Under Both the Prime Contract and Subcontract - Advise &amp; Consult, Inc.","og_description":"A recent case highlights the importance for subcontractors to review their contract with the general and the contract between the general and the owner","og_url":"https:\/\/www.myconstructionexpert.com\/blog\/know-your-obligations-under-both-the-prime-contract-and-subcontract\/","og_site_name":"Advise &amp; Consult, Inc.","article_publisher":"https:\/\/www.facebook.com\/Advise-Consult-Inc-126949043996790\/","article_published_time":"2015-11-04T19:09:04+00:00","og_image":[{"url":"http:\/\/www.constructioncontractoradvisor.com\/wp-content\/uploads\/2013\/02\/iStock_000003390628XSmall1-150x150.jpg","type":"","width":"","height":""}],"author":"admin","twitter_card":"summary_large_image","twitter_creator":"@adviseconsult","twitter_site":"@adviseconsult","twitter_misc":{"Written by":"admin","Est. reading time":"2 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.myconstructionexpert.com\/blog\/know-your-obligations-under-both-the-prime-contract-and-subcontract\/#article","isPartOf":{"@id":"https:\/\/www.myconstructionexpert.com\/blog\/know-your-obligations-under-both-the-prime-contract-and-subcontract\/"},"author":{"name":"admin","@id":"https:\/\/www.myconstructionexpert.com\/blog\/#\/schema\/person\/0a11abe008083d5fb19c2b0feefe7bd7"},"headline":"Know Your Obligations Under Both the Prime Contract and Subcontract","datePublished":"2015-11-04T19:09:04+00:00","mainEntityOfPage":{"@id":"https:\/\/www.myconstructionexpert.com\/blog\/know-your-obligations-under-both-the-prime-contract-and-subcontract\/"},"wordCount":331,"commentCount":0,"publisher":{"@id":"https:\/\/www.myconstructionexpert.com\/blog\/#organization"},"image":{"@id":"https:\/\/www.myconstructionexpert.com\/blog\/know-your-obligations-under-both-the-prime-contract-and-subcontract\/#primaryimage"},"thumbnailUrl":"http:\/\/www.constructioncontractoradvisor.com\/wp-content\/uploads\/2013\/02\/iStock_000003390628XSmall1-150x150.jpg","keywords":["architect","Construction Contract","Design Professinals"],"articleSection":["Construction Contracts"],"inLanguage":"en-US","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/www.myconstructionexpert.com\/blog\/know-your-obligations-under-both-the-prime-contract-and-subcontract\/#respond"]}]},{"@type":"WebPage","@id":"https:\/\/www.myconstructionexpert.com\/blog\/know-your-obligations-under-both-the-prime-contract-and-subcontract\/","url":"https:\/\/www.myconstructionexpert.com\/blog\/know-your-obligations-under-both-the-prime-contract-and-subcontract\/","name":"Know Your Obligations Under Both the Prime Contract and Subcontract - Advise &amp; Consult, Inc.","isPartOf":{"@id":"https:\/\/www.myconstructionexpert.com\/blog\/#website"},"primaryImageOfPage":{"@id":"https:\/\/www.myconstructionexpert.com\/blog\/know-your-obligations-under-both-the-prime-contract-and-subcontract\/#primaryimage"},"image":{"@id":"https:\/\/www.myconstructionexpert.com\/blog\/know-your-obligations-under-both-the-prime-contract-and-subcontract\/#primaryimage"},"thumbnailUrl":"http:\/\/www.constructioncontractoradvisor.com\/wp-content\/uploads\/2013\/02\/iStock_000003390628XSmall1-150x150.jpg","datePublished":"2015-11-04T19:09:04+00:00","description":"A recent case highlights the importance for subcontractors to review their contract with the general and the contract between the general and the owner","inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.myconstructionexpert.com\/blog\/know-your-obligations-under-both-the-prime-contract-and-subcontract\/"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.myconstructionexpert.com\/blog\/know-your-obligations-under-both-the-prime-contract-and-subcontract\/#primaryimage","url":"http:\/\/www.constructioncontractoradvisor.com\/wp-content\/uploads\/2013\/02\/iStock_000003390628XSmall1-150x150.jpg","contentUrl":"http:\/\/www.constructioncontractoradvisor.com\/wp-content\/uploads\/2013\/02\/iStock_000003390628XSmall1-150x150.jpg"},{"@type":"WebSite","@id":"https:\/\/www.myconstructionexpert.com\/blog\/#website","url":"https:\/\/www.myconstructionexpert.com\/blog\/","name":"Advise &amp; Consult, Inc.","description":"Construction Expert Witnesses","publisher":{"@id":"https:\/\/www.myconstructionexpert.com\/blog\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.myconstructionexpert.com\/blog\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/www.myconstructionexpert.com\/blog\/#organization","name":"Advise & Consult","url":"https:\/\/www.myconstructionexpert.com\/blog\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.myconstructionexpert.com\/blog\/#\/schema\/logo\/image\/","url":"https:\/\/www.myconstructionexpert.com\/blog\/wp-content\/uploads\/2015\/11\/AC-Red-Logo.png","contentUrl":"https:\/\/www.myconstructionexpert.com\/blog\/wp-content\/uploads\/2015\/11\/AC-Red-Logo.png","width":162,"height":75,"caption":"Advise & Consult"},"image":{"@id":"https:\/\/www.myconstructionexpert.com\/blog\/#\/schema\/logo\/image\/"},"sameAs":["https:\/\/www.facebook.com\/Advise-Consult-Inc-126949043996790\/","https:\/\/x.com\/adviseconsult","https:\/\/www.linkedin.com\/company-beta\/204526\/","https:\/\/www.youtube.com\/user\/MrConstructionExpert"]},{"@type":"Person","@id":"https:\/\/www.myconstructionexpert.com\/blog\/#\/schema\/person\/0a11abe008083d5fb19c2b0feefe7bd7","name":"admin","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.myconstructionexpert.com\/blog\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/b01e71b7acadd7657af782b7ad1a30cc?s=96&d=mm&r=pg","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/b01e71b7acadd7657af782b7ad1a30cc?s=96&d=mm&r=pg","caption":"admin"},"sameAs":["http:\/\/www.expertwitnessinconstruction.com"]}]}},"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/p2ztG6-3IaB","jetpack_likes_enabled":true,"_links":{"self":[{"href":"https:\/\/www.myconstructionexpert.com\/blog\/wp-json\/wp\/v2\/posts\/884777","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.myconstructionexpert.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.myconstructionexpert.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.myconstructionexpert.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.myconstructionexpert.com\/blog\/wp-json\/wp\/v2\/comments?post=884777"}],"version-history":[{"count":1,"href":"https:\/\/www.myconstructionexpert.com\/blog\/wp-json\/wp\/v2\/posts\/884777\/revisions"}],"predecessor-version":[{"id":884778,"href":"https:\/\/www.myconstructionexpert.com\/blog\/wp-json\/wp\/v2\/posts\/884777\/revisions\/884778"}],"wp:attachment":[{"href":"https:\/\/www.myconstructionexpert.com\/blog\/wp-json\/wp\/v2\/media?parent=884777"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.myconstructionexpert.com\/blog\/wp-json\/wp\/v2\/categories?post=884777"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.myconstructionexpert.com\/blog\/wp-json\/wp\/v2\/tags?post=884777"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}