{"id":901512,"date":"2023-08-17T13:10:14","date_gmt":"2023-08-17T19:10:14","guid":{"rendered":"https:\/\/www.myconstructionexpert.com\/blog\/?p=901512"},"modified":"2023-08-17T13:10:17","modified_gmt":"2023-08-17T19:10:17","slug":"contractor-firing-the-owner","status":"publish","type":"post","link":"https:\/\/www.myconstructionexpert.com\/blog\/contractor-firing-the-owner\/","title":{"rendered":"Construction Termination Part 3: When the Contractor is Firing the Owner"},"content":{"rendered":"\n<p>Melissa Dewey Brumback | <a href=\"https:\/\/constructionlawnc.com\/2023\/07\/06\/termination-issues-3\/\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Construction Law in North Carolina<\/a><\/p>\n\n\n\n<p>Last week we discussed\u00a0an <a href=\"https:\/\/www.myconstructionexpert.com\/blog\/contractor-termination-construction-administration\/\">Owner terminating a Contractor \u201cfor cause\u201d<\/a>.\u00a0 Today, it\u2019s time for a 180:\u00a0 what is your\u00a0<strong>role as the architect when the Contractor is quitting<\/strong>?<\/p>\n\n\n\n<p>First, be aware that there are valid reasons for a contractor to quit within the contract itself. Most of these have to do with either (a) time delays\/stand stills or (b) failure of the Owner to make payments as required.<\/p>\n\n\n\n<p class=\"has-text-align-left\">Never thought being a designer required Referee skills, did you?<\/p>\n\n\n\n<p class=\"has-text-align-left\">The Contractor can suspend or terminate a contract with the Owner for cause, provided a 7 day written notice is given to Owner and Architect.\u00a0\u00a0<em>See<\/em>\u00a0A201\u00a714.1.3.\u00a0 (This can be an\u00a0email notice\u00a0as all AIA notice clauses now allow).<\/p>\n\n\n\n<p>If this happens, what do you do?&nbsp; First, consult with the Owner to see if there is truth in the Contractor\u2019s assertions.&nbsp;&nbsp;<strong>See if payment can be caught up, or any disputed money put into an escrow<\/strong>, or other options that will keep the Contractor working.&nbsp; Ultimately, if the project comes to a stand-still, money will be lost.&nbsp; Where money is lost, parties are sued.&nbsp; Keep the project moving to lower your own risks of being sued.<\/p>\n\n\n\n<p>If there is no way to salvage the situation, make sure to fully\u00a0<strong>document\u00a0the \u00a0Project status at the time the contractor quits work.<\/strong>\u00a0 Photographs, videos, a line in the file as to how much money had been earned and paid by the termination date.\u00a0 All will be key evidence in the inevitable law suit.<\/p>\n\n\n\n<p>While the contractor\u2019s decision to quit is out of your hands (you don\u2019t have to certify anything), documenting the state of the Project can only help all parties later on.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<p><strong>When one of your cases is in need of a construction expert, estimates, insurance appraisal or umpire services in defect or insurance disputes &#8211; please call Advise &amp; Consult, Inc. at 888.684.8305, or email <a href=\"mailto:experts@adviseandconsult.net\" target=\"_blank\" rel=\"noreferrer noopener\">experts@adviseandconsult.net<\/a>.<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Melissa Dewey Brumback | Construction Law in North Carolina Last week we discussed\u00a0an Owner terminating a Contractor \u201cfor cause\u201d.\u00a0 Today, it\u2019s time for a 180:\u00a0 what is your\u00a0role as the architect when the Contractor is quitting? First, be aware that there are valid reasons for a contractor to quit within the contract itself. Most of&hellip; <a class=\"more-link\" href=\"https:\/\/www.myconstructionexpert.com\/blog\/contractor-firing-the-owner\/\">Continue reading <span class=\"screen-reader-text\">Construction Termination Part 3: When the Contractor is Firing the Owner<\/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":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","enabled":false},"version":2}},"categories":[14,9,9009],"tags":[9895,18,11757],"class_list":["post-901512","post","type-post","status-publish","format-standard","hentry","category-construction-2","category-construction-contracts","category-design-professionals","tag-advise-consult","tag-contractor","tag-termination-of-contract","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>Construction Termination Part 3: When the Contractor is Firing the Owner - Advise &amp; 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