Clear Contract Language Is Key When GCs Share Risk of Nonpayment With Subs

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Every contract involves the risk of insolvency, and every construction subcontract involves the risk of the owner/developer failing to make the payments that the contractor intends to use to pay its subcontractors. Frequently, general contractors seek to shift this risk onto their subcontractors through the use of clauses which describe payment from the owner to the contractor as a condition …

Contractors Should Ensure Subs, Suppliers Comply With Buy American Act

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The federal government has a long-standing preference for incorporating domestic materials and products into public construction projects. While a number of statutes and regulations promote this policy, the Buy American Act of 1933 (BAA) is the oldest and arguably most well-known. The essence of the BAA’s construction provisions sounds simple: the use of foreign-produced materials and products on public construction …

Report: Majority Of Contractors Not Utilizing Emerging Safety Tech

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Most construction contractors are not utilizing emerging technology such as drones to improve workplace safety, but change is expected as the benefits of using these technologies are proven, awareness grows and their prices start to decrease, according to a new study. The study found that 62% of contractors do not use any of these technologies, which is “no surprise” considering …

DOT Working With Surety To Complete Delayed Bridge Project In Queens

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The oft-delayed bridge deck replacement project at the intersection of Metropolitan Avenue and Fresh Pond Road isn’t going to be wrapping up anytime soon. According to the Department of Transportation, its contract with New Jersey-based firm Mugrose Construction for the project at the Middle Village-Ridgewood border was defaulted, indefinitely delaying construction. The DOT defaulted the contractor working on the Metropolitan …

Michigan Appeals Court Rules For Contractor over City, Surety Over Contractor

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A claim against the city of Adrian in a 2009 downtown facade restoration project survived an appeal while a claim by a bonding company is to be granted following a state appellate court opinion. In an opinion published Dec. 5, a three-judge panel of the Michigan Court of Appeals affirmed a decision by Lenawee County District Judge Anna Marie Anzalone …

South Carolina Contractor’s Success Story Began With His First Bid Bond

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The C.F. Evans story begins in the years following World War II when Clarence Felder Evans, an Army veteran, joined his cousin, Fred Evans, to learn as much as he could about construction. Buoyed by the baby boom, their company, Evans Construction, fielded requests from families seeking to build homes of their own in Orangeburg, Holly Hill, Aiken and other …

Pennsylvania Lawsuit Alleges Subcontractor Is Owed $52,170 From Payment Bond

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A recently-filed lawsuit in Pennsylvania state court sees a Glassport construction and paving group suing one of its subcontractors and a bond company, in connection with a project for construction work of municipal buildings in Penn Hills. Murin & Murn, Inc. of Glassport filed suit in the Allegheny County Court of Common Pleas on Dec. 6 versus The Ohio Casualty …

Improper Installation Of Stone Veneer Creates Risk Of Mold, Rot

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We all remember the litigation nightmare surrounding synthetic stucco or EIFS (exterior insulation finish systems) in the recent past. Now, commentators worry that Adhered Concrete Masonry Veneer, also known as manufactured stone veneer, when installed improperly, poses the potential to cause widespread litigation similar to EIFS. In case you do not recall, EIFS became a popular exterior on residential structures …

What Will Trump’s 2018 Infrastructure Package Include?

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Donald Trump’s administration is reportedly planning to unveil its long-promised infrastructure proposal in January, according to The Wall Street Journal. Trump administration officials spoke about the plan’s release as early as March of this year. The president himself said it was largely completed in May, announcing it would be coming in two to three weeks. A themed Infrastructure Week at …

Pennsylvania Construction Union’s Suit Against Contractor’s Surety Alleges Breach of Contract

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A Pittsburgh-based non-profit corporation claims a bonding company has neglected to pay it more than $150,000 in contributions and wage deductions, and has initiated litigation to recover that amount. Operating Engineers Local 66, AFL-CIO & Construction Industry Combined Funds, Inc. of Pittsburgh filed suit in the Allegheny County Court of Common Pleas on Nov. 27 versus Allegheny Casualty Company, of …