article thumbnail

#96:  Payment Bond Sureties and "Pay-if-Paid" Subcontracts

NH Construction Law

If the principal is a general contractor with a “pay-if-paid” clause in its subcontracts, must a subcontractor wait for the general contractor to be paid before it can collect on a payment bond? 2d 680 (2005), construing West Virginia law, held that it was. I promised elaboration on this question in an earlier blog (# 8).

article thumbnail

#112:  Owners' Implied Warranty Rights Against Subcontractors

NH Construction Law

A few years back I blogged ( #84 ) that owners generally lack “third party beneficiary” rights required in order to enforce subcontracts. 2d 608 (2005); Yanni v. 2005) (“subcontractors owe homeowners a duty of care, independent of any contractual obligations, to act without negligence in the construction of homes.”).

professionals

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

Between A Rock and A Hard Place: How the Severin Doctrine May Relate to Your Statute of Limitations Period

Best Practices Construction Law

The Board of Contract Appeals granted the motion, finding that the claim had accrued either on September 12, 2003 when KCPC ended its work or, alternatively, on January 24, 2005 when KBR and KCPC agreed to cooperate and present the cost to the Army. million; and.

Claims 63
article thumbnail

Seventh Circuit examines "pay-if-paid" provision

Construction Lawyer

Copyright 2005-2012 Sabo & Zahn, all rights reserved.   BMD argues that the conditional language in its subcontract with Industrial Power was only a pay-when-paid clause and that Industrial Power remained liable even though it did not receive full payment from Walbridge. Copyright Notice. Disclaimer.

article thumbnail

Federal Court dismisses sub's claim against GC because of arbitration

Construction Lawyer

Copyright 2005-2012 Sabo & Zahn, all rights reserved. April 2, 2012), dismissed an action by a subcontractor against the general because there was an agreement to arbitrate in the subcontract. The Subcontract incorporated the terms and conditions of the Prime Contract by reference. Copyright Notice. Disclaimer.

Claims 40
article thumbnail

Construction Contract's arbitration provision is separable, based on

Construction Lawyer

Copyright 2005-2012 Sabo & Zahn, all rights reserved. provided that if arbitration is provided for in the "Contract Documents," Mortenson "in its sole discretion" may demand arbitration of any dispute under the subcontract. The Mr. Goodman has also worked on appeals and appeared before appellate courts.

article thumbnail

Julian Construction Expands Its Headquarters - Julian Construction.

Julian Construction

” That was 2005, since then Julian has maintained the best price available in the Foundation business. A contractor can seem competent because he has to a nice web site, but in reality he just subcontracts the work out. It makes sense, if you buy material in larger quantities, then you can bring better prices to the marketplace.