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#135:  Unconscionable Arbitration Agreements

NH Construction Law

“An agreement to arbitrate may be unenforceable if pursuing a claim in arbitration is so cost prohibitive that it prevents a party from vindicating its rights.” ” He pointed to the AAA’s Administrative Fee Schedules, under which it would cost him over $8,000 to present his case to the arbitrator. ” Id.

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Not So Severable After All: Third Circuit Lets Courts Determine Arbitration Agreement Existence When Underlying Contract’s Validity Is Challenged

Constructlaw

Court of Appeals for the Third Circuit addressed the perennially thorny issue of whether the courts or arbitrators retain the authority to resolve questions involving the enforceability of arbitration agreements. After the project began, a labor union representative approached and asked MZM’s president to execute a “short-form agreement.”

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Forum Selection Clauses in Construction Subcontracts Require Careful Drafting

Construction Lawyer

17, 2013), demonstrates the difficulty faced by parties in drafting appropriate forum selection provisions in construction agreements. The prime agreement between Weisel and Ryan consisted of an AIA Document A111 (presumably a 1997 version) and an AIA Document A201 (also presumably the 1997 version). Dist, Sept.

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Contracts Must Be Clear on "Arbitrability" Question, Especially for $56M Claims

Best Practices Construction Law

Just like any other construction contract dispute, the resolution in arbitration often comes down to the language used in the parties'' agreement. The Original Agreement. The Second Agreement. Those claims were identified in Exhibit 1 to the agreement. In Massachusetts Highway Dept. Perini Corporation, 83 Mass.

Claims 48
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Architect's Consent to Assigment

Construction Lawyer

It may gain this control through an assignment of the architect’s agreement to the bank upon the default of the borrower. Most owner/architect agreements allow for the assignment to take place if the borrower defaults under the loan agreement with its lender, the bank.

Banking 45
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Severin Doctrine: It's Another Name for "Pass-Through-Plus" Claims

Best Practices Construction Law

The claim was presented by the contractor to the DOT. In presenting a claim to an owner for damages allegedly suffered by a subcontractor, a contractor must be careful that the claim is not solely a pass-through claim. A well drafted liquidation agreement will generally accomplish this purpose. Image: Sangudo.

Claims 48
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California Legislature Further Helping Subcontractors

Construction Law Monitor

In a perfect world, general contract presents the subcontract document to the subcontractor, and that sub has its lawyer review the contract to see if the terms can be negotiated so that its a fair document for all involved. There is no need to waste taxpayer money to draft, argue, and pass bills such as these.