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NY Appellate Court Enforces Pay-If-Paid Provision Against Party With No Lien Rights

Constructlaw

The subcontract contained a pay-if-paid clause that made the city’s payment to Dewberry a condition precedent to Dewberry’s obligation to pay Entech. Entech sued to recover damages based on three unpaid invoices, including a cause of action for foreclosure on a public improvement lien. Here, Entech had no lien law rights.

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Restoration: How to Manage Cash Flow While Waiting for an Insurance Check

Levelset

Restoration contractors can spend a lot of time waiting for payment. To cover these expenses, restoration contractors need to manage their cash flow to ensure they have enough money in the bank — especially when the insurance company is dragging their feet. Protect your lien rights. Set expectations with your customer.

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The Real Lemon in the Bunch: Understanding Pay-If-Paid Clauses in Construction Contracts

Best Practices Construction Law

As you may be aware, one of the greatest risks on a construction project involves the payment process. Just like my kids expect to be paid for the lemonade they sell, contractors and subcontractors expect to be paid on a timely basis once the work has been performed. In Universal Concrete Products Corp.

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Subcontractor Default Insurance: Pros & Cons for General Contractors

Levelset

In recent years, inflation, supply chain issues, and labor shortages have only increased the likelihood of project delays, performance issues, and contractor default. While general contractors commonly use performance bonds to reduce the risk of default, a bond ultimately protects the property owner, not the GC.

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Digital Builder Podcast Ep 22: How Specialty Contractors Can Navigate Contracts & Get Paid On Time

Autodesk Construction Cloud

Owners pass on certain risks (contractually) to general contractors, who may do the same thing when hiring specialty contractors. She recalls her experience speaking with a fellow attorney who had to go through a 129-page subcontract that could have been cut down to ten pages. “It’s Let’s meet in the middle.

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#67:  Paying Your Subcontractor's Employees

NH Construction Law

Like many states, New Hampshire law requires that if a subcontractor doesn’t pay wages to its employees, the general contractor must pay them. Davis Bacon requirements are yet another instance in which “[t]he prime contractor shall be responsible for the compliance by any subcontractor,” 29 C.F.R. § RSA 275:46.

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#66:  Labor Inefficiency Costs: Who Pays? How Much?

NH Construction Law

Sometimes this unanticipated time/space compression is the owner’s fault, in which case the general contractor/construction manager and its subcontractors will likely be entitled to increased compensation by change order or otherwise -- and to a mechanic’s lien if that increase is not paid. See Town of Bedford v.

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