Andrew Gibson

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Andrew Gibson helps his clients build successful projects and negotiate and resolve disputes. As a partner in Stoel Rives’ Real Estate, Construction and Design practice, Andrew is experienced in drafting and negotiating all forms of project documents, from the design phase through construction, and regularly  assists clients with navigating the typical tricks and traps of contracting and insurance coverage issues. He is also a veteran of a variety of legal proceedings and has successfully pursued construction defect claims, insurance and bond claims, bid protests, stop payment notices, mechanic’s liens, real estate disputes, and collection actions through mediation, arbitration, and litigation.

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The Importance of Third-party Beneficiary Clauses in Contracts

For anyone building a dream vacation home, renovating an existing commercial structure, or developing a multimillion-dollar, mixed-use project, construction contract terms are of utmost importance. One often overlooked clause covers the contractual “third-party beneficiary” (TBP)—a person or entity who, though not a party to the contract, stands to benefit from the contract’s performance. Interpretations of … Continue Reading

Surety Bonds vs. Subcontractor Default Insurance

If a contractor cannot meet deadlines on a construction project or a subcontractor pulls out of a new project bid in order to pursue a more attractive opportunity, the project owner and/or prime contractor face potentially significant damages, which can include corrective work, costs of completion or substitute performance, and delay. In my latest column … Continue Reading

Ensuring Your Construction Project Remains Insured

In too many cases, the developers, builders and designers of a construction project focus on starting work and pay inadequate attention to making sure important details of their insurance coverage are fully in place. Coverage denials can result from deferring to “standard” insurance forms, relying on informal broker assurances and not taking the time to … Continue Reading

Tips for Owners and Contractors with Projects in the “Grey Area” of California’s COVID-19 Orders

In response to COVID-19, construction projects in California are currently subject to a statewide Executive Order and potentially other similar (or dissimilar) “stay home” or “shelter in place” orders or directives issued by counties and cities. Under the California statewide order, only businesses needed to maintain continuity of operations of identified federal critical infrastructure sectors … Continue Reading

When Three’s Company, and Not a Crowd

Negotiating construction contract language in 2017 can have important consequences years into the future. The obligations and rights arising from one often overlooked clause, that addressing contractual “third-party beneficiaries,” i.e. “a person or entity who, though not a party to the contract, stands to benefit from the contract’s performance,”  can vary considerably from state to … Continue Reading

Alter Ego: The $5MM personal danger of neglecting corporate formalities and utilizing substandard building materials

Many building developers utilize a single purpose entity limited liability company (an “LLC”) to purchase and develop property, such as an apartment complex, a subdivision, or a shopping center. Generally, an LLC’s debts, whether incurred or judicially imposed, belong only to the LLC, not to its members.  However, an LLC’s individual member may be subject … Continue Reading

Year-End Insurance Review: Common Coverage Oversights

Carrying adequate insurance on construction projects is a critical aspect of risk management for developers, builders and designers. But it’s a complicated and time-consuming subject, and if you haven’t slogged through the complexity of the details in policies, you may be vulnerable to unintended consequences. In my recent article for the Daily Journal of Commerce, … Continue Reading

A New Wrinkle In Time To Claim Construction Defects

Oregon’s law on statutes of limitation and/or repose periods on construction claims is complex and ever-changing.  A recent Oregon Supreme Court ruling has introduced yet another instance of differing time limits on construction defect claims. In my recent article for the Daily Journal of Commerce, I discuss Schell v. The Schollander Companies, Inc. and the … Continue Reading

Protections Against Subcontractor Defaults

Subcontractor default is a construction project nightmare that can result in significant additional costs and delay completion of the project. But there are two chief options to protect against such risks — performance bonds and subcontractor default insurance.  In my recent article for the Daily Journal of Commerce, I outline the unique characteristics of each … Continue Reading

Finishing Strong vs. Finishing Wrong: Tips & Traps for Project Completion

Complex construction projects carry complex problems as they approach completion. In my recent article for the Daily Journal of Commerce, I address 10 potential pitfalls that owners, contractors and design professionals may encounter, and I offer tips to help you prepare for them. Read the full article here. “Finishing Strong vs. Finishing Wrong: Tips & … Continue Reading

Put In Writing When the Clock Starts Ticking

In my recent article “Put in Writing When the Clock Starts Ticking,” I discuss how varying intrepretations statue of limitations can affect your business. Setting your own time limits on claims in your construction contracts can help you manage risk. Read the full article here. “Put in Writing When the Clock Starts Ticking” was originally … Continue Reading

Oregon’s New 5% Retention Rule May Force Unintended Consequences

In my latest Daily Journal of Commerce Construction column, I discuss Oregon’s new 5% retention rule. Parties negotiating construction contracts should stay mindful of how the new retention provisions may force changes to other contract and how such changes may affect all parties throughout construction of the project. Read the full article at the Daily Journal … Continue Reading

No Contractor’s License Means You Work for Free

 Yet another California court decision has been issued requiring a contractor to return over $750,000 received for work he performed on a casino while he was unlicensed. In rejecting the contractor’s arguments against disgorgement, the court found that (a) California Business and Professions Code § 7031’s penalties applied to work performed for tribal corporations and on … Continue Reading

New for 2013! California Form Interrogatories – Construction Litigation (DISC-005)

Any construction litigation party faced with responding to California’s standard form interrogatories is all too familiar with the confusing use of the undefined term “incident” and the largely inapplicable “personal injury” interrogatories in a construction case. Similarly, any construction litigator dealing with the standard form interrogatories has felt the burden of sifting through the plethora of … Continue Reading

Oregon’s Prompt Pay Acts Strengthened and Clarified in 2012

Parties to construction contracts take notice:  the legislature enacted new consequences and contract restrictions to Oregon’s Prompt Pay Acts starting in 2012.                On public improvement contracts first advertised or solicited on or after May 28, 2012, the newly revised Act (a) changes the interest penalty rate for a prime contractor’s failure to make timely payment … Continue Reading
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