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Construction Contracts
Subcontracts: tips for general contractors and subcontractors
Key Considerations in Subcontract Negotiations
Negotiating subcontracts presents challenges for both general contractors and subcontractors. General contractors must balance responsibilities to owners and subcontractors while managing risk. Subcontractors, often with limited negotiation power, should focus on key risk-shifting provisions.
Prime Contract Role
Subcontracts often include “flow down” clauses, requiring subcontractors to assume general contractor obligations.
Addressing Tariffs in Construction Contracts: Key Considerations
As the multifamily market rebounds (hopefully) in 2025, potential new tariffs on materials like steel, lumber, and appliances are raising concerns for developers and contractors alike. Many clients question how to address price escalation risks arising from tariffs in their standard fixed price (FP) and guaranteed maximum price (GMP) contracts, including under changes-in-law clauses, allowances…
What to Consider When Analyzing Dispute Resolution Provisions for a Construction Project
Construction project owners, contractors, and design professionals sometimes fall into the trap of not giving careful consideration to the risks specific to a given project and will wait until an actual dispute arises before closely analyzing the dispute resolution provisions in a design or construction agreement. In my latest article in the Daily Journal of…
Lesser-Known Insurance Policies for Addressing Risks of Construction Projects
Bringing a construction project to fruition involves significant risks to project owners, designers, and contractors. Many of those risks will be allocated in the parties’ contracts, in turn requiring those parties to obtain insurance and further allocating risks to insurance companies. Several commonly used insurance policies are at the heart of any construction project insurance…
Strategies for Getting Difficult Construction Contracts to the Finish Line
Parties negotiating a design and construction contract for a large project will often leave for the end discussions of a few provisions that one side or the other has characterized as “deal-breakers.” Though the deal may be doomed to fail, one of the parties may also make a concession or concessions, have its bluff called…
The Role of Liquidated Damages Provisions in Construction Contracts
The glue that holds together a construction project—an undertaking that can be massive, with millions of dollars at stake and the coordination of thousands of people required—is the construction contract, the primary purpose of which is to provide a path for parties to apportion the risk involved in any construction at the front end of…
Don’t Let Disputed Change Orders Derail Your Construction Project
A fact of life for those involved in construction projects, change orders can be a challenge even when the owner and contractor agree on the scope, price, and schedule impacts associated with the change but much more difficult when the parties disagree on those terms. Options available to resolve a dispute include handling it in…
Follow-Up: Should Attorneys Use Artificial Intelligence to Draft a Construction Contract?
Over this past summer, our colleague Mario R. Nicholas penned an article for the Daily Journal of Commerce entitled “Can Artificial Intelligence Be Trusted to Draft a Construction Contract?” It is a great read, and we borrow from it here in many places.
In his article, Mario principally focused on why chatbots like…
On Notice: Why Notice and Claim Procedures in Construction Contracts Matter
Construction contracts generally outline when and how contractors should notify parties about potential claims for additional compensation and/or time. These provisions are intended to provide project stakeholders with the information necessary to address unforeseen circumstances and streamline claim resolutions within the project rather than resorting to legal actions. However, in some cases, the contract provisions…