The requirements governing contractors performing services in Washington state are contained in Chapter 18.27 of the Revised Code of Washington, which defines who is considered a contractor and provides the registration requirements for those contractors, as well as outlining the consequences of not registering. In this article for the Daily Journal of Commerce, I discuss … Continue Reading
In a world of pure cooperation, if the owner of a construction project or a contractor causes a problem, the responsible party would admit fault and make amends—rendering the negotiation of a construction contract unnecessary. In our less than ideal world, owners and contractors have adverse interests, the party at fault is not always clear, … Continue Reading
Traditionally, private owners of construction projects have not considered bonds — either payment or performance bonds by the general contractor — because of the additional cost and because they felt confident that the contractors and their subcontractors, suppliers and vendors on their projects would meet the obligations of the contract terms. However, in today’s volatile … Continue Reading
Construction projects are complex and often experience delays. The party responsible for the delay can find itself subject to potentially severe consequences. There are various ways project owners and contractors can cause project delays, and each party wants to “own” the project float to be able to apply the project’s extra schedule time toward its … Continue Reading
If you are involved in the construction industry, like it or not risk management is part of your job. From home office executives to workers in the field, each person is expected to manage schedule, cost, and safety risks. While these risks are common, the recent prolonged period of economic growth has created new challenges, … Continue Reading
In the event of a near-term slowdown in the U.S. economy, analysts forecast that any resulting decline in construction starts will nevertheless leave the level of activity in that industry sector “close to recent highs.” As a result, project owners and general contractors already facing a strong demand for workers will continue to do so, … Continue Reading
In the Pacific Northwest, Mother Nature can play a large part in whether or not a construction project will be completed on time and on budget. The importance to both owners and contractors of starting a construction project in order to take advantage of a window of good weather or other factors can make finalizing … Continue Reading
In the midst of a serious California drought, water concerns have brought with it a rise in well drilling. Today, the California Contractors State License Board sent out a timely reminder that C-57 well drilling licensees in the Central Valley must register portable internal combustion engines of 50 horsepower or greater used to power drilling … Continue Reading
In my latest Daily Journal of Commerce Construction column, I discuss the recent rash of cases involving the question of whether subcontractors are bound by the terms of a project’s prime construction contract. In many of these situations, subcontractors contend that their subcontracts give them rights, remedies or defenses against the prime contractor that the … Continue Reading
While many in the Pacific Northwest claim to have seen Sasquatch or Bigfoot, few have any evidence to substantiate the existence of this fabled creature. Regardless, hope rings eternal for some that one day this beast will be catalogued as a genuine, albeit elusive, example of the “missing link” between man and ape. Applying this … Continue Reading
In my latest Daily Journal of Commerce Construction column, I discuss the issue of whether a contractor may sue a lender. This occasionally arises when a project’s owner runs into trouble and the construction lender stops funding. The argument that is occasionally advanced is that the lender knew the contractor had started work and, if … Continue Reading
OSHA compliance recently became harder and costlier, and may continue to do so, thanks to several developments at the federal and state level. (Click here for a prior post on OSHA reform.) You may go to prison if you discipline or terminate an employee who might be worried about an unsafe working condition—even though your … Continue Reading
Contributor: Louis A. Ferreira Congress has proposed legislation that would amend the Occupational Safety and Health Act of 1970 to increase both civil and criminal penalties, expand coverage, and create new obligations for employers. Congress has not acted recently on the bill, named the “Protecting America’s Workers Act," but employers should expect action sometime in the new year. … Continue Reading
