Construction

Direct vs. Consequential Damages – What is the Difference, Really?

Many people, even while negotiating the terms of a contract “mutual waiver of consequential damages” clause, fail to appreciate the distinction between direct and consequential damages. A federal district court judge in Pennsylvania has penned a… Read More
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Bond or Guaranty Requirement on New York Projects Clarified

The New York lien law, for private projects being built on public land, requires that the project owner furnish “a bond or other form of undertaking guaranteeing prompt payment of moneys due.” Lien Law § 5. In a dispute concerning construction o… Read More
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Indemnities Demystified

Indemnity. In the panoply of contract terms, no other word strikes as much terror into the hearts of contract administrators, project managers and other business types. This fear is often born of the failure to understand the essential elements and p… Read More
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Resolving Conflicting Contract Terms

Was one party trying to be cute, or was this simply an error not caught in the drafting process? Two inconsistent terms made it into the final contract, and then became the basis for a post-termination dispute. One term allowed the contractor to reco… Read More
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Statutory Amendment Extending Payment Bond Lawsuit Deadline Does Not Apply Retroactively

New York amended its payment bond law in 2011 to extend the timetable for filing a claim against a public project payment bond. The former deadline was one year after submitting an invoice for final payment. The amended law requires bond claim lawsui… Read More
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Worker Protection and the New York Labor Law – Absolute Liability for Commonplace Missteps

A tile finisher needed a short platform to reach the top of installed bathroom tile to inspect the finished work, after toilets had been installed in a Delta Sky Club lounge. He used a “Kwik Bench” raised platform (“Heights adjusts [sic] from 1… Read More
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Clarification on Architect’s/Engineer’s Liability for Safety During Construction

With underlying facts showing less-than-stellar actions on the part of more than one player, the Mississippi Supreme Court has clarified and confirmed the applicable standard for when a design professional should be liable for safety on a constructio… Read More
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City Ordinance Conditioning Favorable Tax Treatment on Project Labor Agreement Must be Considered in Light of City’s Regulatory Authority

Whether Jersey City can require developers to enter into project labor agreements as a condition of receiving tax exemptions or abatements is still an open question per the Third Circuit Court of Appeal. The federal appellate court held that the city… Read More
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Beware Hidden Dangers of Attorneys’ Fee Provisions

First, I believe the trial court got it mostly right. But the appeals court had the last word. The case serves as a reminder that attorneys’ fee provisions at times do not always serve the greater purpose of balancing the stakes in litigation. Seco… Read More
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Company Was Additional Insured Under GL Policy Even by General Designation and Not Specific Name

A second-tier subcontract required the sub-sub to provide insurance naming, as additional insured parties, both the first-tier sub, and also “the Project owner and construction manager.” When the sub-sub’s employee was injured and sued… Read More
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