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Construction Contracts 101 – Key Terms and Provisions

By on August 31, 2017

A construction contract can be a daunting document.  It can be hundreds — if not thousands — of pages in length depending on the complexity of the project.  In addition to the document that is signed by the parties, the full construction contract can include drawings, specifications, geotechnical reports, general conditions, special conditions, and other… Read more

Initial Highlights of the 2017 Edition of AIA A-201

By on June 20, 2017

As you may be aware, the American Institute of Architects (“AIA”) revises its main contract forms every ten years and has recently released the 2017 Editions of their contract forms, including the AIA A201 – General Conditions of the Contract for Construction.  I’ve just finished an initial review of the new AIA A201 2017 Edition. … Read more

SCDOT’s New Prompt Payment Requirements Begin July 1

By on May 2, 2017

As of July 1, 2017, the South Carolina Department of Transportation (“SCDOT”) will impose new prompt payment requirements on its contractors. The New Requirements The new Prompt Payment Clause, which can be found in its entirety here, will require the following: The Contractor will pay its subcontractors within 7 calendar days of receiving payment from… Read more

Are you helping your Project Managers and Superintendents understand your contract?

By on September 19, 2016

The bidding and contract process is often totally separate from the job-site environment.  This can make it difficult for project managers and superintendents to keep track of key contract provisions, especially when the contract form in question is new to them.  Since field personnel are busy with the work, and are under a lot of… Read more

Are Certificates of Insurance Enough?

By on September 1, 2016

Contracts usually require contractors and subcontractors to carry certain types of insurance with stipulated coverage limits.  In most of the contracts that come across my desk, the owner or contractor simply require the contractor or subcontractor to provide a certificate of insurance to confirm and verify that the required insurance coverages are in place.  If… Read more

Is Your Arbitration Clause Enforceable?

By on August 12, 2016

The South Carolina Supreme Court recently addressed the enforceability of an arbitration clause in a sales contract between a home buyer and a developer general contractor. Gregory W. Smith vs. D.R. Horton, S.C. Supreme Court Opinion No. 27645. The arbitration clause stated that the parties agreed to arbitrate any claim arising out of the construction… Read more

Pay-If-Paid vs. Pay-When-Paid – Know the Local Law!

By on April 26, 2016

“Pay-if-paid” and “pay-when-paid” clauses are commonly found in construction contracts. Their potential benefit – at least to the upstream contractor – is obvious: if the clause is interpreted literally, risk of non-payment from an owner or general contractor is pushed downstream. In other words, the contractor is under no obligation to pay his subcontractors unless… Read more

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