I think a lot of contractors are afraid of indemnification provisions because they do not know what they mean and how they are supposed to work. The general idea behind indemnification in construction contracts is that you are responsible for any damage you cause and...
Recently, I have had several cases where my clients were being assessed large back charges on commercial projects. Only to find out, after a little digging, the evidence relating to the back charge claims was bogus. What is a Back Charge in Construction? A back charge...
Termination happens when you are fired from a project; this is not to be confused with a default; you are in default under the terms of a contract when you fail to do something required by it. For example, if your contract requires turning in daily reports and fail to...
"Can I stop working if I have not been paid?" This is a question my clients ask very frequently, and my very “lawyerly” response is, it depends. Most people think it's a given if they have not been paid, they can stop working. However, you may be in breach of the...
Also sometimes referred to as a Construction Lien The idea that people who build things need to get paid for the work they do is as old the USA. Back in the day construction workers were called mechanics and around the time when our capital building was being built,...
If your subcontract contains a termination for convenience clause, the general contractor isn’t held to the same standard and can walk away from their obligations to you at any time.
We have contractor clients all over the country and one of the first questions we get when we talk about their contracts is, “I am not sure it is up to date.” Now there are a few different ways we consider this question. Let’s look at why it’s important to have an...
TCLF Owner and Managing Partner Karalynn Cromeens answers the question "Why should you negotiate your commercial subcontract?" I can remember the first time a read a commercial subcontract as a baby attorney, I thought it was better off to burn it and start from...
Change orders are essential in the construction industry, and every contractor must be ready when there is a change in plans. In this blog, we’ll look at some specific contract language in change orders: extra work vs. additional work.
If you’re a contractor or subcontractor working in the construction industry in Texas, you’ll want to pay attention to the Texas Prompt Payment Act. This important state law governs payment practices for construction projects in Texas.