Parts of the Subcontract that Can Affect Your Payment
When thinking about payment and a construction contract, most subcontractors will likely only focus on the payment section of the subcontract. But did you know that there are other sections of the subcontract agreement that can significantly affect your ability to collect payment? It is always important to review and understand the entire contract, but […]
Payment Terms: Contingent Payment Clauses
One of the essential sections of any subcontract is the section containing the payment terms; after all, we all want to get paid, right? Payment terms, and the contingent payment clause specifically, is an area where we commonly see subcontractors get taken advantage of. Often, general contractors rely on these payment terms to protect themselves […]
Subcontract Documents: The Ins and Outs of a Fair Subcontract
First off, what are subcontract documents? Subcontract documents are all of the materials that explain the relationship and requirements between you (the subcontractor) and the general contractor. In this blog, we will discuss the ins and outs of a fair subcontract along with the tools you need to protect yourself. What are the responsibilities of […]
Scope of Work Gone Wrong: The Ramifications
As anyone in the construction industry knows, a construction project never goes according to plan. Unfortunately, there are just too many things that can go wrong. Between weather delays, change orders, and, inevitably, lawsuits, there will always be something that goes awry. Owners or general contractors who provide a scope of work to subcontractors must ensure they provide the most accurate list of work possible.
Scope of Work Fundamentals
Scope of Work is one of the most critical parts of any construction contract. Throughout this blog, we will scope of work fundamentals, including what they entail, best practices, and what you need to look out for. A comprehensive and accurate scope of work is one of the most important ways you can ensure you are fully covered to collect on the work you perform.
Understanding Commercial General Liability Policies
Every player in the construction game should be aware of the risks and take the proper precautions. That’s especially true when it comes to business insurance coverage. It is not enough to simply call up a business insurance agent and purchase the first policy offered. You have to carefully review the type of insurance policy—and ask as many questions as possible.
Understanding Indemnification Clauses
The scariest clause a subcontractor can face in a subcontract agreement is the dreaded indemnification clause. But an enforceable indemnification clause can also act to protect you against lower-level subcontractors. In addition, the language in the indemnification clause—like the whole contract—is negotiable! In this article, we’ll give you some basics of indemnification clauses. Why do […]
Indemnification Clause Basics
Making sure you take adequate risk-shifting precautions is a crucial step in the construction process. A common mechanism used in the risk management endeavor is an indemnification clause. But if it’s not drafted properly, such a provision will be unenforceable. In this article, we’ll go over indemnification clause basics. Understanding Indemnity Indemnification clauses (sometimes referred […]
Part 2 of the Top 10 Terms to Negotiate
The second set of contract terms that require your attention when you are reviewing the contract from your general contractor are the safety terms, bond terms, delay terms, dispute resolution terms, and lien waivers. A safety term in your contract can take many forms. Not only will you be required to comply with all OSHA […]
Five of the Top 10 Terms to Negotiate
Before you negotiate anything, the first thing you need to do is identify the contract documents. Typically, these include the project manual, the plans and specifications, and the terms and conditions. This information should direct you to the most important terms in your contract with the general contractor. These documents will help you determine if […]