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Construction Law
Construction law involves the formation of contractual agreements and settling disputes between builders and homeowners, subcontractors, engineers, architects, designers, material suppliers, lenders, and developers.
Construction Law Issues
Construction issues involve such matters as:
- Jobsite safety
- Mold-related litigation
- Asbestos-related litigation
- Construction defects
- Construction project delays
- Mechanic’s liens
- Worker’s compensation
- Property damage and insurance liability issues
- Hazardous waste and environmental issues
- Zoning issues
In today’s litigious American society and highly-regulated construction law, contractors and builders face lawsuits from multiple sources of liability on the very same project.
Construction Lawyers
Attorneys specializing in construction law are a valuable resource to contractors and builders, helping them to be proactive in avoiding potential lawsuits and claims for damages. Environmental and local regulatory compliance, certificates of insurance from subcontractors for potential subrogation if there is a lawsuit, bonds, building codes, safety laws and licensing are examples of areas where legal advice can avoid potential problems down the road.
Attorneys also craft contracts that protect the interests of the contractor or builder for damages from project delays, defects, the bidding and estimating process, improper reporting or inspections, and making false claims. Attorneys also protect the property owner by crafting contracts that protect them from damages resulting from the contractor or builder’s poor performance.
Moreover, attorneys represent plaintiffs and defendants in cases where the property owner or a subcontractor sues for damages.
Interpreting Construction Contracts
Construction contracts that come into dispute often include clauses that are unclear and must be settled by arbitration or in a courtroom. As an example, changes in the scope of work, or additional scope beyond the scope described in the original contract, can cause issues in payment and liability. Both parties need contractual language that protects their rights for extra work. Another troublesome area is the description of the project completion and closeout.
Both parties need attorneys in order to protect their interests in a construction process, understanding what they have agreed to (and the implications of those agreements for damage discovered in the future), and what to do when problems arise.
Subcontractors need to protect their right to be paid by the general contractor on a construction project. Subcontractors are at risk in instances where the general contractor’s contract states it must first be paid by the property owner.
Several government agencies promote the use of arbitration and dispute-resolution processes as a way of settling construction disputes in efforts to avoid going to court.
By Kathleen Goolsby
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