Construction Law Signal

Construction Law Signal

Insights & Information on Current & Emerging Developments affecting the Construction Industry

Tag Archives: Payment

The Early Contractor Gets the Worm: The Active Process of Preserving Construction Claims

Posted in Construction, Contract
In the world of construction, the old legal saying “equity aids the vigilant, not those who slumber on their rights” rings true. A weary contractor risks more than an OSHA violation – when a contractor fails to protect its legal rights, it can wake up near the end of the project only to find that… Continue Reading

The Check's In the Mail? In New Jersey, You'd Better Mean It

Posted in Construction Fraud, Jennifer Budd, New Jersey, Robert Ruggieri
Separate but commonly owned or related companies are common place in the construction industry. It is also common for contractors to get squeezed by late or nonpaying owners and/or subcontractors demanding payment for work performed. A recent case in New Jersey highlighted the pitfalls contactors and their owners can fall into in these situations, and… Continue Reading

Virginia Shortens Subsubcontractors' Time to Provide Notice on Public Payment Bond Claims

Posted in Bonds, Jason Tomasulo
By: Jason C. Tomasulo An amendment to the Virginia Public Procurement Act (VPPA) has cut in half the amount of time a sub-subcontractor or supplier has to make a payment bond claim on public construction and transportation projects in Virginia. Payment bonds ensure payment to those who provide labor materials, equipment rentals and public utility… Continue Reading

Breaking Bad: Top Signs That The Subcontractor Is In Trouble

Posted in Contract, Jennifer Horn, Project Management
It goes without saying that subcontractor management is a tricky business for those who select and contract with subcontractors in these interesting economic times. The earlier a general contractor can recognize the warning signs of a subcontractor’s financial troubles, the better. Early diagnosis of a subcontractor’s potential financial troubles can give a general contractor a… Continue Reading

Pennsylvania Contractor and Subcontractor Payment Act: Contractor Awarded Attorneys' Fees Incurred During Collection Proceeding

Posted in Contract, Pennsylvania
Owners and contractors should be aware of a significant October, 2009 Pennsylvania Superior Court decision, Zimmerman v. Harrisburg Fudd I, L.P., which clarifies the standard for the award of post-judgment interest and attorneys’ fees under the Pennsylvania Contractor and Subcontractor Payment Act (CASPA). In this case, the Superior Court held that a contractor who has… Continue Reading

What's the Difference Between a "Pay if Paid" Clause and a "Pay When Paid" Clause in Pennsylvania?

Posted in Pennsylvania
Getting paid on time for work performed on a construction project is a natural concern for subcontractors. Generally speaking, your subcontract with the general contractor contains a payment clause that sets forth when and how you are entitled to receive payment. Two commonly used types of payment clauses are “pay if paid” and “pay when… Continue Reading

Pennsylvania Court Decision Limits Unjust Enrichment Claims for Subcontractors

Posted in Contract, Liens, Pennsylvania
It is not uncommon, especially in today’s economy, for a subcontractor to perform work on a project but not get paid. Under Pennsylvania law, there are several courses of action a subcontractor can take to recover payment. One option is for a subcontractor to seek payment directly from the general contractor under a breach of… Continue Reading