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Bargaining Room v. False Claims: 5 Tips for Negotiation of Construction Claims

Best Practices Construction Law

Earlier this week, a settlement was reached in dispute where the contractor and designer were alleged to have filed false claims with the U.S. The issue raises an important question: What should a contractor do during negotiations to allow for some “bargaining room” so as to avoid any appearance of filing a false claim?

Claims 69
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Not So Severable After All: Third Circuit Lets Courts Determine Arbitration Agreement Existence When Underlying Contract’s Validity Is Challenged

Constructlaw

Court of Appeals for the Third Circuit addressed the perennially thorny issue of whether the courts or arbitrators retain the authority to resolve questions involving the enforceability of arbitration agreements. After the project began, a labor union representative approached and asked MZM’s president to execute a “short-form agreement.”

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CBCA Offers Potential Insight Into How Board Will Handle Claims Related to COVID-19

Constructlaw

Department of State , 1 the Board rejected a contractor’s claim for additional costs related to demobilization and remobilization of the job site in Freetown, Sierra Leone, due to an Ebola virus outbreak. In Pernix Serka Joint Venture v. In mid-March 2015, PSJV remobilized to the site. 1 CBCA 5683, 2020 WL 1970843 (C.B.C.A.

Claims 52
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GA Court of Appeals Enforces Contract Clause, Excluding Liability for Incidental Damages Where Specific Performance Is Ordered

Constructlaw

(collectively DonRob) agreed to sell, and 360 Residential LLC, 360 Sugar Hill LLC, and 360 Capital Company LLC, (collectively 360) agreed to purchase 12 acres (Site) of a 37-acre parcel of property in Sugar Hill, GA (the Agreement). Between the Agreement date and the scheduled closing date, the parties’ relationship deteriorated.

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Fraud as an Exception to the Economic Loss Doctrine: Changing Trends in Colorado and Tennessee

Constructlaw

Most frequently, the Economic Loss Doctrine bars negligence claims. Its outer bounds begin with intentional torts, and most jurisdictions do not apply the Economic Loss Doctrine to fraud claims. Dream Finders Homes claimed that Weyerhaeuser misrepresented the nature of the joists and claimed remediation costs and legal expenses.

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Who Assumes the Risk of Material Cost Increases? As Always, It Depends!

Best Practices Construction Law

The United States Court of Appeals for the Federal Circuit Contract recently addressed this issue in a government contract dispute where the parties’ agreement required the contractor to pay for fuel at the prevailing rate. What about the risk of escalation in material costs? In DG21, LLC v.

Risk 69
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#125:  Pay-if-Paid Clauses and Contractor Default

NH Construction Law

Sometimes a nonpaying owner’s claim of breach by the general contractor as an excuse for withholding money is valid, sometimes it isn’t – but either way, the general contractor must decide whether to sue or settle with the owner. Quinn Construction, Inc. Skanska USA Building, Inc. , 730 F.Supp.2d 2d 401, 421 (E.D.