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|Construction Managers and Contractors: Improve Your Mergers & Acquisition and Dissolution Checklists to Avoid Expired License Exposure-and Worse|
Jeffrey B. (Jeff) Kirzner, Daniel D. (Dan) McMillan; Jones Day;
January 27, 2016, previously published on January 2016Dissolving a newly acquired or existing affiliate of a construction or construction management firm can have adverse unintended legal consequences when the dissolved affiliate holds executory contracts and the related entity that takes over the performance of the contracts lacks the requisite...
|A New Twist to Construction Fraud|
Trey R. Kelleter; Vandeventer Black LLP;
January 27, 2016, previously published on January 2016Virginia Code §18.2-200.1 makes it a crime to commit construction fraud, that is, to take an advance of funds in return for a promise to perform a job with no real intention of performing and indeed, failing to substantially perform. It is a felony if the job was for more than $200. To prove...
|Court of Appeals Warns -- Want to Get Paid? Comply with Contract Terms!|
Julia J. Nierengarten; Meagher & Geer, P.L.L.P.;
January 25, 2016, previously published on November/December 2015The Minnesota Court of Appeals recently issued an opinion that is important to all contractors to understand, if they want to get full payment on a project. The Court's decision gave a very clear instruction to all parties on a construction project - follow the terms of the contract. Failure to...
|Legal Framework and Benefits of Public-Private Partnerships|
David M. DiSegna, Teno A. West; Pannone Lopes Devereaux & West LLC;
January 20, 2016, previously published by Rhode Island Bar Journal on January/February 2016Throughout the United States, governments and public agencies face the daunting task of upgrading or replacing their antiquated and deteriorating infrastructure, while grappling with fiscal pressures, such as declining tax revenues, increased expenses, rising pension costs, and state and federal...
|The Superior Court of Québec Rules on the Obligation of Good Faith in Tendering Documents|
Simon Grégoire; Borden Ladner Gervais LLP;
January 15, 2016, previously published on January 8, 2015At the conclusion of a call for tenders by the ministère des Transports du Québec (MTQ) (the Québec Transport Department) for the extension of Autoroute 5 in Gatineau, Inter-Cité Construction Ltée (Inter-Cité) was the lowest conforming bidder. Unable to...
|Delay Damages: Don't Delay!|
Kevin A. Rust; Vandeventer Black LLP;
January 14, 2016, previously published on December 2015Delays are common on construction projects, and so are delay damages provisions in construction contracts. Depending upon your involvement in the project, and the size or your operation, you may not have much input into what that clause says. That doesn’t mean you shouldn’t read it and...
|How to Contain Construction Disputes|
John B. Cooper; Jones Day;
January 11, 2016, previously published on December 2015Imagine if, when a dispute involving defective design or defective construction first arose, it could be dealt with in a safe environment so that the defects could be remedied and the possible impacts of them limited, reduced or avoided?
|New York’s Appellate Division Reverses Collateral Estoppel Ruling Against Payment Bond Sureties in Suit to Enforce Arbitration Award|
Thomas F. Giordano; Schnader Harrison Segal & Lewis LLP;
January 7, 2016, previously published on November 2015A recent decision by the First Department of the Supreme Court, Appellate Division, addresses the preclusive effect of arbitration awards in subsequent judgment enforcement suits against payment bond sureties. In Five Star Electric Corp. v. Federal Insurance Co., 127 A.D.3d 569, 8 N.Y.S.3d 98 (1st...
|Does an "Unrealistically Low" Price For a Fixed Price Contract Permit an Agency to Simply Eliminate a Proposal from Competition?|
Alan I. Saltman; Smith, Currie & Hancock LLP;
January 5, 2016, previously published on December 4, 2015The Court of Federal Claims just issued a significant opinion in KWR Construction Inc. v. United States, regarding an agency's rejection of a proposal on the basis that the offeror's price was unrealistically low. The procurement was for a multiple-award construction contract and was set aside for...
|Special Considerations for Subcontractors and Suppliers on P3 Projects|
Todd M. Heffner; Smith, Currie & Hancock LLP;
December 8, 2015, previously published on November 17, 2015Public Private Partnerships, or P3s, are aptly named because they truly mix aspects of public and private construction. But does that mean they are like public projects and subject to state or federal bonding requirement and prompt payment obligations? Or are they like private projects with lien...