The purpose of a liquidated damages provision in a construction contract is to establish in advance a fair amount of compensation to the injured party for a breach of contract to avoid spending time and money fighting over uncertain actual damages after they occur. Generally, to be enforceable, a liquidated damages provision must satisfy three
Real Estate & Construction
Terminator Beware
By Bill Wilson
Terminating a contract is a serious and sometimes risky decision. Whenever a client seeks advice regarding termination, a lawyer should stress the importance of strict compliance with the contractually specified termination provisions. One misstep by a terminating party who otherwise did nothing wrong could be a material breach of contract exposing the terminator to potentially large damages,…
OSHA’s Multi-Employer Policy Continues to Ensnare the Construction Industry
Below is an excerpt of an article co-authored by Megan Baroni and Jon Schaefer and published in Construction Executive on June 28, 2022. Megan and Jon are partners in Robinson+Cole’s Environmental, Energy + Telecommunications Group.
Most contractors don’t know they can be cited for an OSHA violation even if their own employee is not exposed to…
Massachusetts Appeals Court Strictly Construes Prompt Payment Act
On June 7, 2022, the Massachusetts Appeals Court issued an opinion of first impression regarding the Massachusetts Prompt Payment Act, G.L. c. 149 § 29E (the “Act”). In Tocci Building Corp. v. IRIV Partners, LLC, Appeals Ct. Nos. 21-P-393, 21-P-733, the Appeals Court affirmed the decision of the Superior Court which held that when…
Review Pre-Employment Screening Processes Amid the Great Resignation
Below is an excerpt of an article published in Construction Executive on May 13, 2022 co-authored by Robinson+Cole Labor and Employment Group lawyers Abby M. Warren and Kayla N. West .
After nearly two years of managing the workplace through the nationwide COVID-19 pandemic, employers are being impacted by another significant challenge: the “Great Resignation,”…
Recent Court Decision Warns of Dangers of Using Outdated Construction Contracts
A recent decision serves as an important reminder to all in the construction industry about the dangers of using outdated contract forms. In Hillhouse v. Chris Cook Construction, LLC, 325 So. 3d 646 (Miss. 2021), the Supreme Court of Mississippi found an arbitration provision unenforceable where it designated that all claims “shall be submitted to…
Consider the H-1B Visa to Build Your Construction Industry Workforce
This post was authored by Megan R. Naughton, who is the co-chair of the Robinson+Cole’s Immigration Group.
Foreign nationals account for 61% of the full-time graduate students in civil engineering programs in the United States, according to the National Foundation for American Policy NFAP Policy Brief, August 2021, International Students in Science and…
Number of New Public Works Construction Projects to Rise as Infrastructure Investment and Jobs Act Signed into Law
By Choity Khan
On November 15, 2021, President Biden signed into law the $1.2 trillion Infrastructure Investment and Jobs Act (IIJA)which reauthorizes surface transportation funds and allocates $550 billion for new federal spending over the next five years. The $550 billion in new spending encompasses:
- $73 billion for upgrades to the country’s electricity grid, including the ability to
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Connecticut Superior Court Holds That “Slaughter Clauses” Cannot be Added to Public Works Subcontracts Under Connecticut General Statutes § 4b-96
While you may not have heard the term “slaughter clauses” to describe the provisions of a construction contract before, the metaphor makes sense when one considers the provisions to which the Connecticut Superior Court recently applied the phrase. In the recent case of Electrical Contractors, Inc. v. Lawrence Brunoili, Inc., et al., Docket No: X-07…
Mitigating the Risks of Materials Price Escalation: Better Now Than Never!
By Fred Hedberg
Below is an excerpt of an article published in Construction Executive on September 9, 2021.
The prices of raw building materials have risen dramatically over the past year, primarily because of the global pandemic and trade policies implemented by the previous administration, thereby jeopardizing construction projects that did not mitigate the risks of material price escalation.…