Georgia Construction, Bond & Lien Law Blog


Third Circuit Holds AIA 201’s Arbitration Clause Applies Only to Disputes During Construction

Posted in Arbitration,Case Law,Contracts by Blue Blog on the November 20th, 2016

We are pleased to welcome a guest author for today’s post.  Douglas Dodson is a 2016 graduate of the University of Miami’s J.D./M.B.A. program, and he is pursuing a career in business consulting. By Douglas Dodson, J.D., M.B.A. The prime contract on the majority of construction projects includes a general conditions document, which are then
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Federal Court Rules that Subcontractor Duties Are Not Terminated by Contractor’s Modest Underpayment

Posted in Case Law,Subcontractor Law by Blue Blog on the May 5th, 2016

by Stephanie Dodson Dougherty The Mar-Paul Company, Inc. (“Mar-Paul”) entered into an electrical subcontract with Butch-Kavitz, Inc. (“Butch”) for a renovation project at the Tobyhanna Army Depot in Pennsylvania owned by the United States Army Corps of Engineers. The subcontract amount for electrical and generator work by Butch was $452,000.00. However, the owner of the
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Exceptions to “No Damages For Delay” Clauses

Posted in Case Law,Damages by Blue Blog on the January 26th, 2015

A “no-damages-for-delay” (NDFD) clause is a very common contract term that provides a defense for the delay-causing owner or general contractor to assert against the harmed party’s request for damages. This defense can be applied to protect the owner from a general contractor’s delay claim or the general contractor from a subcontractor’s claim. These clauses
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Recent Case Highlights the Importance of the Construction Contracts

Posted in Case Law,Contracts,Joint Ventures by Blue Blog on the November 26th, 2014

In a case decided on November 17, Inland Atlantic Old National Phase I, LLC et. al. v. 6425 Old National, LLC, the Fourth Division Court of Appeals of Georgia ruled on fiduciary duties owed under joint venture agreements, applied rules of contract construction, and briefly addressed substantial versus strict compliance. Background:  The parties – Inland
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Recent Case Hurts Supplier’s Enforcment of Lien

Posted in Case Law,Materialmen's Lien (enforcement),Practical Tips by Blue Blog on the October 30th, 2014

When a building material supplier has not been paid for labor or materials used on a Georgia construction project, that supplier may place a materialman’s lien against the owner of the improved real property; this is true even if the owner has no contractual relationship with that supplier. Such a lien essentially transfers liability from
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Waiver of Sovereign Immunity in Georgia Contract Claims

Posted in Case Law,Performand Bonds,Public Works Projects by Blue Blog on the October 1st, 2014

On September 22, the Supreme Court of Georgia ruled that the state’s sovereign immunity is waived for a surety’s claim against a contract with the state in State of Georgia Department of Corrections v. Developers Surety and Indemnity Company. What is Sovereign Immunity? Generally, sovereign immunity protects the state and other government entities (such as
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Subcontractors Beware–File Liens and Do Not Rely On Anyone Else for Payment

by Mark Cobb It would be wonderful to live in a world where a handshake or a person’s word meant something. The Georgia Court of Appeals just handed down a verdict in First Bank of Georgia v. Robertson Grading which will make you question whether or not you can trust any body when it comes
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Don’t Make A Mistake–Read Your Contract

Posted in Case Law,Contracts,Subcontractor Law,Subcontractor Liability by Blue Blog on the June 30th, 2014

by Mark A. Cobb The Court of Appeals of Georgia recently issued their holding in Progressive Electrical Services, Inc. v. Task Force Construction, Inc., and this case interprets some construction contract terms which impact Georgia subcontractors.  Specifically, this case gives subcontractors a reason to be concerned about every contract into which they enter unless they
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Georgia Court of Appeals Requires Strict Compliance of Supplier’s Notice to Owner/Notice to Contractor

Posted in Case Law,Current Legal Issues,Notice of Commencement,Notices to Owner (NTO's) by Administrator on the March 8th, 2010

Last month, the Georgia Court of Appeals handed down a decision that affects every third-tier subcontractor and supplier working on construction projects in Georgia.  In short, the court held that a supplier’s Notice to Owner/Notice to Contractor  which failed to include the subcontractor’s address and the location of the project  did not comply with statutory
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