This case arose from poor workmanship by a flooring subcontractor. When the GC withheld payment, the sub sued for the contract balance. The GC counterclaimed for costs incurred due to defects and rework. At trial, the sub moved to dismiss the GC’s counterclaim on the theory that only the project owner had standing to sue… Continue Reading
Monthly Archives: May 2007
Going Green…and Not Seeing Red
Posted in ConstructionHere’s an insightful summary of potential risks to design professionals in undertaking green projects, mainly from an insurance coverage angle.
Contractor Not Liable Under False Claims Act
Posted in ConstructionOn April 5, we covered an issue that seems to be gaining momentum — counterclaims by the public owner under the False Claims Act for damages caused by falsely submitted claims for extra compensation. This new case from the U.S. Court of Federal Claims is another example of this trend. The decision contains useful guidance… Continue Reading
Claims Waived by Depositing “Final Payment” Check
Posted in ConstructionIn the midst of a dispute over the proper sum to pay, one side tendered a check with "final payment" written in the notation line. The other side modified the notation to make the payment applicable only to one particular part of the dispute & then cashed the check. The Court of Appeals held the… Continue Reading
Contractor Jailed in Reservoir Pollution Case
Posted in EnvironmentalAfter admitting in a guilty plea to polluting a water reservoir with concrete slurry, a Gig Harbor project manager will now spend 30 days in federal prison. The contractor was in the middle of filling a caisson, located in the reservoir, with concrete when the concrete pumps broke. According to the guilty plea, the project… Continue Reading
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