Repeal Prevails on Prevailing Wage (sometimes)

Most states, including Missouri and Illinois, but not Kansas, have some form of prevailing wage law on the books. These statutes are commonly referred to as “Mini-Davis Bacon Acts” because they, to varying degrees, are patterned after the federal law enacted in 1931 mandating the payment of the prevailing wages for the locale on public…

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When owners don’t pay – “pay when paid” vs. “pay if paid” clauses in Illinois.

A recent decision of the 1st District Appellate Court is cause for contractors and subcontractors to review your contract forms extremely carefully, in regard to payment obligations when the project owner fails to pay the contractor.  In Beal Bank Nevada v. Northshore Center THC, LLC, et al, 2016 IL App (1st) 151697, the court rejected…

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Kansas Contractors and Design Professionals: Are You Aware of Your Rights and Obligations?

Many states, including Kansas and Missouri, have what are commonly referred to as “Notice and Right to Cure Statutes.” These statutes are important tools for contractors and design professionals in defending construction defect claims. In general, the purpose of the statute is to afford contractors an opportunity to repair or settle a perceived defect before…

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Choice of Law and Forum Selection Clauses: Home Field Advantage in Construction Contracts

Beginning with the Little Leagues, everyone knows about “home field advantage”, where friendly fans abound, the field is familiar, and grueling travel is absent. While certainly no guarantee of victory, these are intangible factors leading to the best opportunity to win. Likewise, in the realm of construction contracts, the opportunity often exists to claim “home…

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New Sex Discrimination Rules Effective August 15, 2016 For Federal Contractors and Subcontractors

New sex discrimination regulations recently announced by the U.S. Department of Labor’s Office of Federal Contract Compliance programs (OFCCP) go into effect August 15, 2016. According to the OFCCP, the new rules revise guidelines that were adopted in 1970 to address various forms of “sex discrimination” and fairness in today’s workplace, which includes discrimination based…

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Home Builders Beware: Are you providing a warranty you did not intend?

Since 1979, Illinois courts have held that all new construction homes come with an implied warranty of habitability. This means that the home must be built sufficient for its intended purpose as a residence and the builder is responsible for even unknown defects that negatively affect the usefulness of the structure as a residence. The…

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Do you hear that buzzing or is it just me? How use of drones is changing construction management forever.

The efficiency objectives of construction management may not be changing, but the tools it utilizes just might be. Driven by use on construction projects, the FAA has recently prosed new rules for the operation of drones (e.g. “Unmanned Aerial Vehicles”) that would permit operation on construction sites so long as visual line of sight is…

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For Contractors, OSHA is at it again!

The anti-business Occupational Safety and Health Administration continues its onslaught of burdensome regulations on American business.  The “stick it to the company” philosophy is no more evident than with its new increased penalties. As of August 1, 2016, OSHA penalties will be as follows: Offense Serious: Other-Than-Serious: Repeat violations: Willful violations: Failure to Abate Old…

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Liens Survive: The Apple Cart is Restored

It has long been established law in Missouri that subcontractors, under certain circumstances, may enforce mechanics’ liens against the owner’s interest in a shopping center (or other real estate leased to tenants) even where the prime contract is between the tenant and a general contractor, not the owner of the real estate. However, this well…

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