Header graphic for print
Texas Construction Law Blog For Subcontractors & Suppliers

Category Archives: Construction Contracts

Subscribe to Construction Contracts RSS Feed

When is an Unforeseen Condition a “Differing Site Condition”?

Posted in Construction Contracts

I was reviewing various articles I have written over the years and came across a prior version of this one about differing site conditions, written nearly twenty years ago.   I was curious – does this cup still hold water?  It does. Many construction contracts contain some version of a “differing site conditions” clause.   It is… Continue Reading

How to Circumvent “No Damages for Delay” Clauses

Posted in Collection, Construction Contracts, Delay Damages, Uncategorized

Most commercial construction contracts contain a “No Damage For Delay” Clause and most contractors mistakenly believe they are Kings X for any potential claims related to delay caused by an owner or original contractor. While nearly every commercial construction contract contains the same or similar provisions, it is important to keep in mind they all… Continue Reading

Implied Warranties: Part One (Goods)

Posted in Construction Contracts

Texas law imposes certain implied warranties on the sale of goods, regardless of whether the warranties are mentioned in the contract.  In particular, Texas law creates the warranty of “merchantability” and the warranty that the goods are “fit for a particular purpose.”

Arbitration vs. Bench Trial

Posted in Arbitration, Construction Contracts

Arbitration clauses are very common in contracts in the construction and energy industries.  Many industry players reflexively  insist on arbitration despite its pitfalls.  While arbitration has its place, a bench trial is a viable alternative to arbitration. Bench trials are simply trials to a judge rather than a jury.  Parties may agree to a bench… Continue Reading

Pay-If-Paid Clauses: A Powerful Shield From Payment

Posted in Construction Contracts

Subcontracts typically contain either a pay-when-paid clause or a pay-if-paid (i.e., contingent payment) clause.  A pay-when-paid clause only deals with the timing of the obligation to pay the subcontractor.  In other words, the general contractor’s obligation to pay the subcontractor (or the supplier) is due at some point in time after the the general contractor… Continue Reading

Joint Check Agreements

Posted in Construction Contracts

If you supply construction materials and/or equipment then you likely have encountered a joint check agreement.  For those that have not yet encountered this arrangement, a joint check agreement is a credit facility frequently used to help subcontractors with unestablished credit obtain supplies and services on credit from a supply house.  For example, if you… Continue Reading