Architect May be Liable to Unpaid Supplier
Certificate of Payment,Economic Loss Doctrine,Lien Waivers,Payment Bonds
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Where the project architect knew there was no payment bond and that subcontractor was not being paid, yet continued to certify payments to the general contractor and reduced the amount of retainage, it could be liable for breach of duty to use reasonable care to ensure payment was being made to subcontractors. The architect’s responsibilities [...]
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A subcontractor worked on a project for five months without being paid and then sued the A/E for negligence, claiming that the A/E owed it a duty, as a third party beneficiary, to assure that the contractor maintained a payment bond or paid the subcontractor before being given his progress payments. Plaintiff, subcontractor, argued that [...]
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