Subcontractor Breached Contract by Refusing to Perform Extra Work as Directed by Contractor unless it First Received Change Order

by Kent Holland | Jan 9, 2023 | Newsletter Article

A concrete sub-subcontractor breached its contract by refusing for perform extra work as directed by its contractor unless the contractor agreed upon the compensation amount to be paid and executed a change order.  The court held that the language of the subcontract...

Failure to file Certificate of Merit Requires Case to be Dismissed with Prejudice

by Kent Holland | Jan 9, 2023 | Newsletter Article

Where a contractor’s laborer died from poisonous gas exposure when he went into a manhole, his family filed suit against an Engineering firm alleging that the firm was negligent is causing the individuals death.  They failed to include a certificate of merit with...

Good Faith and Fair Dealing Duty was Violated by Prime Contractor who Settled Claim with its Client without Including Subcontractor Claim

by Kent Holland | Jan 9, 2023 | Newsletter Article

The covenant of good faith and fair dealing “prohibits arbitrary or unfair acts by one party that work to the disadvantage of the other”.  In this appeal, the court held that the district court properly applied the covenant of good faith and fair dealing when it...

Additional Insured Prime Contractor Entitled to be Defended under Subcontractor CGL Policy Where Plaintiff Merely Alleged “Damage to Other Property”

by Kent Holland | Dec 16, 2022 | Newsletter Article

A Commercial General Liability (CGL)Insurance carrier had a duty to defend a property developer who was an additional insured under a subcontractor’s CGL policy in a lawsuit by a homeowner association (HOA).  While a lower court granted the carrier summary judgment...

Economic Waste Doctrine Might Prevail – but no Summary Judgment Granted

by Kent Holland | Dec 16, 2022 | Newsletter Article

A subcontractor on a federal project installed fiber-reinforced manholes instead of the specified steel-reinforced manholes meeting the ASTM requirements.  When government demanded that these be replaced (after they had already been installed) the subcontractor argued...

Court will not litigate case until parties first go through mediation as required by contract

by Kent Holland | Dec 16, 2022 | Newsletter Article

Subcontractor filed suit against the prime contractor seeking money allegedly owed.  Prime moved to dismiss the suit or stay the suit until the parties could submit the dispute to mediation as required by contract.  The court agreed that because the contract clearly...