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Implied Contract Allows Subcontractor to make claim directly against project Owner for Unjust Enrichment and Get Around Pay-if-Paid Clause

by Kent Holland | Apr 3, 2018 | Newsletter Article

Pay-if-paid clauses are held by this decision to be enforceable in the state of Kentucky.   This, however, did not prevent a subcontractor from recovering its costs for performing extra work. The pay-if-paid clause of a subcontract prevented the subcontractor from...

Pay-if-Paid Clause Enforced to Deny Payment to Subcontractor (Missouri law)

by Kent Holland | May 31, 2017 | Newsletter Article

Where a subcontract clause stated that the subcontractor agreed that the prime would not be responsible to make any payment to the Sub “unless and until [Prime] receives payment … from Owner of the project,” a Missouri appellate court found that the language was clear...

“Pay-when-paid” treated as a “Pay-IF-paid” due to Condition Precedent Language (Virginia law)

by Kent Holland | May 31, 2017 | Newsletter Article

A question sometimes arises as to whether a payment clause in a subcontract creates an absolute bar to subcontractor payment in the event an owner fails to pay the prime contractor or creates merely a time frame for paying the subcontract, thereby requiring payment...

Choice of Law and Forum Selection Clause in Design Subcontract Unenforceable in California

by Kent Holland | Feb 1, 2016 | Newsletter Article

J. Kent Holland, J.D. ConstructionRisk, LLC On a California project, where an architect’s agreement with its landscape design subconsultant called for all disputes to be resolved by the courts in Texas, applying Texas law, a California appellate court held the forum...

“Condition Precedent” Means Pay IF Paid

by Kent Holland | Dec 17, 2014 | Newsletter Article, pay when paid

By J. Kent Holland, Esq. ConstructionRisk Counsel, PLLC Subcontracts may state that the subcontractor will be paid when the prime contractor is paid, or that the subcontractor will be paid only if the prime contractor is paid, and still others state that payment of...
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