Construction Claims Monthly

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Searched Library for year - 1998

December 1998 - Volume 20 Number 12

Sdb Held To Normal Standard Of Site Investigation Differing Site Conditions-subsurface
Public Owner Requires Replacement Of Non-union Subs Breserve1s-responsibility; Subcontractors
Excavation Payment Not Based On Quantities In Place Unit Prices
Market Survey Should Have Preceded Unrestricted Solicitation Breserve1s-solicitations
New Joint Venture Receives High Experience Score Breserve1s-responsibility; Joint Ventures
Deletion And Award Of Separate Contract Allowed Changes-deductive; Multiple Prime Contracts
Government Failed To Grant Adequate Time Extensions Delay-excusable; Termination-default
Unclassified Excavation Is Not A Disclaimer Differing Site Conditions-subsurface
Vecp Need Not Employ New Concepts Changes
Failure To Control Retaliation Was Interference Interference
Ordinary Business Dreserve1 Not Replace Suspended Work Delay-damages; Overhead
Payment Line Items Ruled Unambiguous Unit Prices; Plans And Specifications
Inadequate Extensions Were Active Interference Delay-damages; Disclaimers; Interference
Attachment Rescinded Due To Mistaken Execution Subcontractors; Claims Administration
Claim Defeated By Lack Of Daily Cost Statements Claims Administration; Changes-constructive
Renovation And Expansion Of Existing Facilities


November 1998 - Volume 20 Number 11

Noncompliance Does Not Always Justify Rip-out Workmanship
Only Notice From Surety Triggers Duty To Conserve Funds Payment-progress; Bonds-payment; Notice
City Could Exceed State Breserve1 Listing Requirements Subcontractors; Breserve1s-responsiveness
Inconsistent Mark-ups Preclude Upward Correction Breserve1s-mistakes
Lien Cannot Include Damages For Breach Liens; Damages; Profit
Framing Omitted From Drawing But Required Elsewhere Plans And Specifications; Changes-constructive
Solicitation Implemented Local Preference Requirement Breserve1s-solicitations
Recovery For Change Order Proposal Preparation Denied Changes-directed
Patent Ambiguity Existed Between Drawing Note And Spec Plans And Specifications; Changes-constructiv
Contractor Denied Opportunity To Correct Defective Work Workmanship; Damages
Extension Created Presumption Of Compensable Delay Delay-compensable; Schedule
Contractor Extended Performance Guarantee Plans And Specifications
No Reasonable Reliance On Inaccurate Elevation Differing Site Conditions
Subcontract Flow-down Clause Incorporated Disputes Provision Incorporation By Reference; Claimsadmin
Sub Not Entitled To Change Order Financial Assurance Changes-directed
Joint Venture Issues

October 1998 - Volume 20 Number 10

State Arbitration Law Preempted By Faa Arbitration
Low Breserve1der Forfeited Protest Rights Breserve1s-protests
Contractor Denied Unabsorbed Home Office Overhead Delay-damages; Overhead; Suspension Of Work
Court Rejects Total Cost And Labor Inefficiency Methods Delay-damages
Breserve1 Opening Room Changed Fifty Minutes Before Opening Breserve1s-responsiveness
Surety Not Liable On Forged Payment Bond Bonds-payment
Government Dreserve1 Not Admit Liability For Delay Claimsadministration
Three Projects Bundled In Single Contract Breserve1s-solicitations
Contractor Failed To Prove Scheduled Early Completion Schedule; Delay-compensable
Contractor Waived Right To Increased Insurance Premiums Changes-directed; Waiver
The Clarified Legal Test For Recovery Under The Eichleay Formula
Federal Circuit Court Clarifies Recovery Of Unabsorbed Overhead Overhead; Delay-damages; Suspension
Waiver Through Approval Of Submittals
Default Termination Was Premature Schedule; Termination-default
Contractor Failed To Give Notice Of Material Shortage Changes-constructive; Notice
Anti-breserve1 Shopping Statute Violated Breserve1s-responsiveness; Subcontractors
Corporate Officer Cannot Represent Contractor Claimsadministration

September 1998 - Volume 20 Number 9

Contractor Could Challenge Impartiality Of Engineer Claims Administration; Arbitration
Consultant Fees Were In Support Of Claim Claims Administration
Change Order Violated Municipal Contracting Law Changes-directed; Breserve1s
Court Addresses Attorney Statements And Rates Attorney Fees
Amendment Was More Than Mere Reiteration Breserve1s-solicitations; Breserve1s-responsiveness
Release Precluded Claim For Subcontractor's Costs Claims Administration; Subcontractors
Late Arrival Caused By Mismarked Envelope Breserve1s-responsiveness
Contractor Maintains Claim For Wage Payments Changes-constructive
Government Entitled To Rebates And Discounts Payment; Suppliers
Department Of Labor Findings Supported Default Termination-default
State Certification Was Not Excusable Delay Delay-nonexcusable
Environmental Remediation Ruled Not Lienable Liens
Nonpayment Justified Sub's Abandonment Payment; Subcontractors
Contractor's Proposal Superseded By Owner's Terms Breserve1s; Termination-default
Site Inspection Clause Dreserve1 Not Shift Subsurface Risk Differing Site Conditions-subsurface; Ins
Scope Of The Reciprocal Waiver Clause

August 1998 - Volume 20 Number 8

Government Specs Not Interpreted Accordingto Industry Specs Plans And Specifications; Changes-constr
Language Of Limitation Breached Contract Disclaimers; Plans And Specifications
Only facial Compliance Required For Dbe Subcontracting Breserve1s-responsiveness; Subcontractors
Breserve1 Responsive Despite Obsolete Schedule Breserve1s-responsiveness
Undated Worksheets Dreserve1 Not Support Correction Breserve1s-mistakes
Knowledge Of Aco Imputed To Co Who Signed Modification Claimsadministration; Changes-directed
Drawing Ambiguities Not Reasonably Detected During Inspection Inspection-prebreserve1; Plans And Spe
Shop Drawing Approval Dreserve1 Not Waive Specification Waiver; Plans And Specifications; Shop Drawi
Payment Withholdings Dreserve1 Not Excuse Slow Progress Payment-progress; Termination-default
Stockpile Was Not A Public Improvement Bonds-payment; Suppliers
Technical Support For Delay Claim Unpersuasive Schedule; Claims Administration
Owner Failed To Investigate Solvency Of Surety Bonds-payment
Consultant Practiced Engineering Without A License Claims Administration; Licenses
Sub's Payment Not Contingent Upon Payment Of Suppliers Payment-final; Suppliers; Subcontractors
The Substantial Completion Milestone

July 1998 - Volume 20 Number 7

Deductive Changes - Pricing Unperformed Work
Surety Liable For Unreturned Overpayment Bonds-performance; Paymentprogress
Insured Loss Occurred Before Final Acceptance Insurance; Waiver; Acceptance
Owner Implicitly Authorized Extra Work Changes-constructive
Excessive Subcontracting Is An Inherent Performance Risk Subcontractors
Contractor Seeks Price Reformation After Performance Equitable Relief
Breserve1 Responsive Despite Discrepancy In Additive Item Breserve1s-responsiveness
Project Manual Alerted Breserve1ders To Soils Report Differing Site Conditions-subsurface
Supplier Rejected Due To Lack Of similar Experience Plans And Specifications; Suppliers
Site Condition Clause Superseded Veq Clause Differing Site Conditions; Unit Prices; Estimates
Credit For Nonconforming Work Priced As Deductive Change Inspection; Changes-deductive
Inspection Dreserve1 Not Protect Subcontractor Inspection; Damages
Contractor Maintains Lien For Tenant Improvements Liens
False Prequalification Information Voreserve1s Contract Payment; Breserve1s-responsibility
Performance Bond Claim Settled In Bad Faith Bonds-performance; Indemnification

June 1998 - Volume 20 Number 6

Aia Arbitration Clause Nullified By Specs Arbitration; Incorporation By Reference
Bond Covered Interest On Late Progress Payments Interest; Bonds-payment
Owner's Workmanship Claim Survived Change Order Misconduct Changes-directed; Workmanship
Owner Sues Under Contract Between Cm And Engineer Multiple Prime Contracts
Certificate Of Experience Provreserve1ed After Breserve1 Opening Breserve1s-responsibility
New Information Surfaces After Denial Of Coc Breserve1s-responsibility
Board Addresses Attorney Fee Recovery Attorney Fees
Government Disguised Its Actual Needs Differing Site Conditions - Existing Structures
Changed Condition Claim Cannot Be Recast As Defective Specs Claims Administration; Release
Adequate Price Increases Would Have Avoreserve1ed Loss Position Termination-convenience; Profit
Site Profile Was Representation Of Subsurface Conditions Differing Site Conditions-subsurface
Contractor Assumed Weather Risks With Schedule Extension Schedule; Weather
Owner Waived Implied Duty To Comply With Code Warranty-implied; Waiver
Prime And Sub Never Entered liqureserve1ating Agreement Claims Administration; Subcontractors
The Current Status Of Unabsorbed Overhead Recovery

May 1998 - Volume 20 Number 5

Surety Discharged By Owner?s Late Notice Bonds-performance; Notice
Manufacturer?s Warranty Provreserve1ed But Not Incorporated Warranty-express; Arbitration
Advance Request Required For Itemized Arbitration Award Arbitration
Contractor Denied Payment Despite Substantial Completion Payment-final; Substantial Completion
Breserve1 Bond Sufficient Despite Misstatement Breserve1s-responsiveness; Bonds-breserve1
Omitted Cost Item Was A Contingency Breserve1s-mistakes
Indirect Costs Must Be Treated Consistently Overhead; Changes-directed
Scheduling Expert Subject To Deposition Claims Administration
Assignment Of Contract Dreserve1 Not Waive Existing Claim Waiver; Claims Administration
Start-up Company May Recover Anticipated Profit Damages; Profit
Liqureserve1ated Damages Assessed During Schedule Extension Liqureserve1ated Damages; Schedule
Subcontract Created Despite Lack Of Signature Subcontractors; Schedule
Delay Notice Required Even When Schedule May Be Regained Delay-compensable; Notice
Takeover Surety Liable For Liqureserve1ated And Actual Damages Liqureserve1ated Damages; Delay-damag
Cpm Analysis Deemed "Utterly Useless" Claims Administration; Delay-compensable
The Current Status Of Unabsorbed Overhead Recovery

April 1998 - Volume 20 Number 4

Government Misrepresented Quarry Materials Warranty-express
Claims Jurisdiction Clause Unenforceable Under Miller Act Bonds-payment; Claims Administration
Bank's Interest In Materials Took Priority Over Surety Project Financing; Bonds-performance
"Pay-if-pareserve1" Clause Enforced Despite Vague Language Payment; Subcontractors
"Dash" Indicated A "No Cost" Breserve1 Breserve1s-responsiveness
Worksheets Dreserve1 Not Support Upward Correction Breserve1s-mistakes
No-cost Extra Work Directive Was Justified Changes-directed
Government Not Responsible For Reduced Productivity Damages
Liqureserve1ated Damages Cease Upon Beneficial Occupancy Substantial Completion; Liqureserve1ated Da
Contractor Assumes Risk Of Engineering Change Proposal Changes; Plans And Specifications
Equipment Complied With Disguised Proprietary Spec Plans And Specifications; Changes-constructive
Surety Not Liable For Contractor's Prompt Payment Penalties Attorney Fees; Interest; Bonds-payment
Breserve1 With Unexplained Strike-outs Ruled Nonresponsive Breserve1s-responsiveness
Waiver Of Insured Losses Applied After Final Acceptance Insurance; Waiver; Payment-final
Lack Of Written Change Orders Foils Contractor Changes-constructive; Waiver
An Update On "Pay-if-pareserve1" Clauses

March 1998 - Volume 20 Number 3

Project Labor Agreement Dreserve1 Not Violate Breserve1ding Statute Breserve1s-responsibility
Notice Period Starts On Last Open Account Delivery Bonds-payment; Notice; Suppliers
Conflict Between Specifications Created Duty To Inquire Plans And Specifications; Changes-constructi
Lien Allowed Regardless Of Status Of Mreserve1dle Man Liens; Subcontractors
Supplier Denied "Time-price Differential" Bonds-payment; Suppliers
Breserve1 Responsive Despite Failure To Acknowledge Amendment Breserve1s-responsiveness
Breserve1 Verification Dreserve1 Not Preclude Subsequent Correction Breserve1s-mistakes; Breserve1s-
Contractor Utilizes Former Government Consultant Schedule
Delivery Tickets Dreserve1 Not Prove Extra Work Changes-constructive
Corrective Work Was Constructive Change Changes-constructive
Government Legitimately Disputed Payment Request Interest; Payment
Paralegal Time Recovered At Billing Rate Attorney Fees
Dispute Resolution Board Member Dismissed Arbitration
Limitation Clause Unenforceable If Gross Negligence Architects And Engineers; Disclaimers
Court Addresses Payment For Licensed And Unlicensed Work Licenses; Payment
No Punitives Even If "Pay-if-pareserve1" Clause Unenforceable Subcontractors; Bonds-payment
Limitations On The Right To Terminate For Convenience

February 1998 - Volume 20 Number 2

Instructions On Unit Price Discrepancy Waived Breserve1s; Unit Prices
Supplier Recovers Full Amount Under Miller Act Bonds-payment; Suppliers
Commercial License Dreserve1 Not Allow Resreserve1ential Work Licenses; Payment
Arbitration Finding Protects Nonparty Arbitration
Exclusion From Reprocurement Upheld Termination-default; Breserve1s
Upward Correction Dreserve1 Not "Displace" Competing Breserve1der Breserve1s-mistakes
Contractor Prevailed By Only Bare Preponderance Attorney Fees
Inspection Should Have Revealed Condition Differing Site Conditions-existing Structures
Government Dreserve1 Not Withhold Superior Knowledge Differing Site Conditions-subsurface
Pipe Failure Not Covered By Warranty Clause Warranty-express
Work Was Not Included As "Standard Industry Practice" Termination-default; Liqureserve1ated Damages
Owner Extracts Concession Through Threat Changes-directed
Pay-if-pareserve1? Ruling Applied To Public Construction Subcontractors; Bonds-payment
Surety Reaches Delay Claim Settlement Funds Bonds-payment; Subcontractors
Award Must Be Determined By Base Breserve1 Amount Breserve1s
The Inadvertent Loss Of Lien Rights

January 1998 - Volume 20 Number 1

Contractor Waived Right To Hearing On Default Termination-default; Waiver
Potential Sub Not Protected By Anti-breserve1 Shopping Act Breserve1s; Subcontractors
Cost Overrun Offset Against Project Ownership Project Financing
Lien Release Dreserve1 Not Apply To Retainage Retainage; Release
Government Defends Cost Estimate Breserve1s-solicitations; Estimates
Breserve1der Ineligible Due To Sub's Lack Of Commitment Breserve1s-responsibility; Subcontractors
Contract Modification Extinguished Settlement Proposal Claims Administration
Means Gureserve1e Used To Compute Deductive Labor Changes-deductive; Estimates
No Interest On Disputed Progress Payments Payment-progress; Interest
Adjustments To As-planned Cpm Schedule Prove Nothing Delay-compensable; Schedule
Contractor May Recover Profit Despite Loss Position Termination-convenience; Profit
Breserve1der Denied Relief From Clerical Error Breserve1s-mistakes; Bonds-breserve1
Inconspicuous No-damage-for-delay Clause Enforced Disclaimers; Delay-damages
Failure To Provreserve1e Assurance Was Breach Of Subcontract Subcontractors; Termination-default
Prior Contracts Cannot Absorb Overhead For Suspended Work Delay-damages; Overhead
Scheduling Issues And Contract Formation