Volume: 4, Issue: 28 - 07/24/2015
By Bruce Jervis
Individuals who use their skill and efforts to enhance the value of real property receive special protections under numerous state statutes – and appropriately so. Laborers, living paycheck to paycheck, are granted priority claims to the contract proceeds. Mechanic’s liens, while primarily utilized today by corporate constructors, were originally designed to provide payment security to individual tradesmen. Read more.
Government construction contracting represents close to 45% of all U.S. non-residential construction spending, according to a recent review of Bureau of Commerce statistics. To learn more about our reader’s experiences and challenges on government contracts, ConstructionPro Network launched a survey this past May to find out how smoothly government contracts are run and to see what trends or patterns might emerge that may be worth further study. This article presents an overview of the survey results. Read more.
Volume: 4, Issue: 27 - 07/17/2015
By Bruce Jervis
Most project owners respect the contractual chain of command. Direct dealings are limited to the prime contractor(s) with whom they have a contractual relationship. Direct dealings with a subcontractor can hinder the owner’s ability to hold the prime responsible for the sub’s work or create an owner payment obligation to the sub. Read more.
The American Arbitration Association's (AAA) newly updated Construction Industry Arbitration Rules went into effect July 1, 2015. The updated rules include more than a dozen changed or new provisions intended to produce a more streamlined, cost-effective and tightly managed process. Read more.
Drones use by contractors is growing, and as reported last month, more than two-dozen construction industry firms have received FAA-issued exemptions allowing legal use of drones under specified conditions (including requirements for a pilot license).
ConstructionPro Week is conducting its 2nd annual survey on drone use in the construction industry. We want to find out what experiences you may have had or if you're contemplating drone use in the future. How would you use them? Would you fly them yourself or hire a service firm? Do you have any cost or safety concerns? Have you discerned any best practices in using drones? Take the short ConstructionPro Week survey and tell us what you've learned or what you would like to know! Please click here to take the survey. Respondents will be sent the survey results and receive future coverage of our drone use research. Also, please forward this email to others in your company for their input as well. Thank you.
Does the recent Supreme Court decision on same sex marriage affect you as construction contractors? In short, yes. Construction attorney Matt DeVries explains what construction contractors, or any employer for that matter, needs to be aware of in the way of benefits and harassment issues resulting from the decision -- click here for Matt's article.
Volume: 4, Issue: 26 - 07/10/2015
By Bruce Jervis
Federal construction contracts, as well as many other public construction contracts, are frequently procured on a “best value” basis. There is a trade-off between price advantage and technical advantage. This necessitates a detailed technical evaluation and a rating of the proposals. The solicitation stipulates the evaluation factors and the relative weight, or importance, of each factor.
On a recent federal procurement, the solicitation established three key technical evaluation factors and said each carried equal weight. During the evaluation of proposals, however, the agency focused on one of those factors as a “significant discriminator” and used it to choose one contractor over another. This was allowed because a discriminator, although not identified in the solicitation, need not be the most heavily weighted evaluation factor. Read more.
By Stephen Hess
2500 years ago, Greek philosopher Heraclitus of Ephesus said “You could not step twice into the same river.” His point was simple: a river changes constantly and your second step is necessarily into a somewhat different river. The same might well be said of construction projects: although the change is not as continuous as a river’s, construction projects never get executed exactly as planned.
Every day, however, thousands of changes are made in construction projects that are accomplished without strict attention to the contractual change order procedures. Read more...