By Bruce Jervis
Joint check agreements are used when a party down the contracting chain has payment concerns regarding the party with whom it has contracted. A subcontractor may ask a project owner to issue checks payable jointly to the prime contractor and subcontractor. A lower-tier subcontractor may ask a prime to issue checks payable jointly to the subcontractor and lower-tier subcontractor. All three parties must agree to the arrangement.
When structured properly, joint check arrangements are an effective tool for addressing the payment concerns of the party down the chain while protecting the interests of the issuer of the joint checks. These arrangements do pose some challenges, however, primarily regarding the administration and allocation of the joint check proceeds. A recent case out of Delaware raised another, somewhat surprising, issue. ... Read more.
Featured in this Week’s Construction Claims Advisor:
- Joint Check Agreement Did Not Allow Credit for Incomplete Work
- Engineer Denied Payment due to Municipal Misfire
- Contract Administrator Misunderstood Government’s Own Specifications
By Steve Rizer
ConstructionPro Week has profiled 22 green building publications that various government agencies and trade associations have released this year. The publications cover a wide range of topics, from strategies for achieving net-zero homes to energy modeling to commissioning to indoor air quality. The profiles include abstracts and such details as document titles, page lengths, authors, and other information. In many of the profiles, links to the reports are included, while ordering information is included within the other profiles. ... Read more.