VOLUME 3   ISSUE 16   APRIL 18, 2014


By Bruce Jervis


Some states have enacted statutes criminalizing contractor diversions of contract payments. If a prime contractor utilizes those funds without first paying its subcontractors and suppliers for labor and materials furnished to the project, the responsible individuals are subject to criminal prosecution.


A recent example comes from Virginia. Subcontractors and suppliers complained they had not been paid in full. The prime contractor’s principal could not account for all the contract payments he had received; some of the funds had been commingled with his personal accounts. This created a presumption of intent to defraud the subs. The individual’s criminal conviction was affirmed. ... Read more.


Featured in this Week’s Construction Claims Advisor:

  • Misuse of Contract Payments Leads to Criminal Conviction
  • Reliance on Soils Information Was Unreasonable
  • Bid Listing Statute Clarified in Nevada


By Steve Rizer


A recent presentation employing the theme of “thinking small” generated a very large amount of advice for making facilities more energy efficient. “Energy-conservation projects don’t need to have high costs and long paybacks,” Eric Connery, facilities administrator for the Connecticut General Assembly, told professionals attending the International Facility Management Association’s Facility Fusion 2014 conference last Tuesday in National Harbor, Md. “Look at energy conservation as an ongoing project. Think small and think in terms of leveraging the money available in the best way possible.” As for how to go about doing this, click here to read some of the suggestions he offered during his presentation, entitled “Saving Energy and Money One Watt at a Time.”


By Steve Rizer


Building information modeling (BIM) “is something that facility management, as a profession, has to embrace.” This is one of the first comments International Facility Management Association (IFMA) President Tony Keane made after christening the organization’s inaugural “BIM Conference for Owners, Facility Managers & Service Providers” last Monday in National Harbor, Md. “A lot of people in the facility management industry are still trying to really understand how [BIM can] help them and how it can impact them. The funny thing is that the architecture and design community is still asking some of those questions as well, so it makes it even more complex and more complicated for the facility management profession.” Click here to read more about the challenges facing the facility management industry





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