Businesses who are engaged in construction related activities, whether on public or private projects, can anticipate that there will be new and challenging legal issues related to COVID-19. While COVID-19 continues to affect your supply chain and work efficiencies, the typical contract force majeure and delay clauses may no longer offer you remedies to address COVID-19 cost and time impacts.  Without a doubt, COVID-19 delays are now foreseeable and as such it is important to make sure your future construction contracts include provisions that will help minimize the continued COVID-19 adverse impacts. Below are couple of options to consider when entering
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Signed by President Trump on March 18, 2020, The Families First Coronavirus Response Act (“FFCRA”), requires employers to provide their employees with paid sick leave and expanded family and medical leave for reasons related to COVID-19. At first blush, it appears the FFCRA picks up where the FMLA leaves off and requires businesses with fewer than 500 employees to pay sick and family medical leave. Indeed, DOL’s FFCRA pamphlets, posters and summary sheets indicate employers with fewer than 500 employees are on the hook.  But, are all employers with fewer than 500 employees really on the hook? A more thorough review of the Final Rule as
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I hope you and your families are well. The last couple of weeks have turned our normal upside down and literally wreaked havoc on virtually every part of the economy and your business.  Below are a four “things to think about”, during these crazy times. Consider Business Interruption Insurance Business interruption coverage is triggered when the policyholder sustains “direct physical loss of or damage to” covered property for certain causes of loss. The “physical loss” or damage does not necessarily require that a physical alteration to the property occurred. Courts have interpreted physical loss to mean property that has been rendered uninhabitable or
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The U.S. Small Business Administration (SBA) implemented the 8(a) Business Development Program to benefit small business owners who are either socially or economically disadvantaged by limiting competitive bidding for certain projects to only businesses that participate in the program. Legal Qualifications First and foremost, your business must qualify as a small business under the North American Industry Classification System (NAICS) code and must be owned (51 percent or greater) by at least one socially and economically disadvantaged person who is of good character and shows the potential for success in the company. You must prove your disadvantaged status by a
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The Davis Bacon Program, also referred to as the Davis-Bacon Act or DBA (40 U.S.C. §§ 3141 – 3148), was initially enacted in 1931 to provide wage protection to construction workers. Specifically, the DBA requires federal contractors to pay construction workers the prevailing local wage rate, thereby protecting local construction workers from contractors who bid less than the local wage rate on a construction project. The U.S. Department of Labor (DOL) and federal contracting agencies have joint responsibility for enforcement of the DBA. Scope The DBA applies to contracts involving the construction of public buildings and works located in the
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Bidding on and performing on government contracts can be a complicated but lucrative process. To benefit from undertaking a government contract, it’s important for companies to understand the facets of these agreements. What to Know Before You Bid: 4 Essential Tips Before you invest time, money and resources into bidding on a government contract: Determine whether submitting a bid is in your company’s best interests, and Position your bid for approval. As you prepare to bid on your first government contract: Register your business. Your business must have a Data Universal Numbering System (DUNS) number, which you can get for free
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OSHA conducts inspections every year; in 2017, a total of 32,396 federal and 43,551 state OSHA inspections took place. If you have concrete policies and procedures in place that ensure the safety of all your employees, you don’t need to worry about OSHA representatives showing up at your worksite year after year. With that said, you should always be ready for the possibility of an OSHA inspection. In fact, OSHA inspectors generally conduct surprise examinations without giving you prior notice. Be sure to prepare for such an inspection by understanding why they take place and which procedures your company should follow when
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A well-written construction contract can serve as a roadmap for a project, clarifying the work scope, project duration and costs, as well as obligations and risks accepted by the involved parties. Consequently, construction contracts can: Facilitate the completion of projects Compel compliance with specific procedures, budgets, and timelines Establish guidelines for certain possibilities Delineate how to address and resolve disputes To devise a well-written construction contract, you should include certain essential terms. Please be aware that the specifics of your project may require additional terms. Whether you are a contractor, developer or any other party involved in a construction project,
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If you work in the construction industry, you’re aware of the many local and federal building regulations that you must adhere to when beginning a new project. You’re also familiar with the potential legal disputes that might arise when working with other construction professionals, including developers, architects, contractors, and suppliers. The more parties involved, the higher the risk of legal issues, particularly in terms of contract disputes and workplace safety issues. Because many issues can arise when working in this industry, be sure to look out for signs that indicate you should contact a qualified construction lawyer for legal assistance.
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