Kiss Today Goodbye and Point Me Toward Tomorrow: COVID-19 and Liquidated Damages
So, what exactly happens when you kiss today goodbye, figuratively of course, in a construction project with a liquidated damages provision? Although the past few years of critical labor shortages in subcontractor trades have tested the ability to complete projects within the contract time and contract price, the COVID-19 pandemic presents a challenge on a completely different order of magnitude.
As construction projects shut down due to illness, manpower shortage, or restrictions on travel, there are a few helpful things to know about liquidated damages clauses.
1. Liquidated Damages
COVID-19 and Force Majeure: In the Land of the Blind, The One-Eyed Man is King
How do your contracts address delays and financial implications associated with the novel coronavirus and COVID-19? Is additional time or additional compensation allowed? Under what circumstances? These are just a few of the questions many professionals in the construction industry have begun asking this week as more counties and cities in Texas impose stay at-home and business cessation orders. The COVID-19 page of our website contains all the current stay-at-home orders issued by counties and large cities in Texas.
To find some answers, we will examine a few common contract provisions
Achieving The Impossible: COVID-19 and Impossibility of Performance
What happens when a natural event or government order makes your work impossible to complete on time or budget or at all? What happens if a government inspector is prohibited or physically incapable from inspecting the work at critical milestones? This question has found new-found relevance with the novel coronavirus and COVID-19 pandemic (collectively, “COVID-19”).
In the wake of COVID-19, Texas counties and cities have issued a patchwork of stay-at-home orders. The COVID-19 page of our website contains all the current stay-at-home orders. The majority of these orders deem constru
Announcing Gerstle Snelson, LLP
We have exciting news to share with you! As of this morning, March 9, 2020, Gerstle Minissale & Snelson, LLP is Gerstle Snelson, LLP. Although our name is shorter, our long-standing dedication to you and our focus on the construction industry and professional liability matters remains undiminished.
The origin story, so to speak, of our name change starts a little over three years ago when Dana Minissale, one of our firm’s founding partners, decided to redirect her advocacy skills towards a slightly different audience by joining the career services office of the SMU Dedman School of L
What You Don’t Know about Additional Insured Coverage May Hurt You: 5 Tips to Avoid the Pain
What if there was a magical way of shifting financial responsibility for losses to another party’s insurance company? There is, though the magic is not always the good kind or, for that matter, the intended kind.
Additional insured provisions are one of the more effective forms of risk transfer among owners, contractors, subcontractors and suppliers. Typically, the owner seeks additional insured status from the general contractor, and the general contractor from its subcontractors.
Not all additional insured coverage is created equal. It is also prudent to consult local counsel when revi