Recovery of Attorney Fees and Interest Under The Georgia Prompt Pay Act

In November 2010, the Georgia Court of Appeals interpreted the Georgia Prompt Pay Act to mandate the recovery of reasonable attorney fees to a prevailing party. 

The Prompt Pay Act

Georgia’s Prompt Pay Act (the “Act”) generally provides additional remedies to a contractor or subcontractor where they perform construction work on property and the owner of the property fails to remit payment within statutory deadlines.  Where the Act applies, it provides for an award of attorney fees and interest on late payments.  In Electric Works CMA, Inc. v. Baldwin Technical Fabrics, Inc., the court explained that attorney fees are recoverable without the necessity of showing bad faith. Continue reading

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AHC Attorney David Cook to Present on Energy Savings Projects at GlobalCon 2012 Energy Conference

AHC attorney David R. Cook will speak at the Association of Energy Engineers’ GlobalCon 2012 conference in Atlantic City. He will discuss issues related to Energy Efficiency and Energy Savings Projects. Energy savings projects present complicated construction issues for owners, contractors, and other project participants. In this seminar, David will focus on using energy savings performance contracts and other means to finance the construction costs of energy savings projects. David also offers instructional in-house seminars for companies or groups interested in energy savings projects.

More information about GlobalCon 2012 is available here.  To read more about AHC’s Energy Construction Practice Group, click here.

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Georgia Supreme Court Invalidates Construction-Related Indemnity Provision

In November 2011, the Georgia Supreme Court broadly interpreted Georgia’s anti-indemnity statute to preclude a developer’s indemnity claim against a homeowners’ association.  Continue reading

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Guest Blogger, Accountant Alan K. Clark Discusses IRS Employment Issues

With close margins and scarce profits, contractors may look for some edge with cost cutting plans that may actually be very expensive in the long run, if audited, resulting in expensive additional taxes, penalties, and interest.  But knowing the rules can give the contractor an actual edge with personnel costs. Continue reading

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Considerations in Public Owner and Governmental Energy Efficiency Projects

Public owners, such as state agencies, cities and counties, and school districts, are considering the advantages of energy efficiency projects.  The advantages include goodwill in the community, environmental benefits, and utility cost savings.  Such projects can involve an array of legal, engineering, technical, and financial issues.  This article addresses a number of considerations that, if not addressed early on, can bring unwanted surprises.  Continue reading

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No GIRMA Coverage for Subcontractor Claim

The Georgia Court of Appeals recently held that claims against municipal governments by subcontractors are not covered by GIRMA’s risk management policy due to the exclusion for breach-of-contract claims. 

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New Residential Roofing Law Impacts Roofing Contracts and Marketing

After many of the recent storms crossing Georgia, residential roofing contractors became increasingly involved with assisting homeowners in procuring the necessary repairs to storm-damaged roofs.  Contractors negotiated with insurance companies, provided documentation to insurance companies, and ultimately performed the necessary repairs to the storm-damaged roofs.  In 2011, the Georgia General Assembly amended the Georgia Fair Business Practices Act in a manner that will directly impact these residential roofing contractors.

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AHC Attorneys Speak at the World Energy Engineering Congress

AHC attorneys David R. Cook and Roland F. Hall will speak at the 34th annual World Energy Engineering Congress in Chicago.  They will discuss the development of small power projects such as renewable energy developments.  They have also been asked to discuss energy efficiency and energy savings projects. 

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Professional vs. Ordinary Negligence Claims Against Contractors and Engineers

The Georgia Court of Appeals recently addressed the distinction between professional negligence vis‑à‑vis simple negligence.  This distinction was particularly important in Hamilton-King v. HNTB Georgia, Inc., 2011 WL 2716073 (2011) because the trial court previously excluded Plaintiffs’ expert testimony, an essential part of its professional negligence claim.  Without the expert testimony, Plaintiffs’ professional negligence claim was doomed.  The only remaining question was whether Plaintiffs also asserted claims of simple negligence.  Finding that the claims were based solely on professional negligence, the case was properly dismissed.

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Court Provides Guidance on Economic Loss Rule and Indemnification Provisions

In City of Atlanta v. Benator, 310 Ga. App. 597 (2011), the Georgia Court of Appeals provides guidance regarding the application of the economic loss rule in the construction context and the interpretation of indemnification provisions in construction contracts.

In Benator, City of Atlanta residents filed putative class action suits against the City and its contractors alleging that they were overcharged for water consumption after the City’s contractors installed new automatic meter reading technology.  Continue reading

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