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Contractors and Subcontractors

Ga. Supreme Court Interprets Intent and Scope of Atlanta’s OCIP

Read the opinion here: Case – ArcherWestern v Pitts

Construction owners occasionally use an Owner Controlled Insurance Program (OCIP) to insure personal and property damage on their projects.  The Georgia Supreme Court recently interpreted the City of Atlanta’s OCIP for construction of the Hartsfield-Jackson Atlanta International Airport.  After a sub-subcontractor’s employee was killed on the project, his estate sued the City of Atlanta and several contractors, alleging that they failed to ensure the subcontractor at fault maintained the level of insurance required by the OCIP program.  Instead of the required $10,000,000 in bodily-injury coverage, the subcontractor at fault maintained only $1,000,000 in coverage. Read More »Ga. Supreme Court Interprets Intent and Scope of Atlanta’s OCIP

Contractual Limitations Period Must Have Clearly Identifiable Starting Point

Many construction-related contracts contain a contractual period of limitations — a contract term that establishes a period of time during which a party must file a claim against the other party (“limitations provision”).  Such a contractual provision precludes an aggrieved party from filing a lawsuit after the period expires.   They are generally enforceable in Georgia.

In Carrier Corp. v. Rollins, Inc., the Court of Appeals of Georgia interpreted a limitations provision contained in a $2 million contract for installation of an HVAC system at the owner’s headquarters.  The owner filed suit alleging that the HVAC system installed by the contractor never functioned properly. Read More »Contractual Limitations Period Must Have Clearly Identifiable Starting Point

Lien Priority: Not Always Just a Matter of Filing

Non-payment can place contractors, subcontractors, and suppliers in a precarious cash-flow situation.  On most jobs, they outlay their capital and hard work in advance of payment by the owner.  They rely on the owner to pay the correct amount at the time provided in the agreement.  When private owners fail to pay, contractors, subcontractors, and some suppliers can generally resort to filing liens to encourage payment.  As one case illustrates, liens do not always provide adequate security of payment. Read More »Lien Priority: Not Always Just a Matter of Filing

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.

Read More »New Residential Roofing Law Impacts Roofing Contracts and Marketing

Public Contractor Marketing: Am I a Lobbyist?

Many vendors to state and local governments (such as contractors, subcontractors, and architects) market their services to public officials and governmental employees.  But they rarely consider such marketing efforts to be lobbying, nor would they consider themselves to be lobbyists.  Before the recent amendments to the Ethics in Government Act (the “Act”), they may have unwittingly qualified as lobbyists — and in violation of the Act.

Read More »Public Contractor Marketing: Am I a Lobbyist?

Impact of the 2011 Illegal Immigration Law on Public Works Construction Contractors and Subcontractors

In the 2011 Regular Session, the Georgia General Assembly enacted the Illegal Immigration Reform and Enforcement Act of 2011.  The purpose of the Act was to increase compliance — and punish non-compliance — with the federal E-Verify program.  While the most notorious portion of the Act requires certain employers to confirm the legal immigration and employment status of employees, it specifically addresses public works construction.

A prior AHC Construction Law Alert discussed the 2010 and 2006 revisions to Georgia law governing employment verification.  The Act clarifies existing rules and establishes new rules governing public contractors, and their subcontractors, that contract with public owners for the “physical performance of services.”

Read More »Impact of the 2011 Illegal Immigration Law on Public Works Construction Contractors and Subcontractors