Construction Law

Almost all jobs in the construction industry begin with an estimate for the work to be done. The client then decides if they will hire you or another contractor. If you are hired, you should have a contract ready for your client to sign.  The purpose of a construction...

Positive word of mouth is important for construction companies. Most clients will start their search by talking to people they know and trust rather than doing an online search. If you want paying clients and good jobs, you need to protect your company against claims...

When a client contacts you to complete a job, you’ll likely give them an estimate for the project. The client then decides if your company or another will get the job. Clients who hire you for a job should expect that they’ll have to sign a contract.  A construction...

Mechanic’s liens are useful when properly implemented. However, an improperly executed lien will waste time and money, and the lienholder will never reap the expected rewards. To avoid these pitfalls, consider the following misconceptions about liens: Myth 1: Any...

Under Arizona’s Stop Notice statutes, a contractor may serve a notice on the owner and/or construction lender to let them know that a payment is still owed. The owner or construction lender must then withhold that amount from the next disbursement until the dispute...

The Arizona Prompt Payment statute requires a contractor to pay “within seven days of receipt by the contractor or subcontractor of each progress payment or final payment, the full amount received for such subcontractor’s work and materials supplied based on work...

Very few things can send a successful business into a tailspin more effectively than a lawsuit. Whether a construction business is forced to file a lawsuit or whether it is being sued, the litigation process will drain the company’s resources, including money,...

Many construction contracts are written so that the owner will pay for labor and materials by way of joint checks. In the typical scenario, a contractor will submit a payment application itemizing work performed by various subcontractors during that month’s...

Signing a contract for a large job can be both exciting and intimidating. The prospect of working on a high-profile project conjures thoughts of increased visibility for your company and additional work resulting from a job well done. Unfortunately, on almost any...

General contractors are often reluctant to withhold payment owed under a subcontract because each party’s obligations are clearly spelled out. This clarity is often lacking when additional work is done, either because the additional work was never requested in...