Construction Contracts: Best Practices for Payment, Changes and Damages Provisions

Outline

1. Strategies for key payment provisions
   1. Time allowed for making payment (and penalties for being late)
   2. Retainage clauses — Do’s and Don’ts
   3. Preserving the ability to withhold, cancel or offset payments
   4. Proper conditions for final payment (and avoiding waiver of claims upon payment)
2. Drafting appropriate changes clauses
   1. Types of changes (directives vs. approved changes vs. unapproved changes)
   2. Formulas for partial payment if changes are disputed
   3. Key ingredients to prevent surprise claims for extras
   4. What actually constitutes a compensable change?
3. Strategies for waivers, damages and dispute resolution provisions
   1. Lien waiver forms — Are they worth the paper they are written on?
   2. The pros and cons of consequential damage waiver clauses (and alternative language to consider)
   3. Generalized waivers for indirects, consequentials, exemplary and punitive damages
   4. Limits of liability — knowing when (and how) to push back
   5. Five key ingredients in dispute resolution clauses

Benefits

Attendees at this webinar will leave with a high-level understanding of the issues, a checklist of key considerations in each area addressed, and a toolbox of alternative approaches to get each contract over the goal line to execution.