New York construction law allows for the pursuit and collection of damages for delay, depending on the underlying project facts and contract terms. Where these delay claims are available, courts in New York recognize 7 major categories of delay, which may establish claims for compensation.
General Business Law Section 756 (and the sections that follow it), commonly known as the Prompt Payment Act, establish requirements for how soon a construction contractor or subcontractor must be paid and allow expedited arbitration in the event that prompt payment is not made for qualifying projects.
Continue reading “Violation of the New York Prompt Payment Act Does Not Bar Defenses”
Given the large number and variety of documents required to administer a construction project today (plans, specifications, contracts, etc.), the likelihood of discrepancies arising between these different sources is almost unavoidable. Do you know how these documents rate in terms of their authority?
Continue reading “Are We On The Same Page? How Construction Document Conflicts Are Resolved”
Architects in New York can be found liable for damages in various situations, depending on who claims damage, and the basis of the claim itself. For example, where an owner has a direct contract with the architect, the owner could bring forth a simple claim based on the contract or a claim based on a tort action. Such a tort action, based on negligence, is a claim for malpractice.
Continue reading “The Top 5 Avenues of Architect Liability in New York”
Everyone knows that time is money, and in particular this is true with New York construction contracts. It is also well known that delays are often part of the construction reality, along with change orders and extras. Delays impact owners, contractors and subcontractors.
Continue reading “New York Construction Delays, All Things Being Equal, They’re Not”
Many contractors and subcontractors go about their work feeling protected from claims for damages because their agreements contain certain exclusions. Some of these agreements will even have language stating ‘Not responsible for [X, Y, and Z]’. But the ruling handed down February 14, 2012, by the Supreme Court, Nassau County serves as a reminder that contractual indemnity provisions are more of a privilege than a right, and are not subject to enforcement automatically.
Continue reading “NY Supreme Court Strikes Contractor Liability Limitation Provision”
In a recent client conference, I was asked, “So what is arbitration, anyhow?” In the context of a construction claim or in seeking to prevent such a claim, there are several significant advantages that arbitration can provide in lieu of litigation. In today’s challenging business environment, this signifies awareness of the various options available that could make an important impact on your business’ circumstance.
Continue reading “5 Reasons to Consider Arbitration for Your Construction Dispute”
When a private improvement lien is filed in New York, the entire body of the New York Lien Law is imported which establishes the rules for filing, enforcing (or foreclosing the lien) and for challenging or discharging the lien. There may often be defenses to the lien for the property owner as outlined below. For those seeking to file a valid lien, the below serves as a reminder of common issues to avoid.
Continue reading “Homeowner Challenges to New York Mechanic’s Liens”
Despite much construction litigation, New York courts who govern Long Island construction law are agreed that an unlicensed home improvement contractor cannot recover against consumers. That has not, however, stopped unlicensed contractors from arguing exceptions to that rule. A recent court victory by John Caravella, Esq. confirms that courts remain unwilling to accept excuses from unlicensed contractors.
In Orefice v. Guma Development, homeowners sued an unlicensed contractor for defective construction. Notably, the local municipal code requires that any person doing business as a contractor be licensed by the municipality. A corporation does not require its own license if a licensed contractor is employed by the firm as a supervisor.
The Supreme Court, New York County, recently clarified the impact of contractual language specifying litigation as the forum for resolution in the subcontract, and impact of New York’s Prompt Payment, providing for arbitration of disputes where it applies.
Continue reading “Subcontractor’s Arbitration Action Stayed by Supreme Court”
The Law Offices of John Caravella, P.C. offers a free initial consultation with a Long Island construction attorney to discuss your legal concerns with no obligation. To schedule an appointment, call our office today or fill out the form below.
