Even though the state of Louisiana gives the parties involved in a verbal agreement legal standing to hold the other accountable if something goes wrong, we here at Lawrence, Curlin & Associates do not want you to take any chances when it comes to a formal, binding contract, no matter the size or the scope of your project. There are many factors which are included in Construction Contracts, and we have you covered in either drafting your new contract or reviewing a contract that you already have created.
Construction Contracts have many parts, which include the overview, preparation and scheduling, specific contract terms in regard to payments and delays, insurance requirements, and dispute resolution. See below to learn more about aspects of contracts we create and review.
Contract Overview:
You may need an original contract written from scratch or a modification of a contract provided by industry groups, such as the American Institute of Architects (AIA). We provide services for both. The overview of the contract should include the scope of work, materials descriptions, and explicit project requirements and exclusions.
Preparation & Scheduling:
Before the project begins, and especially if there is a third party involved in the financing or draw schedule, it is important to establish the estimated timeline of the project. You should rely on an experienced attorney to assist with a realistic timeline, taking into account the season of the year / weather, availability of materials, and scheduling of sub-contractors. Milestone should be created to indicate whether or not the construction project will be finished on time / on schedule.
Contract Terms for Payments & Delays:
Clear consequences for not meeting deadlines, including what shall be considered as a “delay” should be part of your Construction Contract. This also includes establishing liquidated damages or extensions for missed deadlines. Other defined terms to be considered when drafting your contract are crafting and negotiating protective clauses concerning indemnification, force majeure, consequential damage waivers (the ability to sue for damages), and project warranties.
Insurance Requirements:
For most construction projects, and for your peace of mind, using a licensed and insured contractor or builder is recommended. However, you do not have to take that chance when you have a legal contract, as the terms for what type of insurance shall be required on the job are clearly defined.
Dispute Resolution:
One of the benefits of using our law firm to draft or review your Construction Contract is that the managing partner, John S. Lawrence, Jr. is a Certified Mediator. So, if you ever need assistance with mediation or arbitration for your contract, you can also use our office to resolve any issues which may arise. With that said, clearly defined terms of how to handle disputes, including the availability of the parties to sue, who pays for attorney fees, and the structure of a mediation, should be included in your Construction Contract.
If you are looking for assistance with the drafting or review of your contract, Contact Us Today by filling out the form below!