Subcontractor’s Right to Direct Payment from Public Authority
Subcontractors on public projects in Massachusetts have the right to seek payment directly from the awarding authority when the prime contractor has not made timely payment. A Massachusetts Superior Court judge has reinforced the awarding authority’s obligation to pay when a proper request has been made.
The so-called “direct payment claim” statute allows certain first-tier subcontractors and suppliers to the prime contractor to seek payment directly from the awarding...
Limitation of Liability (and Consequential Damage Waiver) Clause Did Not Bar Claim for Bad Faith
Limitation of liability clauses have become more common in construction industry contracts over the past 10-15 years. Such clauses are quite common in design contracts. It is also common for a limitation of liability clause to refer to multiple potential causes of action under which one party’s liability will be capped, not limited to a breach of contract claim.
Consequential damage waiver clauses have also been part of the industry ever since the decision in Perini Corp. v. Greate...
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