Termination of Private Construction Contracts

Termination of a private construction contract can occur through the mutual agreement of the parties, one party's breach, impossibility of performance by a party, or operation of law. Additionally, the contract may be rescinded if it was entered into as the result of fraud, mistake, duress, or undue influence.

Retainage, In General

A retainage is a portion of the payment owed to a contractor that is withheld by the owner. The retainage amount is usually comprised of a pre-established percentage of the amount earned and due to the contractor. The construction contract will provide the details as far as percentage retained and retainage procedure.

Patents and the Construction Industry

A patent grants its owner the right to make, use, and sell the patented invention to the exclusion of others. In the construction industry, both utility patents and design patents can mean substantial profits to the builders or contractors who hold them.

Commercial Use Issues

Developers involved in the construction of commercial centers face several challenges. Chief among these challenges is obtaining permission to build. Some communities have sought to balance commercial growth with community integrity by addressing commercial developments prior to even being approached for development approval.

Delay Claims Against Third Parties

On a construction project, it is not always the fault of the owner or contractor when a delay occurs. Sometimes, the delay results from the action or inaction of a third party. A prime third party whose negligence can severely hamper the progress of a construction project is the architect or engineer.