Subcontractors often find themselves navigating risky terms in construction contracts. Among the myriad clauses that can affect their bottom line, “Pay-if-Paid” provisions stand out as particularly risky. These provisions essentially allow the general contractor (GC) to shift the burden of payment uncertainty onto subcontractors, conditioning payment on the GC’s receiving payment from the property owner.Continue reading “Risks of Pay-if-Paid Terms for Florida Subcontractors”
Author Archives: Ready Legal
Are Verbal Construction Agreements Valid in Florida?
Written Contracts are Typically Not Required In Florida, construction contracts require three key elements: an offer, acceptance, and consideration (an exchange of something of value). Noticeably, a written contract and signatures are not elements on this list. Some contracts in Florida must be in writing to be enforceable. For example, contracts for the saleContinue reading “Are Verbal Construction Agreements Valid in Florida?”
Requesting a Change Order: 5 Best Practices
Change orders are a common aspect of Florida construction projects, often necessitated by unforeseen circumstances or changes in project plans. For subcontractors seeking additional compensation through a change order, understanding their rights and obligations can mean the difference between success and failure. This article discusses 5 best practices for requesting additional compensation under a changeContinue reading “Requesting a Change Order: 5 Best Practices”
Florida Notice to Owner Deadline Cut Short
Most Florida construction subcontractors and suppliers are aware that they must provide a Notice to Owner and Notice to Contractor (“NTO”) in order to secure their construction lien rights. This document provides interested parties with notice that the potential lienor exists, as required by Florida’s lien law. Failure to provide the NTO on time resultsContinue reading “Florida Notice to Owner Deadline Cut Short”
Liens by Unknown Subcontractors
A Florida homeowner recently posted a concerning story in a chat room. The individual is building a structure on his property and found a discounted material supplier, presumably on Craigslist. The supplier offered to provide wood for the project at half price. The owner jumped on the discount, but was wise enough to refuse toContinue reading “Liens by Unknown Subcontractors”