Many complex laws and rules regulate a builder’s business. One such area concerns notices that a builder is required to provide. Texas law requires that residential construction contracts include specific notices and disclosures. Below we’ll review some of these and the consequences of failing to include them. Residential Construction Contract Disclosure Statements Texas Property Code […]
When an employee leaves to work for a competitor, he or she may have valuable knowledge of the builder’s trade secrets. If the builder has not protected its trade secrets, it may not be able to prevent the former employee from disclosing the builder’s valuable information to the competitor. The former employee could possibly reveal […]
Because of the cost and burden of keeping documents indefinitely, builders frequently ask how long various records should be maintained. There is no one size fits all answer because the answer depends on the type of document and the type of construction project. This article will discuss the various types of documents, the suggested retention periods, and […]
Builders are generally able to resolve disagreements with homeowners over a construction defect claim, but there are some things you should know to protect yourself. When a resolution cannot be reached, the Residential Construction Liability Act (RCLA), which is found in Chapter 27 of the Texas Property Code, governs such claims. Because of the protections afforded by […]
No insurance policy in the construction industry is more discussed – and cussed – than the infamous Commercial General Liability (“CGL”) policy. Unfortunately, many people do not have a good working understanding of the CGL policy or options that would provide more protection. As a result, a builder may pay for a loss that could […]
The construction industry has used arbitration as the primary method for resolving disputes for many years. Builders routinely include a well-worn arbitration provision in their contracts. When disputes occur, however, builders are often surprised at certain limitations of the arbitration process. Therefore, it is worth giving that old arbitration clause a second thought and seeing […]
A new construction project springs financial hope for all parties involved. Unfortunately, if the owner fails to pay the general contractor as expected, that hope is quickly replaced by financial anxiety. In these situations, the general contractor is faced with the dilemma of “financing” the project by paying out-of-pocket, or incurring project-damaging problems with labor […]
Once an owner discovers there is a defect or property damage to its project caused by the general contractor or one of its subcontractors, the owner will want to know what damages it may recover. While a full discussion of damages in a construction dispute is too in-depth, the following will show the general category […]
Notices, such as notices of delays, changed conditions, objections to payment applications, and claims, can be required for many aspects of a construction project. However, provisions in construction contracts sometimes require notices to be issued in a relatively short time frame. From this arises the question: does a claim die or not die if a […]
If a construction dispute arises, where will the lawsuit or arbitration take place? The answer to that question is not always clear–even if stated in the contract. There is a construction forum statute in Texas that allows contractors, engineers, and architects who are working on Texas construction projects to insist any disputes related to that […]