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Latest Mechanics Lien Law and News

There is no need to specify your exact profit and overhead in a contract–that is your private business.

11-15-12. No state regulates the amount of your profit and overhead. Basically, it is what the traffic will bear. However, most states have home improvement contract laws which require you to specify the terms of the contract. But this applies to the overall contract price and does not require itemization of the exact profit or overhead. Any subsequent mechanics lien can be based on that internal figure. If it is a lump sum or stipulated amount, you do not have ...
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Is a G C liable for job site injuries suffered by the employee of one of the subcontractors?

In most states, no. There is a major distinction between hiring an employee and an independent contractor. With the former situation, under respondent superior, the employer is liable for the employee’s injuries because of the extent of control exercised by that employer. But when you hire an independent contractor, such as a specialty subcontractor, you have no right to control the course of work and therefore that sub himself or herself is liable for damages caused to their labors and ...
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How do you enforce your mechanic’s lien if you have a binding arbitration provision?

It is very common for a construction contract to include a provision for binding arbitration. This means that in any enforcement procedures or for breach of contract for damages, you must seek redress through an arbitrator and not your local courthouse. Frankly, this is a good idea, because traditionally arbitration is a better method to resolve disputes because the arbitrator typically has vastly more experience than a judge. For example, arbitrators are typically experienced construction attorneys, as well as engineers ...
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