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By Alexander Barthet
Published On: Thursday, June 4, 2015 11:21 AM
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The typical construction subcontract contains a number of provisions, many of which will
favor either the general contractor or the subcontractor, depending on whose form of
agreement it happens to be.
But no matter whose form it is, understand three basic contract realities:
work;
time;
claims;
warranties;
dispute resolution.
Some can be troublesome and many are susceptible to shifting risk from one party to
another. Tweaking these provisions to suit ones particular circumstances could make the
difference between a profit or a loss on a job, especially if things dont go according to plan.
While agreements need not include pages upon pages of terms and conditions, no aspect
should be left to a handshake. Having taken the time to get this agreement in writing, avoid
subsequent handwritten notes or verbal change orders. Memories become hazy over time,
so always convert any modification to a written contract signed by both parties.
A subcontract is in place to minimize any subsequent debate on what was meant between
the general contractor and subcontractor. Knowing when a provision is either a sword or a
shield will allow both parties to understand the associated risks, liabilities and exposures.
Alexander Barthet
Alexander Barthet is principal of The Barthet Firm, a 10-lawyer commercial law practice
which has been serving South Floridas construction industry for the last 20 years. With
several Board Certified Construction lawyers, the firm has more than 150 years of combined
legal experience mediating, arbitrating and litigating all types of contract, lien and bond
claims.