Newsletters

MULTIPLE PRIME CONTRACTOR PROJECTS

In most construction projects, an owner enters into a contract with a general contractor, which general contractor is responsible for hiring and coordinating the work of subcontractors. However, there are some projects where the owner eliminates the general contractor and enters into several direct contracts with the subcontractors. This results in a project that is called a multiple prime contractor project. Under this arrangement, the owner is responsible for coordinating the work of the prime contractors.

Collateral and Subsequent Agreements

In the construction industry, collateral and subsequent agreements may be entered into either contemporaneously or after the parties enter into the prime contract. The parol evidence rule does not hamper the admittance of evidence of either a collateral or subsequent agreement. However, if such agreements are not in writing, proving their existence can be a laborious undertaking.

Rights of a Construction Insurer

Insurance plays a substantial role in the construction industry, especially given the increasing number of construction defect lawsuits. Contractors and subcontractors rely on the protection of their insurers. In turn, their insurers are entitled to certain rights.

A CONTRACTOR'S LIABILITY FOR VIOLATIONS OF BUILDING CODES & ZONING LAWS

A contractor is required to comply with all applicable building codes, building permit regulations, and zoning laws when he or she engages in a construction project. If the contractor fails to comply with the building codes or the zoning laws, the contractor's building permit or business license could be revoked. In addition, criminal or quasi-criminal proceedings could be instituted against the contractor, an action for an injunction could be filed against the contractor, or an owner's building or existing structures could be demolished.

Tribal Zoning Authority for Native American Reservations

Generally, the states and, more often, municipalities enact zoning laws that direct the use of land within their borders. However, though a Native American reservation may lie within a particular jurisdiction, the tribal land is not subject to control by such entities. Rather, Native American tribes enjoy sovereignty over their members and their land to the extent such sovereignty is not obstructed by federal statute or treaty.