Home Public AffairsLaw Understanding complex construction contracts

Understanding complex construction contracts

by The 100 Companies
complex construction contracts

Paying a contractor might appear straightforward, but can actually be complex.  While this issue is sometimes overlooked during contract negotiations, early attention and thoughtful drafting can help mitigate the risk of disruptive payment disputes.

Important items to watch:

Structure: There are many ways to break down payments, such as triggering milestones or “cost-plus” contracts. Each has pros and cons.

Contingency: Every project has unanticipated expenses. Parties should discuss and document what falls under that category.

General conditions: Contractors are entitled to reimbursement of their direct overhead costs, which may be best paid in a lump sum.

Learn more here.

Chad I. Michaelson, Meyer, Unkovic & Scott, CIM@MUSLAW.COM

You may also like

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More

Do NOT follow this link or you will be banned from the site!