Texas Construction Law Blog

If you ask owners, general contractors, or subcontractors how long the warranty lasts that they received or gave on a construction project, they will often tell you that they have a “one year warranty.” However, if the parties used a standard construction contract form such as those from the American Institute ...

While change orders are widely viewed as a mechanism to increase the contract price in a construction contract, sophisticated players understand that change orders can and should be used to manage claims. 

From the owner’s perspective, change orders are often used to finalize compensation and delay days for ...

In construction disputes, owners typically deal with defects within the scope of work of the subcontractor or vendor by pursuing claims directly against the general contractor. The owner, however, may consider pursuing claims directly against a subcontractor or vendor under certain circumstances.

Potential ...

Liquidated damages provisions are commonplace in construction contracts. One would think that given the strong Texas public policy favoring freedom of contract, bargained for liquidated damages would be easily enforceable in litigation. But Texas law on this issue is counterintuitive and can render a ...

On February 17, 2022, the Court of Appeals in El Paso, Texas reversed a summary judgment in favor of a mineral lien subcontractor claimant because, at the time the lien was filed, nothing further was owed under the prime agreement (Pearl Res. Operating Co. LLC v. Transcon Capital, LLC, No. 08-19-00288-CV, 2022 WL ...

In a recent case, the Texas Supreme Court addressed the scope of the general contractor’s duty of care to its subcontractors’ employees on the project site.  In JLB Builders, L.L.C. v. Hernandez,^[1] the Court upheld the trial court’s summary judgment in the general contractor’s favor and dismissed the ...

The subcontractor did everything right:  it did the work, but did not get paid, and thereafter properly perfected a lien.  Now, the subcontractor has an opportunity to settle with the general contractor or even its subsequent bankruptcy trustee.  The subcontractor needs to proceed with caution to avoid losing its ...

While this coronavirus event grips the nation, contractors and subcontractors are asking whether this qualifies as a force majeure or changed condition event.  We think it qualifies as both. 

When you bid and signed your contracts, if the force majeure clause was given any thought, it likely was about the impact of a ...

Unlike with private commercial projects, liens cannot be filed against public projects in Texas. This means that unpaid subcontractors and suppliers do not have the same protections on public projects as those on private projects. On a private project, a subcontractor or supplier would ordinarily file a lien ...

What should a Subcontractor do when a General Contractor presents, to the Subcontractor, the 401A-2017 Standard Form of Agreement Between Contractor and Subcontractor (“A401”)?  While some provisions in the A401 are favorable to the Subcontractor, others are not.  This multi-part series explores some of the ...

Texas Property Code Section 53.056(a)-(c) details the notice requirement deadlines that subcontractors must comply with to perfect a statutory lien on a private, commercial project in Texas. Simply put, the statute sets forth separate notice deadlines dependent on whether the claimant is a second-tier (and ...

Subcontracts between a general contractor and subcontractor often contain a flow-down provision stating that the terms and conditions in the owner/contractor agreement (the “Prime Contract”) are also binding on the subcontractor—making the subcontractor obligated to provisions in the Prime ...