A U.S. federal district court refused to compel arbitration in a contractual dispute concerning the supply of materials, products, and services for an oil and gas project being performed by defendants in Saudi Arabia. The parties’ agreement provided for arbitration under the now-defunct Dubai International Financial Center London Court of International Arbitration Rules (DIFC- LCIA).
Retainage can be tricky in Alabama, particularly on public projects. In this post, we address retainage on public projects for public owners in the state (e.g., a governmental board, commission, agency, body, authority, instrumentality, or department).
A public owner in Alabama may withhold up to 5% retainage from the prime contractor for up to 50%
Back in April we examined the court’s decision in Boldt v. Black & Veatch, which dismissed a subcontractor’s counterclaim for wrongful termination on a 60-turbine wind farm project. As you may recall, the subcontractor hired to erect the turbines alleged that it was wrongfully terminated for delays that were not its fault but were
In early October, California’s governor signed into law Senate Bill 38, which amends Section 761.3 of the California Public Utilities Code to address safety concerns with the booming battery energy storage (BESS) industry in the state. The new law requires that every battery energy storage facility located in California establish an emergency response and
A Minnesota federal court dismissed a tunnelling contractor’s differing site condition claim because notice of the condition was given eight days after the conditions were first observed whereas the contract required notice within three days (see Engineering & Construction Innovations, Inc. v. Bradshaw Construction Corp.). The project at issue involves installation of a
The U.S. Small Business Administration (SBA) has made multiple changes to its regulations over the last decade, including final rules published in the Federal Register on October 2, 2013 (78 FR 61113), October 16, 2020 (85 FR 66146), and November 29, 2023 (87 FR 73400). Theses final rules published
A fundamental premise of contract law is that promises must be kept. If legally enforceable promises or “contracts” are not kept, courts may step in to enforce them by ordering performance, awarding damages, or granting some other form of relief. Over time, courts have developed exceptions to the general rule that promises must be kept.
Contractors know when they bid a public job that it’s the lowest and best bidder that will ultimately come out on top. Contractors and public bodies also know that when a public body rejects the lowest bid, it needs to explain why the low bidder isn’t the best bidder. But in a recent twist, the
A Texas court has rejected a pipeline contractor’s $25 million claim for additional costs based on broad release language include in an executed change order (see Wood Group, USA v. Targa NGL Pipeline Company, LLC, No. 01-21-00542, 2023 WL 5280249 (Tex. Ct. App. Aug. 17, 2023)). The change order at issue increased the contract
You’re in the middle of a job and the party with whom you have a contract breaks a material term of the agreement. What does the law allow you to recover? The answer is found in the law of damages. While the law of damages can vary, some general principles typically apply in most jurisdictions in the