Key Clauses Every Construction Contract Should Include

Clear, enforceable contracts are the foundation of successful construction projects. Without strong terms in place, even simple disagreements can delay work, increase costs, or lead to legal action. That’s why partnering with a knowledgeable construction attorney is a way to protect your project from the start. The clauses in your agreement should match your scope, risks, and expectations.

Scope of Work

Every contract needs a section that outlines what work will be done, where, and by whom. This isn’t just a checklist. It defines what the contractor is responsible for, what’s excluded, and how changes will be handled. A vague scope opens the door to disputes later. A construction lawyer can help ensure the language used here reflects actual project needs and leaves little room for misinterpretation.

Payment Terms

Missed or disputed payments create friction. Your contract should list not only the total cost but also when and how payments are due. This may include deposits, milestones, and retainage. Late payment penalties and the process for handling delays should also be spelled out. The right contract lawyer will help ensure both sides understand their financial obligations and timelines.

Change Orders

Changes happen on nearly every job. Whether due to design revisions or site conditions, they must be addressed clearly in writing. Your contract should explain how change orders are initiated, approved, and priced. A good construction contract attorney will make sure these procedures align with your workflow so that updates don’t create delays or confusion.

Dispute Resolution

Mediation and arbitration can save you time and money. That’s why your contract should include a clause that defines how disputes will be handled. A construction attorney can explain your options and help you choose methods that match the size and complexity of the project. Having this decided in advance gives both parties a roadmap if problems arise.

Delays and Force Majeure

Construction is affected by weather, supply issues, and labor shortages. Your contract should address what happens when delays occur. This includes who’s responsible and how extensions are granted. A force majeure clause outlines which events excuse performance without penalty. 

Warranties and Quality Standards

A contract should include warranty details and describe the quality level expected for all materials and workmanship. This protects the owner if poor work is discovered after the job wraps up. It also protects the contractor by limiting liability to agreed terms. A construction lawyer helps define warranty length, scope, and enforcement.

Termination Clauses

Every party needs a way out if something goes wrong. Termination clauses describe when and how the contract can be ended. This could be due to nonpayment, repeated delays, or safety violations. These clauses are crucial when trust breaks down, and they protect you from being locked into a project that no longer serves your interests.

Including the right terms in a construction contract isn’t about checking boxes. It’s about reducing risk, clarifying roles, and protecting your investment. With support from an experienced construction lawyer, your contracts become stronger tools, tailored for impeccable results.

Construction Attorneys Serve the Industry from Architectural to Workmanship

Construction projects are multifaceted endeavors that involve a wide array of professionals and stages, each presenting its own set of challenges and legal considerations. From the initial architectural designs to the final touches of workmanship, construction attorneys play a crucial role in ensuring that these projects are completed smoothly and legally. Here, we will discuss the primary aspects of a construction project where the expertise of a construction attorney can be instrumental.

Contract Negotiation and Drafting

One of the primary roles of construction attorneys is to negotiate and draft contracts. At the inception of a project, multiple agreements need to be formulated. These contracts must be meticulously crafted to clearly outline the scope of work, timelines, payment terms, and responsibilities of each party. Attorneys for the construction industry ensure that all legal stipulations are met and that the contracts protect their client's interests. They also anticipate potential issues and include clauses to address them, such as provisions for delays, cost overruns, and change orders.

Regulatory Compliance

Construction projects must adhere to a myriad of local, state, and federal regulations. These can include zoning laws, building codes, environmental regulations, and safety standards. Construction attorneys ensure that the project complies with all relevant laws and regulations. This proactive approach helps prevent legal issues that could halt construction or result in costly fines.

Dispute Resolution

Despite the best efforts to prevent them, disputes can arise in any construction project. These disputes may involve contract breaches, delays, workmanship quality, or payment issues. By engaging a construction attorney early in a dispute, parties can often reach a resolution without lengthy and expensive litigation. Attorneys can help draft settlement agreements and advise on the best course of action through negotiations or court.

Risk Management

Every construction project carries inherent risks, including financial risks, safety hazards, and potential legal liabilities. Construction attorneys play a key role in identifying and managing these risks. They conduct thorough risk assessments and develop strategies to mitigate them. They also help clients understand their risk exposure and how to minimize it through careful planning and contractual protections.

Workmanship and Quality Control

Ensuring high-quality workmanship is vital for the success of a construction project. Construction attorneys assist in setting quality standards and enforcing them throughout the project. They review and draft warranties and guarantees that hold contractors accountable for their work. If issues arise with the quality of workmanship, attorneys help clients pursue remedies, whether through corrective work, compensation, or legal action.

Intellectual Property and Architectural Designs

Architectural designs and plans are often subject to intellectual property (IP) protections. Construction attorneys assist architects and developers in protecting their IP rights, ensuring that their designs are not copied or used without permission. This is particularly important in large projects where multiple parties might use or modify the original designs.

Construction attorneys serve as indispensable partners throughout the lifecycle of a construction project. By addressing potential legal issues proactively, construction attorneys help pave the way for successful and smooth project execution, safeguarding the interests of all parties involved.

Should I Hire a Construction Attorney for Contractor-Damaged Buildings?

General contractors should possess the professional credentials required to complete a first-rate construction project. However, even with the right licenses and credentials, a general contractor can make a mistake that causes damage to your building. Whether a contractor damages the roof during a renovation or floods the basement while installing new equipment, should you hire a construction attorney if the contractor damaged the building?

The answer is an emphatic yes.

At Alves Radcliffe, we represent property owners who face financial losses generated by a general contractor. From a contractor walking off the job to working with shoddy materials, you have the legal right to recover the losses associated with a general contractor’s negligence. A construction attorney conducts a detailed investigation to collect physical evidence. Your lawyer reviews the construction contract to determine whether the contractor violated one or more provisions. With the help of a construction attorney, you file the legal documents required to initiate a lawsuit. Instead of going through with the lawsuit, the contractor’s lawyer might agree to negotiate a settlement with your construction attorney.

Now that you know why it is important to seek legal counsel after a contractor has damaged your building, let’s review what to look for in a qualified construction attorney to handle your experience.

Experience

A construction attorney straight out of law school is not going to have the experience you need to win your case. However, evaluating a construction attorney strictly on the number of years litigating cases is not enough to make the right hiring decision. You should consider construction attorneys who have accumulated several years of experience winning legal judgments concerning cases that involve damage to a building. Working a case involving damage to a building requires a unique set of investigative skills because of the need to acquire physical evidence that proves the building sustained damage.

Responsive Communicator

Construction lawyers work several cases at the same time. However, this does not mean the construction attorney that you hire should put your case on the back burner. You should receive the type of attention that makes your case seem like it’s the most important case on your construction attorney’s docket. Your lawyer should respond promptly to all questions via text, email, and phone messages, with the preferred time limit being within 24 hours of you reaching out to your lawyer.

The best way to measure the responsiveness of an attorney is to leave a message with the lawyer’s office during the vetting process.

Open to Negotiations

Suing a general contractor for causing damage to your building can take years to resolve if the case goes to the trial phase of the civil lawsuit process. The most effective way to avoid litigation involves trying to find common ground that ends the case before it reaches the trial phase. Your construction attorney must be open to negotiating a settlement to help you save both time and money. In addition, the lawyer that you hire should demonstrate the attorney has worked several cases in which both parties reached a settlement.

Negotiating a settlement requires different legal skills than litigating a civil case in front of a judge.