Hot off the press! NASBP is pleased to announce that the NASBP membership now has access to a set of three in-depth articles on joint ventures in construction.
This month NASBP published in the NASBP magazine, Surety Bond Quarterly, the final article in a series of three addressing joint ventures in construction. Co-authors Michael C. Zisa and Joshua A. Morehouse of the NASBP Attorney Advisory Council firm Peckar & Abramson wrote the first article in the set to provide an introduction to joint ventures, with an explanation of the benefits and risks of this arrangement for contractors and how to choose a joint venture partner. The second article in the set examines the joint venture agreement and describes provisions that should be included in the agreement and why. The final installment examines joint ventures involving the federal government’s small business programs and the potential liability sureties could face if these programs are misused.
The complete set of three articles has been combined into an indispensable single resource here.
The release of the set of articles is timely. Joint ventures are becoming more common as projects continue to become larger, more complicated, and more specialized. Joint ventures provide the benefits of collaboration and risk-sharing while allowing construction companies to maintain their corporate independence. While the opportunities presented by joint ventures are enticing, contractors, bond producers, and sureties providing bonds on behalf of the joint ventures must understand and carefully consider a number of factors before pursuing a joint venture.
Learn more by registering for the NASBP Online Joint Ventures in Construction Course. Created by Zisa for NASBP, the course covers essential topics of joint ventures and is intended to serve as a resource for bond producers, underwriters, and their construction clients that are considering entering a joint venture agreement. The course costs $75 and offers continuing education credits upon completion. Learn more about the NASBP course here.