Blogs

NASBP Blog Logo
Be the first person to recommend this.
By David Joffe and Emily Horn of Bradley Arant Boult Cummings LLP Originally published as a three-part series beginning January 2024. In recent years, a growing number of construction companies have established employee stock ownership plans (ESOPs). The interest in an ESOP is often generated by the need for an exit strategy for one or more of the owners of a closely held business, a common scenario in the construction industry. In fact, the construction industry, more than most industries, seems particularly drawn to ESOPs. A few reasons for this are that private equity buyers are rarely interested in construction companies and construction companies ...
0 comments
Be the first person to recommend this.
The 2024 American Arbitration Association® (AAA) Construction Conference : Exploring the Intersection of Emerging Technologies and Alternative Dispute Resolution will be held on Thursday, March 21 in Coral Gables, FL. The Conference agenda is now available . NASBP is participating as a cooperating organization of the Conference. The 2024 AAA Construction Conference will focus on the relationship between emerging technologies and Alternative Dispute Resolution (ADR) in the construction industry. Presenters will look at things like BIM, AI, and other smart ConTech tools, to see how they are altering construction practices and how those alterations effect ...
0 comments
Be the first person to recommend this.
By Melissa B. Mahle of Bradley Arant Boult Cummings LLP Originally published January 25, 2024 Just weeks into 2024, it is already clear that uncertainty will be the watchword. Will the economic soft landing of 2023 persist into 2024? Will labor unrest, strong in 2023, settle down as inflation cools? Will inflation remain tamed? Will the U.S. elections bring continuity or a new administration with very different views on the role of the U.S. in the world and in regulating business? Uncertainty is also fueling a complex risk environment that will require monitoring global developments more so than in the past. As outlined below, geopolitical ...
0 comments
Be the first person to recommend this.
By John Sheppard of C.A. Shea & Company, Inc. Originally published February 15, 2024 The U.S. Customs and Border Protection (CBP) recently released detailed guidelines for determining minimum bond amounts. The guide can be found on their website here . This new guide is a step towards standardizing the process for setting bond amounts across most bond types. CBP has worked to streamline the methodology for determining bond amounts, collaborating with industry leaders over several years. Our office has actively participated in multiple committees, assisting CBP in navigating the complexities of this process. While acknowledging that CBP’s release ...
0 comments
Be the first person to recommend this.
By Isaias “Cy” Alba, IV and Annie B. Hudgins of PilieroMazza Originally published February 9, 2024 On January 25, 2024, the White House Office of Management and Budget issued a memo, Increasing Small Business Participation on Multiple-Award Contracts, calling for executive agencies to apply the FAR’s Rule of Two to task and delivery orders competed under multiple-award contracts. Contractors should take note that this change has the potential to significantly increase the number of small business set-asides, and in turn, it could mean millions more dollars in contract opportunities for small businesses. In this blog, we examine changes to ...
0 comments
Be the first person to recommend this.
By Katherine B. Burrows and Eric Valle of PilieroMazza Original Presentation on February 8, 2024 Click here to view the recorded session. Bid protests play a crucial role in the federal procurement process. Whether you’re submitting a proposal, filing a protest, or defending your contract award, bid protest rulings can influence not just your current contract but also future outcomes and the broader award process. Decisions made in 2023 are no different. They have ramifications that extend beyond 2023, affecting aspects like submission deadlines and the burden of proof for protesters. 2023 decisions illustrate important considerations for government ...
0 comments

Bid Protests in Virginia

Be the first person to recommend this.
By Aron C. Beezley , Nathaniel J. Greeson , and Patrick R. Quigley of Bradley Arant Boult Cummings LLP Bradley has been publishing an ongoing survey of state-level bid protest processes and procedures (see, for example, our post on “ Bid Protests in New York ” and our “ Update on Bid Protests in Alabama ”). For the next state in this ongoing series, we focus on the bid protest procedures in the Commonwealth of Virginia. Who May Protest and When? Under the Virginia Public Procurement Act , any bidder or offeror who desires to protest the award or decision to award a contract shall submit the protest in writing to the ...
0 comments
Be the first person to recommend this.
By Isaias “Cy” Alba, IV and Daniel Figuenick, III of PilieroMazza Original presentation January 4, 2024 Click here to view the recorded session. In an era where digital threats are ever-evolving, ensuring the security of sensitive government data is paramount, especially for government contractors working on defense contracts. Join PilieroMazza’s Cy Alba and Daniel Figuenick for an insightful webinar exploring the unique challenges facing government contractors in safeguarding crucial data assets. You’ll learn valuable insights into the latest cybersecurity compliance requirements, helping to improve your ability to compete for contracts, as ...
0 comments
Be the first person to recommend this.
By Lisa Ricciardi of Marcum LLP Originally published January 16, 2024 For construction contractors navigating the fast-paced and project-driven construction industry, keeping organized records is a critical component of your business’s functionality and paves the way for future prosperity. Not only does effective record management help you stay compliant with legal requirements, it also provides valuable insights that can help you make more informed decisions. Let’s take a closer look at some smart record keeping practices, as well as reasonable retention periods for various important documents. 1. KEEP IT NEAT AND TIDY Your records are the heartbeat of ...
0 comments
Be the first person to recommend this.
By Skyler L. Santomartino of Peckar & Abramson, P.C. Originally published November 15, 2023 This article was written for the ConsensusDocs newsletter and first appeared here. Contractors and construction managers who enter into cost reimbursable contracts subject to a guaranteed maximum price (GMP) are responsible for all project costs exceeding the GMP. For this reason, it is imperative that contractors negotiate and incorporate into the GMP a financial buffer that accounts for the unanticipated project costs that are not reimbursable as change orders or costs of the work. This is where the contractor’s contingency comes into ...
0 comments
Be the first person to recommend this.
By Benjamin J. Hochberg of Peckar & Abramson, P.C. Originally published November 22, 2023 In BIL-JIM Construction Company, Inc. v. Wyncrest Commons, LP , 2023 WL 7276637 (Unpublished, decided November 3, 2023), the New Jersey Appellate Division was asked to consider two issues regarding the interpretation and application of a construction contract that utilized the standard form American Institute of Architects owner/contractor agreement (AIA Document A101-2007) (the “AIA Contract”). Specifically, it was asked to consider: 1) whether a modified AIA Contract was an “installment contract,” whereby each progress payment was subject to its ...
0 comments
Be the first person to recommend this.
By Brian Marron of Marcum LLP Originally published November 15, 2023 As construction companies enter Q4, this is a great time to look at performance and take advantage of potential tax savings opportunities. As a contractor, there are various items to consider that can help defer income and minimize taxes in the current year. Given that cash flow management is paramount to most contractors, taking advantage of the multiple opportunities to preserve cash flow and adequately manage tax burden is vital. Here are some opportunities that contractors should consider exploring to gain every tax advantage available: PROPER TAX TREATMENT OF CERTAIN CONTRACTS ...
0 comments
Be the first person to recommend this.
By Laura Penhale of IAT Insurance Group As construction industry professionals gear up for 2024, they are faced with a landscape marked by potential challenges, much like the preceding year . Recession concerns, persistent inflation, rising interest rates, critical labor shortages, and ongoing supply chain disruptions remain at the forefront of construction industry considerations. There are, however, proactive ways to address these challenges and position your company in the best light going into the new year. Consider the following seven trends and potential solutions. 1. Tight labor supply The construction industry is grappling with a shortage of ...
0 comments
Be the first person to recommend this.
Now is a great time to go back and listen to episodes of NASBP Podcast “Let’s Get Surety” that you might have missed last month! The two December episodes discuss resources and information that will be valuable for your contractor clients. “A Conversation with Steve Sandherr on AGC of America” featured co-hosts Kat Shamapande and Mark McCallum in discussion with Steve Sandherr, CEO of Associated General Contractors of America (AGC) . Sandherr looks back at his three decades with AGC, talking about his journey to the association, building and keeping talented teams, and the importance of working with like-minded groups. Sandherr shares his insights on ...
0 comments
Be the first person to recommend this.
By Emma A. VanderWeyst of Smith, Currie & Hancock LLP Originally published November 14, 2023 Contractors often include time limits to bring claims in their contracts to prevent themselves from being dragged into litigation over projects that were completed years earlier. However, if the contract time limit is shorter than the state’s limitations for bringing the same claims, that clause may not be enforceable. States set time limits, called statutes of limitations, for bringing different kinds of claims. Statutes of limitations, however, can often be shortened by contract. If you have a time limit for claims in your contract, you need to know whether ...
0 comments
Be the first person to recommend this.
By Creighton P. Dixon of Snell & Wilmer LLP Originally published in the November 2023 edition of Snell & Wilmer Under Construction We began the year discussing an insurance checkup for those working in the construction industry. Now, we are following up with a discussion of issues for a contract checkup, specifically for your ongoing long-term projects. As the year ends, this may be a good time to pull your contracts out and ensure they reflect what has happened on the job since work began. If they do not reflect reality, it is often better to try and fix things now – or document the changes now – than to wait until a problem arises. One thing ...
0 comments
Be the first person to recommend this.
By Brian Kantar and Jase A. Brown of Chiesa Shahinian & Giantomasi PC Originally published in the October 2023 Surety Claims Institute Newsletter Pickard & Butters Constr., Inc. v. Buttonwillow Recreation & Parks Dist. , 2023 WL 4842047 (Cal. Ct. App. July 28, 2023). The surety issued payment and performance bonds on behalf of Pickard & Butters Construction, Inc. (PBC) in connection with numerous projects, including a public works project for the update of a 12-acre park in Buttonwillow, an unincorporated area in Kern County (the Buttonwillow Project), for the Buttonwillow Recreation and Park District (District). As is customary, ...
0 comments
1 person recommends this.
By Brian Kantar and Jase A. Brown of Chiesa Shahinian & Giantomasi PC Originally published in the October 2023 Surety Claims Institute Newsletter Lexon Ins. Co. v. Borough of Union Beach , 2023 WL 3727791 (D.N.J. May 30, 2023). The surety issued an AIA 312 Performance Bond in the penal sum amount of $3,012,483 on behalf of Brunswick Builders, LLC (“Brunswick”), which was a general contractor and low bidder for a project to expand and renovate the Borough of Union Beach Municipal Building. Shortly after Brunswick commenced construction on the project, Union Beach’s representatives determined that Brunswick was incapable of properly performing ...
0 comments
Be the first person to recommend this.
By E. Peyton Aldrich of Smith Currie Oles Originally published October 25, 2023 The success of any construction project hinges on careful planning, execution, and administration. The same is true for construction contracts. A recent Texas Court of Appeals case, Wood Group USA, Inc. v. Targa NGL Pipeline Company, LLC , emphasizes the need for precision in construction contracts and highlights the significant impact such cases have on contracting parties. Case Background In September 2018, Targa NGL Pipeline Company, LLC (“Targa”) contracted Wood Group USA, Inc. (“Wood Group”) to construct an 80-mile section of the Grand Prix NGL Pipeline System. The ...
0 comments
Be the first person to recommend this.
by David Jean, CPA, CCIFP, CExP of Albin, Randall & Bennett Artificial intelligence has already begun to change an industry notorious for being slow to accept change. Over the next decade the construction industry is likely to see explosive growth and evolution, thanks to AI. The chief innovation officer for the country’s largest construction firm (Turner Construction) earlier this year told Construction Dive that “artificial intelligence will transform our industry in the next 10 years more than any other technology in the past 100 years.” It is likely that AI will eventually touch nearly every process that construction firms perform. While some ...
0 comments