Blogs

NASBP Blog Logo

10 Strategies to Improve Talent Retention in Construction

posted 8 days ago
Be the first person to recommend this.
By Heather Parbst of CLA Originally published July 8, 2024 One of the biggest challenges construction firms face today in building value and sustainability is attracting and retaining talent. It’s a struggle we hear from almost all our clients. This is a real problem often written off as unfixable or considered a consequence of younger generations not wanting to work hard or having poor work ethic. This stereotype doesn’t help and oversimplifies a complex issue influenced by changing work values, technological adaptation, a shifting working world with more dynamic and flexible work environments, communication differences across generations, ...
0 comments

You Can't Do That: Completion Without Notice Discharges Surety Under AIA A312

posted 8 days ago
1 person recommends this.
By Nell M. Hurley of Ernstrom & Dreste LLP Originally published Summer 2024 In a recent Maryland case, an obligee’s failure to provide notice to the surety under an AIA A312 performance bond 1 resulted in the dismissal of the obligee’s claim where the surety learned of the default and termination only after the work had been completed by another contractor. 2 The intermediate appellate court determined that: 1. The failure was a material breach that discharged the surety’s obligation under the bond; 2. The bond language 3 did not require the surety to prove actual prejudice; and 3. The surety was prejudiced as a matter of law when it ...
0 comments

Federal Court Preliminarily Enjoins Application of Davis-Bacon Act Wages to Truck Drivers and Suppliers

posted 25 days ago
Be the first person to recommend this.
By Caroline M. Brooks of Smith Currie Oles Originally published June 26, 2024 On Monday, June 24, 2024, a judge of the U.S. District Court for the Northern District of Texas issued a preliminary injunction preventing the application of the Davis-Bacon Act’s wage requirements to truck drivers and material suppliers on federally funded construction projects. We previously covered the Department of Labor’s August 2023 “Updating the Davis-Bacon and Related Act Regulations” (“Final Rule”), which expanded application of the Davis-Bacon Act’s requirements for paying a minimum prevailing wage to “mechanics and laborers employed directly on the ...
0 comments

SBA Eliminates Self-Certification for SDVOSBs

posted 25 days ago
Be the first person to recommend this.
By Aron C. Beezley and Patrick R. Quigley of Bradley Arant Boult Cummings LLP The U.S. Small Business Administration (SBA) recently issued a direct final rule that eliminates self-certification for service-disabled veteran-owned small businesses (SDVOSBs). The SBA’s final rule—which implements a provision in the National Defense Authorization Act for Fiscal Year 2024 (NDAA 2024)—is effective August 5, 2024. Background To be awarded an SDVOSB set-aside or sole source contract, firms must be certified by SBA through the Veteran Small Business Certification (VetCert) Program. Currently, firms that do not seek SDVOSB set-aside or sole source contracts ...
0 comments

Enforceability of Pay-if-Paid Clauses in Construction Subcontracts: Mid-Atlantic Region

posted 30 days ago
Be the first person to recommend this.
By Jessica A. duHoffmann and Jonathan “Jon” R. Neri of PilieroMazza Originally published May 10, 2024 Pay-if-paid clauses are conditional payment provisions regularly included in construction subcontracts. The intent of these clauses is to shift the risk of loss from a prime contractor to its subcontractors by making a project owner’s payment to the prime contractor a condition precedent to the prime contractor’s obligation to pay its subcontractors. [1] The enforceability of pay-if-paid clauses is a frequent topic of dispute, becoming more complicated when a prime contractor posts a payment bond protecting subcontractors and suppliers from non-payment ...
0 comments

The Case for Intervening in Bid Protests: It’s Almost Always the Right Call

posted 06-25-2024
Be the first person to recommend this.
By Katherine B. Burrows and Eric Valle of PilieroMazza Originally published May 14, 2024 You’re a federal government contractor who just won a contract award. But, before you pop the champagne, there’s a hiccup: a competitor filed a bid protest challenging your award. “Oh, well,” you think, “the government can surely defend my award; there’s no reason for me to get involved.” Think again. This blog covers why contractors should step in and intervene when a bid protest challenges their awarded contract. It’s not just about safeguarding your contract; it’s also about ensuring you get compensated for your hard work. In a rare, published opinion [1] ...
0 comments

America Re-emerges as Industrial Powerhouse

posted 06-17-2024
1 person recommends this.
By Joseph Natarelli and Anirban Basu of Marcum LLP Originally published May 1, 2024 NOT JUST A SERVICE ECONOMY In recent years, there has been a shift in the economic landscape of the United States, challenging the long-standing narrative of America as a predominantly service-driven economy. The current surge in American industrial activity, marked by historic highs in manufacturing production, reflects a nation reasserting itself as an industrial powerhouse. This resurgence is fueled by strategic governmental policies, evolving corporate philosophies, and technological innovations reconfiguring the country’s production capabilities. To understand ...
0 comments

Exemptions from the Texas Sales and Use Tax and Construction Contracts

posted 06-17-2024
Be the first person to recommend this.
By TL Fahring of Freeman Law When the Texas Tax Code provides an exemption from sales and use tax, you’d think everything would be straightforward, right? Unfortunately, it’s sometimes not that simple, especially when it comes to construction contracts. In order to figure out what’s exempt and what’s not in this area, you often have to navigate the tricky interactions between the sales and use taxation of construction contracts and exemptions more generally. Texas Sales and Use Tax and Construction Contracts, Generally Let’s recap the basics. Sales of tangible personal property and taxable services in the state of Texas are subject to Texas sales or ...
0 comments

Mississippi Passes New Retainage Law Governing Private Construction Jobs

posted 06-17-2024
Be the first person to recommend this.
By Slates C. Veazey and R. Sumner Fortenberry of Bradley Arant Boult Cummings LLP Originally published May 13, 2024 Construction contracts for private projects will soon be subject to a new retainage law in Mississippi. On April 19, 2024, Gov. Tate Reeves approved SB 2762 into law, and after July 1, 2024, most construction contracts on projects in Mississippi will comply with a set of retainage laws similar to those that have governed public projects for decades in the Magnolia State. Specifically, this new law allows an owner, contractor, or subcontractor to retain contract proceeds from installment payments pending final completion. However, the ...
0 comments

Safeguarding Your Construction Business: A Comprehensive Guide to Business Insurance

posted 06-10-2024
Be the first person to recommend this.
By Lisa M. Ricciardi of Marcum LLP Originally published May 1, 2024 As a business owner, you invest your time, energy, and resources into building a successful venture. Protecting your hard work from unexpected setbacks is crucial. That’s where business insurance comes in. In this article, we’ll walk you through the key types of business insurance, from workers’ compensation to cybersecurity, in a light and easy-to-understand manner. So, let’s dive in and ensure your construction business is well-equipped to handle any curveballs that come its way! Workers’ Compensation: Taking Care of Your Valued Team Workers’ compensation insurance is a safety net ...
0 comments

Timing May Matter for Differing Site Conditions

posted 06-05-2024
1 person recommends this.
By Stephanie Snyder-Zuasnabar of Gray Reed Originally published April 4, 2024 Many construction contracts contain some version of a “differing site conditions” clause. AIA’s A201 general conditions, as well as in the EJCDC equivalent, contains a changed site condition clause. It also appears in most state DOT specifications and federal government construction contracts. Generally, this provision provides for a change order (subject to procedural compliance) when the contractor encounters (i) subsurface or other concealed conditions that differ materially from the conditions indicated by the contract documents or (ii) unknown physical conditions of an unusual ...
1 comment

Resolving Subcontractor Disputes with Pass-through Claims and Liquidation Agreements

posted 05-23-2024
Be the first person to recommend this.
By Stephanie Cooksey of Peckar & Abramson, P.C. Originally published May 6, 2024. This article was written for the Texas Contractor and first appeared here . Imagine a project where you are unable to reach final completion due to an unresolved subcontractor claim. If the project owner is responsible for the claim, and both the owner and subcontractor are entrenched in their positions, how would you resolve this dispute? The default option is a three-party lawsuit where the subcontractor sues you in your capacity as general contractor. By denying the claim, you bring the owner into the lawsuit as a liable party to the subcontractor’s claim. This ...
0 comments

United States Department of Labor Finalizes Independent Contractor Rule

posted 05-20-2024
Be the first person to recommend this.
By Jennifer Harris and Stephen E. Irving of Peckar & Abramson, P.C. Originally published April 17, 2024 On January 10, 2024, the Wage and Hour Division of the U.S. Department of Labor issued its long awaited final rule, Employee or Independent Contractor Classification Under the Fair Labor Standards Act . 1 The rule addresses how to determine whether a worker is properly classified as an employee or independent contractor under the Fair Labor Standards Act and overturns the March 8, 2021 Independent Contractor Rule. According to the agency, “[t]his rule will help to ensure that workers who are employees are paid the minimum wage and overtime ...
0 comments

Build America, Buy America Act – Federal Aviation Administration (FAA) Compliance and Waivers in the Spotlight

posted 05-20-2024
Be the first person to recommend this.
By Joseph Haughney of Smith Currie Originally published April 26, 2024 While contractors incur the extra costs involved, agencies have slowly begun to implement Build America, Buy America Act Pub. L. No. 117-58 (“BABA”) requirements after the final Office of Management and Budget (“OMB”) guidance was released last October in response to Executive Order (“EO”) 14005, Ensuring the Future Is Made in All of America by All of America’s Workers. This article highlights how the FAA is implementing BABA requirements and waivers under those authorities. As the FAA implements BABA, contractors will have to seek much more information, much earlier on, from their ...
0 comments

Ongoing Changes to Canada’s Importing Process

posted 05-13-2024
Be the first person to recommend this.
By Sheila E. Thompson of Rosenberg & Parker of Canada, Inc. The Canada Border Services Agency (CBSA) has established The Canada Border Services Agency Assessment and Revenue Management (CARM) project as a multi-year initiative to transform the collection of duties and taxes for goods imported into Canada. The goal is to modernize and streamline the process of importing commercial goods. The CARM project will affect all importers into Canada. CARM Release 1 has already occurred with the launch of the online Client Portal in 2021. If they have not already done so, importers are encouraged to onboard with the portal prior to the CARM Release ...
0 comments

Navigating the Waters Beyond Construction Law: Unveiling the Ties Between Construction and Maritime Liens

posted 05-09-2024
Be the first person to recommend this.
By Robert G. Ruggieri of Cohen Seglias Pallas Greenhall & Furman PC Originally published April 9, 2024 Construction law is a complex field that intersects with various other industries and legal fields, one being the maritime industry. In nearly twenty years of practicing construction law, I have often experienced the connection between these sophisticated areas of law and the implications of each on various projects, such as the construction of docks, breakwaters, piers, bridges, dredging and beach nourishment projects. In this blog post, we will explore the intricate relationship between these two legal realms by diving into a primer on maritime liens. ...
0 comments

New Federal Trade Commission Rule on Non-Compete Agreements—16 CFR Part 910

posted 05-06-2024
Be the first person to recommend this.
By G. Scott Walters , Kenny R. Cantrell, III , and Erica Maria Alvarado Gomez of Smith Currie & Hancock LLP Originally published April 30, 2024 On April 23, 2024, the Federal Trade Commission (“FTC”) issued its final rule banning nationwide a large majority of non-compete agreements, with a few, limited exceptions (the “Rule”). The Rule not only renders future non-compete agreements unenforceable, but it invalidates existing non-compete agreements for many workers. The Rule will become effective 120 days after publication in the Federal Register—most likely in late August 2024. The Rule potentially affects employers significantly, including construction ...
0 comments

FTC Ruling Puts the Brakes on Noncompete Agreements, Sending Shockwaves Through the Business World

posted 05-06-2024
Be the first person to recommend this.
By Jonathan Landesman and Lauren N. Bess of Cohen Seglias Pallas Greenhall & Forman PC Originally published April 24, 2024 In a seismic decision on April 23, 2024, the Federal Trade Commission (FTC) voted 3-to-2 to ban noncompete agreements for all workers, with a narrow exception for senior executives. This new rule, set forth in a 570-page action summary, is scheduled to take effect in just 120 days. Opponents of the rule, including industry groups such as the Chamber of Commerce, say it will violently disrupt longstanding employment practices and pose unprecedented challenges to businesses across all sectors. While proponents of the rule, including ...
0 comments

Private PPA Amendment: What Is All The Fuss About?

posted 04-25-2024
Be the first person to recommend this.
By Cavan S. Boyle of Ernstrom & Dreste LLP Originally published Spring 2024 Last November, New York’s private Prompt Payment Act (“PPA”) for commercial construction projects of more than $150,000 was modified, making changes to General Business Law §§756-a and 756-c. 1 Legislative sponsors sought to rectify the prior law’s failure to facilitate timely final payment to contractors or adequately limit retainage, which often subjected contractors (and subcontractors) to long wait-times for payment and caused costly, avoidable disputes. 2 Thus, the new PPA provisions endeavor to reduce retainage and permit final invoicing earlier than previously provided. ...
0 comments

Two New Proposed Rules Signal Big Changes for Cybersecurity in Federal Contracts

posted 04-22-2024
Be the first person to recommend this.
By Kenny R. Cantrell, III of Smith, Currie & Hancock LLP Originally Published: April 2, 2024 The United States faces increasingly sophisticated cyber campaigns that threaten the public and private sectors’ security and privacy. The public and private sectors have been rocked by vulnerabilities. Such examples include the December 2020 ransomware attack on SolarWinds that paralyzed multinational companies and permanently locked people around the world out of tens of thousands of computers, and the Colonial Pipeline ransomware attack on May 7, 2021 that halted the pipeline system’s access to servers and caused widespread fuel shortages. Government contractors ...
0 comments