Construction Dispute Law in Texas

Landowners and contractors in Dickinson, Texas often contract with each other for major construction projects. With any large construction projects, some small delays or problems are all but inevitable, but they don't usually derail the project or lead to major disputes between the parties.

Most often, the owners of land and contractors can end disputes before they get too serious, thus eliminating the need for litigation. Most contracts governing construction projects have built-in remedies for the most common problems, usually requiring the party that causes a delay or other problem to pay the other party a set fee.

Even if the parties can't easily resolve their disputes, and someone else needs to intervene, that somebody doesn't always need to be a judge or jury. Many construction disputes call for mediation, during which a neutral third party helps the parties to the dispute negotiate a settlement. They might also go through arbitration, during which a third party renders a binding decision.

Litigation of a Dickinson, Texas construction dispute is never something that anyone wants to do. Nonetheless, there are sometimes no other options.

Examples of Construction Disputes That Might Lead to Litigation in Dickinson, Texas

Construction Delays: Delays in construction are common sticking points between contractors and landowners. These delays can sometimes lead to litigation, especially if the construction contract makes it clear that time is an important factor, or if the contract mandates a certain completion date. In such situations, a court will often award the landowner compensation for any monetary losses he or she suffered as a result of the delay.

Refusal to Pay: Contractors can be on the other side of legal disputes, as well. Sometimes, the landowners who hired them refuse to pay. This is usually because the landowner believes that the contractor didn't perform under the terms of the contract, or that the work was unsatisfactory. If this is the case, it may ultimately be up to a court to decide who is right. If the contractor did, in fact, do poor work, the landowner will be excused, at least in part, from his duty to pay. If, on the other hand, the work was satisfactory, the court will order the landowner to pay the contract price immediately, and may award additional damages if the refusal to pay was done in bad faith, or if it caused foreseeable economic harm to the contractor.

Subcontractor Disputes: When a construction company is contracted to complete a large project, there is usually a great deal of specialized work to be done which they aren't equipped to handle. As a result, they hire other contractors, who, in this arrangement, are subcontractors, to do some of the work. However, the general contractor (the one that the landowner hired to do the work) is still responsible for the completion of the project - if a subcontractor causes a problem, the general contractor is on the hook for it. This sometimes leads to landowners suing general contractors for the mistakes of subcontractors. If the general contractor loses, and has to pay the client, the general contractor can then sue the subcontractor for whatever amount of money it had to pay.

Mechanic's Lien: If the contractor wins in a lawsuit against the land owner, and the court orders the owner to pay the contractor for services rendered, the contractor needs a way to secure payment, if the owner refuses. In some cases, a mechanic's lien allows the contractor to force the sale of the land, and any improvements to it, in order to secure payment for the services it provided.

Can a Dickinson, Texas Attorney Help?

If you are involved in a dispute over a construction project, you should try to avoid litigation, and settle the matter as amicably as possible. However, litigation is sometimes necessary, and a Dickinson, Texas construction disputes attorney can be of great help.