Construction Dispute Law in Texas
Landowners and contractors in Rockdale, Texas frequently 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.
In the overwhelming majority of cases, however, these problems are resolvable, and do not lead to major disputes. Being rational, business-minded adults, landowners and construction contractors are typically able to resolve disputes amongst themselves. After all, both stand to gain if the project is completed, and the contractor is paid.
Even if a third party gets incorporated, it does not always need to be a court. Private mediators can assist the parties reach a settlement, or a private arbitrator who is an expert on construction litigation can render a binding decision, if mediation and negotiation fail and the parties can't resolve their dispute.
Litigating a construction dispute in Rockdale, Texas is definitely not something that anybody likes doing. Nonetheless, it is sometimes necessary, as a last resort.
Examples of Construction Disputes That Might Lead to Litigation in Rockdale, Texas
Construction Delays: Delays in construction are prevalent 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.
Owner's Refusal to Pay: If the contractor completes the project, and the owner refuses to pay the agreed-upon price, the contractor will typically file a lawsuit to recover what is owed. Of course, the owner will typically claim that there is a good reason for not paying, arguing that the contractor didn't conform to the project's specifications, or that the quality of construction was unacceptably poor. In such a case, the court will have to decide if the contractor actually breached the contract by doing shoddy work, which could, at least in part, excuse the owner's duty to pay.
Subcontractor Disputes: In large projects, contractors often can't handle every aspect of the construction, so they hire other (typically smaller) contractors to do some specialized work for them, such as plumbing, electrical installations, and the like. The general contractor, nonetheless, is responsible to the owner for anything that goes wrong. If a subcontractor messes up, and the owner sues the contractor, the contractor will have to pay. Nonetheless, the contractor can then go after the subcontractor to recover whatever he had to pay.
Mechanic's Liens: Sometimes, when a contractor wins in a case against the landowner who hired him or her, and obtains a court order for payment, the contractor will still refuse to pay. Since a money judgment isn't worth much without a way to enforce it, the laws of many states have evolved to permit what's known as a "mechanic's lien." As a last resort, if a landowner refuses to pay the contractor for work done on the property, the contractor can force a sale of the property, and keep the proceeds, up to the amount of money owed.
Can a Rockdale, Texas Attorney Help?
If you have a construction dispute, you should first try to resolve it amicably with the other party. If this fails, it is almost always crucial to hire a Rockdale, Texas construction disputes attorney, who can advise you on the next steps in the process.