Construction Dispute Law in Washington
Construction contractors and landowners in Bellingham, Washington sometimes end up in disagreements when a project that the landowner contracted for doesn't go exactly to plan. Truth be told, in any significant construction project, a few minor disputes are almost guaranteed.
Typically, contractors and landowners can resolve minor disputes amongst themselves, without having to resort to litigation. Frequently, construction contracts contain built-in remedies for mistakes and delays that can be easily corrected, such as payments to the owner for every day the project is delayed.
Even if someone else needs to get engaged to resolve a dispute, this does not automatically mean litigation is necessary. For example, the parties might attempt mediation, in which a neutral third party tries to help guide the parties to an agreement, but cannot render a binding decision himself. They might also agree to arbitration, during which a third party is able to render a binding decision. Arbitration is typically done through a private company, and may cost less than litigation, and is overseen by an arbitrator who is an expert in the relevant field.
Construction Dispute litigation in Bellingham, Washington is typically time-consuming and expensive. But it is sometimes necessary, typically as a last resort.
Examples of Construction Disputes That Might Lead to Litigation in Bellingham, Washington
Delays in Construction: Delays are frequently points of contention between contractors and landowners. Contracts sometimes have clauses which explicitly state that the project needs to be completed by a certain date, or penalties will be imposed on the contractor (reduced payments, for example). However, if the contract doesn't contain such built-in remedies, or one party refuses to abide by them, litigation may be necessary. If a contractor causes a delay that it could have prevented, it will typically be liable to the landowner for any harm resulting from it.
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.
Subcontractors: With big construction projects, contractors typically hire other, smaller contractors to do some of the work for them. This is typically work of a specialized nature, which the general contractor isn't equipped to handle (such as plumbing or electrical wiring). The general contractor is the one who is responsible for the satisfactory completion of the project. If a subcontractor makes a mistake, or causes a delay, the general contractor is ultimately liable to the person who hired them. Nonetheless, if they are sued for the mistakes of a subcontractor, and lose, they can then sue the subcontractor to recover their losses.
Mechanic's Liens: If the contractor sues a land owner and wins, he will likely obtain a monetary judgment. If the owner declines to pay, the contractor needs some way to recover. This is where the mechanic's lien comes into play. It permits a contractor to force the sale of the land or other real property that he just worked on, and use those proceeds to cover costs.
Can a Bellingham, Washington Attorney Help?
Construction disputes and disagreements can be very challenging to deal with alone. The assistance of a Bellingham, Washington real estate attorney can make the process of dealing with these disputes much quicker and easier.