Construction Dispute Law in Wisconsin
Construction contractors and landowners in Cudahy, Wisconsin sometimes end up in disputes 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.
Usually, contractors and landowners can resolve minor disputes amongst themselves, without having to resort to litigation. Often, 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.
And even if disputes can't be resolved so easily, the courts still don't necessarily have to get involved. For example, a construction contract may require mediation before any further action is taken. Mediation is a process by which a third party tries to guide the parties to the dispute to a settlement. The mediator cannot, however, render any binding decision. Another option is arbitration. This is where the parties go to a private arbitration service, which can render a binding judgment (generally enforceable through contract law, as the parties agree in advance to abide by the arbitrator's decision). Arbitration has advantages over litigation, as the parties can have a say in choosing the arbitrator (allowing them to have their case arbitrated by an expert on construction disputes, for example).
Construction Dispute litigation in Cudahy, Wisconsin is usually time-consuming and expensive. But it is sometimes necessary, usually as a last resort.
Examples of Construction Disputes That Might Lead to Litigation in Cudahy, Wisconsin
Delays: Some minor delays in a construction project are all but guaranteed to occur. Usually, if contracts require a specific completion date, the contractor will give itself longer than the project would take under ideal circumstances, to account for possible delays. Furthermore, construction contracts usually attempt to insure against delays, such as imposing fees on contractors if the project is delayed beyond a certain point. If no such clause is included in a contract, a court will usually award the client damages that could have been reasonably anticipated at the time the contract was entered into.
Owner's Refusal to Pay: If the contractor completes the project, and the owner refuses to pay the agreed-upon price, the contractor will usually file a lawsuit to recover what is owed. Of course, the owner will usually 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 determine 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 (usually smaller) contractors to do some specialized work for them, such as plumbing, electrical installations, and the like. The general contractor, however, 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. However, the contractor can then go after the subcontractor to recover whatever he had to pay.
Mechanic's Liens: A mechanic's lien is a way for a contractor to secure payment if a landowner refuses to pay. In such cases, if the contractor sues and wins, he or she can sometimes impose a mechanic's lien on the property he or she just worked on. This allows the contractor to force a sale of the property to cover the judgment. It is usually used when other attempts to secure payment fail.
Can a Cudahy, Wisconsin Attorney Help?
Disputes over construction delays or defects can be extremely taxing. Therefore, getting an experienced Cudahy, Wisconsin real estate attorney might mean the difference between success or failure in your business ventures.