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Construction contracts

RP
Randy Pickelmann
Tue, Jan 18, 2005 3:48 PM

Mike wrote "A contract should be considered as the framework for suing."

I've spent 35 years in the construction industry.  In that time I've seen and been party to lots of contracts - some good and some terrible.  I've never considered a contract as a "framework for suing".  It is much more than that.  In my opinion a contract is merely a document which spells out how we are going to conduct ourselves when disagreements arise.

At the time of contract, every one is friendly.  The buyer is happy and excited about his new purchase.  The contractor/builder is happy because he has a new client, work for his crews and the promise of a revenue stream and even more business.  Unfortunately, the smiles eventually  wear off and then you need a document to refer to which spells out what happens next.  You need a good attorney (or two) and if you are not an expert you need to hire one.  He might be an architect, an owner's rep or another independent contractor/builder, but he needs to be a competent person and he needs to on YOUR side.  You can bet the other guy has one.

Now you have a chance.

Regards,
Randy Pickelmann
MORNING STAR

Mike wrote "A contract should be considered as the framework for suing." I've spent 35 years in the construction industry. In that time I've seen and been party to lots of contracts - some good and some terrible. I've never considered a contract as a "framework for suing". It is much more than that. In my opinion a contract is merely a document which spells out how we are going to conduct ourselves when disagreements arise. At the time of contract, every one is friendly. The buyer is happy and excited about his new purchase. The contractor/builder is happy because he has a new client, work for his crews and the promise of a revenue stream and even more business. Unfortunately, the smiles eventually wear off and then you need a document to refer to which spells out what happens next. You need a good attorney (or two) and if you are not an expert you need to hire one. He might be an architect, an owner's rep or another independent contractor/builder, but he needs to be a competent person and he needs to on YOUR side. You can bet the other guy has one. Now you have a chance. Regards, Randy Pickelmann MORNING STAR
RR
Ron Rogers
Tue, Jan 18, 2005 11:54 PM

This exchange has been instructive to me. I now better understand why the head of a major NYSE listed company had two separate contracts with a perfectly reputable PNW firm. One contract had to do with the complex financing for the yacht and the inevitable Delaware corporation. The other dealt with great specificity about the construction and equipment.

One member of the T&T List shared the hardware and specifications portions of his contract with the public via a website. The level of detail was intimidating and, again, with a well-known reliable yard. But, if you want certain things in your boat, you have to have an agreement with your builder. Likewise, years ago, the Dashews put their specifications for their next sailboat on the web and, again, the detail was incredible.

This implies two things: you know what you want and you'll recognize it when you see it. More importantly, both you and the builder should know the proper way to install it. On this list and the T&T list we have owners of highly complex yachts who run them by themselves. Personally, some of their systems are too complex for me - but, via a contract, a mutual agreement, they got what they wanted in detail.

No legal document will produce quality. A contract can put a builder on notice that you know what they are capable of producing and that is what you want. Nothing replaces a good, well-managed company with a skilled labor force. Nothing.

Ron Rogers

This exchange has been instructive to me. I now better understand why the head of a major NYSE listed company had two separate contracts with a perfectly reputable PNW firm. One contract had to do with the complex financing for the yacht and the inevitable Delaware corporation. The other dealt with great specificity about the construction and equipment. One member of the T&T List shared the hardware and specifications portions of his contract with the public via a website. The level of detail was intimidating and, again, with a well-known reliable yard. But, if you want certain things in your boat, you have to have an agreement with your builder. Likewise, years ago, the Dashews put their specifications for their next sailboat on the web and, again, the detail was incredible. This implies two things: you know what you want and you'll recognize it when you see it. More importantly, both you and the builder should know the proper way to install it. On this list and the T&T list we have owners of highly complex yachts who run them by themselves. Personally, some of their systems are too complex for me - but, via a contract, a mutual agreement, they got what they wanted in detail. No legal document will produce quality. A contract can put a builder on notice that you know what they are capable of producing and that is what you want. Nothing replaces a good, well-managed company with a skilled labor force. Nothing. Ron Rogers