What do you mean I don’t own the plan?
Porter Hedges | Texas Construction Law Blog
by John R. Hawkins
3M ago
The Owner and Architect of a Project may sometimes strongly disagree on who should or does own the designs, plans, and specifications that the Owner pays the Architect and its consultants to produce. The meaning of “ownership” is a core part of this argument. This article provides a very basic overview of the ... More ..read more
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Key Considerations to Perfect Performance Bond Claims in Texas
Porter Hedges | Texas Construction Law Blog
by Emily A. Pendleton
3M ago
Perfecting a performance bond claim in Texas requires careful attention to legal requirements and procedural details set forth on the face of the bond and under Texas law. Perfection of a performance bond claim is often intertwined and complicated by owner concerns over project delays that arise any time a ... More ..read more
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The Owner’s Dos and Don’ts When a General Contractor Files for Chapter 11 Bankruptcy
Porter Hedges | Texas Construction Law Blog
by Megan N. Young-John, Gabriel G. Rincón
4M ago
This blog post addresses: (1) steps to be taken, (2) issues to be aware of, and (3) recovery prospects when a general contractor files for bankruptcy protection under Chapter 11 of the Bankruptcy Code, from the owner’s perspective. 1. The Automatic Stay Prohibits Taking Immediate Adverse Action Against the ... More ..read more
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New Texas Legislation that Restricts Owner-Directed Change Order Rights Takes Effect September 1, 2023
Porter Hedges | Texas Construction Law Blog
by Amy K. Wolfshohl, Cornelius M. Sweers
8M ago
The Texas legislature has passed House Bill 3485 that may limit owner-directed change orders for owner-directed work. The law takes effect September 1, 2023 for contracts entered into on or after September 1, 2023. The upshot of the bill is that private and governmental owners cannot issue owner-directives (or ... More ..read more
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Texas Supreme Court Rules on Governmental Immunity in Construction Contract Dispute
Porter Hedges | Texas Construction Law Blog
by Jack E. Byrom
8M ago
Last week, the Texas Supreme Court issued an important case involving governmental immunity in construction contract disputes. The case, Pepper Lawson Horizon International Group LLC v. Texas Southern University, arose out of a project to construct student housing on TSU’s campus.      Background The project ... More ..read more
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Bond to Indemnify Against Liens vs. Bond to Pay Liens or Claims
Porter Hedges | Texas Construction Law Blog
by Emily A. Pendleton
8M ago
Bonds can play an essential role in protecting owners from the financial risk associated with liens and other contractor claims on Texas construction projects. Two types of commonly used surety bonds are (1) bonds to indemnify against liens, and (2) bonds to pay liens or claims. When and how to utilize these bonds are ... More ..read more
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Recent Construction News under the Inflation Reduction Act
Porter Hedges | Texas Construction Law Blog
by James D. Reardon
8M ago
The Inflation Reduction Act of 2022 (“IRA”) offered several incentives for the construction industry, including an update of the deduction for energy efficient property installed at commercial buildings under Section 179D of the Internal Revenue Code of 1986, as amended (the “Code”).  The CHIPS Act of ... More ..read more
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Tips on Drafting Enforceable and Effective Liquidated Damages Provisions Under Texas Law
Porter Hedges | Texas Construction Law Blog
by Cornelius M. Sweers
8M ago
Liquidated damages provisions are commonplace in construction contracts. One would think that given the strong Texas public policy favoring freedom of contract, bargained for liquidated damages would be easily enforceable in litigation. But Texas law on this issue is counterintuitive and can render a ... More ..read more
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Price Escalation Considerations in Construction Contracts
Porter Hedges | Texas Construction Law Blog
by Amy K. Wolfshohl
8M ago
With material cost volatility in the current market, the topic of price escalation clauses is more prevalent. Some material costs are up and other costs are now down. Traditional lump sum contract structures do not take into account price escalation or de-escalation; whereas cost plus structures entirely and ... More ..read more
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Hurricane Season - Damage Repair Contract Protection for Consumers and Contractors
Porter Hedges | Texas Construction Law Blog
by Jack E. Byrom
8M ago
August through October marks the peak of hurricane season along the Texas Gulf Coast. Nearly every year, at least some part of the Texas coast feels the impact of a named storm during these months, either by flood, wind, rain, or all three. The resulting damage can create an immediate and dramatic need for contractors ... More ..read more
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