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ARTICLE · 15 JANUARY 2015

Fabricator/Erector Right To Pay For Extra Work Delayed By Legal Morass

Stites & Harbison PLLC
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A recent intermediate appellate court decision demonstrates how a complex legal relationship can significantly prejudice a fabricator/erector’s entitlement to its contract balance and payment for extra work.

United StatesReal Estate and Construction
David Ratterman
David Ratterman
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A recent intermediate appellate court decision demonstrates how a complex legal relationship among an owner/developer, a design/builder, and a construction manager-at-risk can significantly prejudice a fabricator/erector's entitlement to its contract balance and payment for extra work. The situation is an obvious, continuing nightmare for the fabricator and erector involved – companies that tried to follow their contracts "by the book;" but, some eight years after the work was complete, they still have not been paid. It provides a number of lessons and warnings for those involved in the fabricated structural steel industry in the United States.
The decision is not yet final and the fabricator/erector's battle is not yet over; so stay tuned. A summary of what has occurred so far and some lessons to be learned are set out below.

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