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ARTICLE · 06 MARCH 2019

Subcontractor Claim Reinstated

In a previous MHH Alert we highlighted a rare event: a recent New York appellate decision in which the court reinstated a subcontractor's claim, notwithstanding its failure to satisfy a condition precedent to...

United StatesReal Estate and Construction

In a previous MHH Alert (September 2018) we highlighted a rare event: a recent New York appellate decision in which the court reinstated a subcontractor's claim, notwithstanding its failure to satisfy a condition precedent to the claim being filed. In that case, the contractor did, in fact, neglect to verify the claim as required. The appellate court held that to dismiss the claim for a technical failure (the contractor had submitted notice and documentation of its claimed damages, just not with the required verification, i.e., a COFED) would be a "disproportionate forfeiture" under circumstances where the noncompliance was de minimis and the defendant-public owner had shown no prejudice.

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