As states reopen and begin to see an increase in positive COVID-19 cases, it’s important to maintain and reinforce some simple polices construction participants can implement to keep construction and infrastructure projects moving forward. In the construction industry, where workers may work hand-in-hand and share the same equipment and tools, project owners and employers should emphasize the need to implement and follow simple protocols that will increase jobsite safety and limit the spread of COVID-19.
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The COVID-19 pandemic is causing widespread challenges in the construction industry. Employee safety concerns, forced project shutdowns, construction delays, and supplier interruptions are mounting. Contractors must carefully navigate these unprecedented times by knowing their contractual duties, regulatory obligations, and mechanic’s lien rights.
As of August 20, 2019, no contract for commercial construction may have retainage over 10%; and contracts that are more than 50% complete must reduce retainage to 5%.
The Illinois Supreme Court rendered a very important decision on December 28th impacting the real estate and construction industry. In Sienna Court v. Champion Aluminum, the Court determined that the purchaser of a newly constructed home may NOT assert a claim for breach of an implied warranty of habitability against a subcontractor who took part in the construction of the home, where the subcontractor had no contractual relationship with the purchaser.