Spring has sprung! The sun is shining, and the birds are chirping, which means only one thing… construction projects are ramping back up and so is construction contracting. According to the U.S. census, construction spending during the first two months of this year totaled $260.8 billion, 5.9 percent above the $246.1 billion for the same period in 2022.
With a flood of projects racing to be started (and hopefully completed) within the next few months, now is the time to start finalizing bids and start building. However, as multiple jobs begin at the same time and tend to overlap, it’s imperative to stay on top of managing risk, particularly during the contract review process.
Below is a refresher on our contracting tips for construction:
The 3 Stages of Construction Contract Review, March 30, 2023
Construction contract review requires constant cycles of negotiation. Agreements between contractors, subcontractors and owners that describe the work to be carried out and payment terms are essentially reviewed three times, at the bid (pre-contract) stage, the negotiation (pre-execution) stage, and again during performance, with contract amendments continuing as the project is underway. This article explains the three phases of construction contracting, efficiency pitfalls and how AI contract review software may help improve the process.
Contract Language to Help Mitigate Common Construction Risks, February 22,2023
Construction is an industry that comes with various risks, not just to workers, but also owners and contractors. From delays to an evolving scope of work, material prices, and safety hazards, contractors face many challenges. In this article, we explore common risks of construction and how to mitigate them through specific construction contract language.
The Six Most Common Construction Contracts, February 3, 2023
Contractors should be prepared to interact with several types of common construction contracts. The contract review process has long been mired with inefficiencies and cycle times that can seriously impact team output and slow down the speed of business. Contract review software fills a critical gap in improving the efficiencies of corporate legal teams, transforming this time-consuming, manual task. This article gives an overview of the six most common construction contract types:
- Lump Sum Contract
- Design-build Contract
- Cost-plus Contract
- Guaranteed Maximum Price Contract
- Unit Price Contract
- Time and Materials Contract
The Definitive Checklist for Construction Contract Review, January 26, 2023
Reviewing contracts can seem like an overwhelming task, especially when contracts can seem to pile up. Construction enterprises must manage multiple contracts in different stages at the same time. There are many details that are specific to each construction job. Leaving any of them out can create confusion and the potential for issues to arrive throughout the construction job and after the job is complete. This article contains a checklist to help you make the most of your time reviewing construction contracts.
Using a Contract Playbook to Increase the Speed of Business, January 20, 2023
Typically, the buildout of a contract playbook requires many hours of work from a number of professionals within an organization. A playbook helps to frame a company’s contract negotiation tactics and procedures. This process typically involves stakeholders from across the company. Myriad professionals use playbooks – from lawyers and paralegals to contract managers, HR, procurement, sales teams, and others. Through AI-based contract markup, businesses attain greater accuracy through the re-use of knowledge, standard clauses and contract templates.
2023 Resolutions for Improving Your Business Contracts, January 11, 2023
Many of us start a new year with a list of personal and professional resolutions aimed at improving our lives. There are a number of changes we can commit to that could have a positive impact on our business contracts. Accordingly, this article offers “resolutions” that can help improve your firm’s contract review process in the new year, while freeing you up to focus on higher value work.