Contract termination lessons from NY construction decision


By Bradley Pollina (November 2, 2021, 5:03 p.m. EDT) – Construction subcontracts typically specify the reasons a general contractor can terminate a subcontractor.

Among other termination rights, a contractor is generally allowed to terminate his subcontractor “for just cause”, most often including the performance by the subcontractor of deficient work or his inability to meet the schedule. of the project.

For example, the American Institute of Architects document A401-2017 Standard Form of Agreement Between Contractor and Subcontractor generally allows termination of the subcontractor for cause if “the subcontractor repeatedly fails or neglects to perform the work in accordance with subcontract documents or otherwise. perform in accordance with this subcontract. “[1]

Although that …

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