Plan B Dsgn signed a subcontract Agreement with a General Contractor back in June of 2020. Here are some of the issues that aspired: 1. Since June, the project went thru some misc. Infra-structure issues that caused delays in the progress due to redesign. 2. Also, rain delays due to winter weather. 3. Then mid-year 2020 we were told that the owner is changing the way the current building stud framing and parapet framing design and that revised drawings were forthcoming. 4. Then we heard that we will also be receiving tenant finish-out drawings. 5. Then towards the end of 2020 we were told that the Owner has not released the project to go vertical. 6. Now 1st week into 2021 we noticed that the project is going vertical and one of the buildings steel erection is almost 30 to 40% erected. Called the General Contractor today 1/6/21 and found out the Owner has decided to contract with his own subcontractors. GC explained that the Owner had elected to do this on most if not all of the pending scopes of work. He proceeded to say that the Owner per AIA Agreement A133-2009 (which is signed between the GC and the Owner) had the right to reject and elect to hire his own contractors to do the work if said had nor commenced. Please advise if true and/or what is our next action would be. Thank you so much
Hello,
You have provided us a lot of well laid out facts but you have not told us what your specific issue is. Are you having a payment problem?
Yes, he can hire his own people at his discretion but you should be paid for any work you have done already.
E. Aaron Cartwright III
214.789.1354
Aaron@EACLawyer.com
Thak you so much. We do not have a payment problem. We have an executed subcontract agreement with the General Contractor/Construction Manager for the Drywall Scope of work. We have not started the work as of yet. And now we were informed by the GC that the Owner elected to go with someone else.
Gotcha,
Unfortunately, that one is a done deal and (in my opinion) not worth your time pursuing.
Because you haven't done work, you have no lien rights.
You could sue for breach of contract but the facts do not show you have not suffered a financial harm so the case would be thrown out relatively quickly. If you did spend money towards this project, you would have a claim under a different cause of action but then you have to ask yourself if it's worth your time. Because your time is worth something but do you want to spend it chasing that one.
-Aaron
you are right it is not worth our time. Thank you so much for your help! However, I did email the GC to proivide us with the documentation from the Owner of the requested termination and documentation from his company voiding our agreement.
Am I within my right toask for such a termination in writing?
Termination in writing is best. It means that they can't claim you were supposed to be on the job when you were not there.
-Aaron
Thank you so much for the help!!