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Termination of Construction and Design Contracts

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Overview

Construction and design contracts increasingly contain provisions giving one or both parties the power to terminate the contract. Given that contracts are not always clear on the interrelationship between the termination provisions and the law, this unique resource provides the insight and information you need to interpret contracts and enforce key clauses to your client’s advantage.

Termination of Construction and Design Contracts enables you to handle even the most complicated terminations and suspensions. With this latest addition to Aspen Publishers’ respected Construction Red Book Series, you’ll be able to:

  • Negotiate and draft appropriate termination clauses in project contracts
  • Benefit from expert analysis of current case law
  • Master the subtle differences between different types of termination —and know when each applies
  • Identify all the potential remedies for the terminated contractor whether justified or wrongful
  • Understand and enforce the duty to mitigate
  • Identify and apply the different immunities
  • Accurately value the costs involved in termination
  • Determine what constitutes default and the grounds for a default termination
  • Define the contractor’s, owner’s, and designer’s right to suspend work

Termination of Construction and Design Contracts provides complete and comprehensive analysis of all the issues surrounding contract termination and the suspension of construction and design projects. Covers the legal and practical details of termination from every party’s perspective:

  • Public Owners
  • Private Owners
  • Contractors
  • Subcontractors
  • Sureties

 

 

 

 

 

Last Updated 11/21/2017
Update Frequency Updated annually
Product Line Wolters Kluwer Legal & Regulatory U.S.
SKU 10045359-7777
Product Line Wolters Kluwer Legal & Regulatory U.S.
SKU 000000000010041285
Table of Contents

Termination According to a Contract Provision

  • Terminated General Contract Also Terminates Subcontract

Termination for Convenience

  • After a Convenience Termination
  • Exercising the Election to Terminate for Convenience
  • The Schedule’s Role in Termination for Convenience
  • Resolving Convenience Termination Disputes

Determining the Amount of the Convenience Termination

  • Federal Convenience Termination Cost Principles
  • State and Local Convenience Termination Costs
  • Under AIA and Other Proprietary Form Contracts
  • Subcontractor Costs

Termination for Default

  • Contract Termination May Be Limited
  • Standard Clauses
  • Acts that Justify Default Termination
  • Acts that Justify the Contractor’s Default Termination
  • Improper Default Termination Changed to Termination for Convenience
  • Wrongful Termination

Waiver of Right to Terminate by Default

  • Federal Contracts
  • Waiver in State and Private Cases
  • Waiver of Right to Terminate for Defective Work
  • Waiver of Right to Terminate for Failure to Progress
  • Waiver of Right to Terminate by Breach of Implied Obligation of Good Faith and Fair Dealing

Determining the Amount of a Default Termination

  • Recovery for the Party that Justifiably Terminates
  • Recovery for the Party that Is Improperly Terminated for Default

Termination Clauses in Construction and Design Contracts

  • Alternate Termination Clauses in Construction Contracts
  • Alternate Termination Clauses in Subcontracts
  • Alternate Termination Clauses in Design Contracts
  • Alternate Termination Clauses in Design-Build Contracts

Termination and the Terminated Party’s Surety

  • Sureties and Material Changes in the Contract
  • The Declaration of Default
  • Surety’s Obligation to Its Terminated Principal
  • The Surety’s Obligation to Arbitrate with the Party that Terminates
  • Surety Competes for Priority with Lenders

Suspension

  • Generally
  • Contractor’s Right to Suspend Work
  • Owner’s Right to Suspend Work
  • Designer’s Right to Suspend Work
  • Federal Suspension of Work
  • International Suspension of Work

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