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Ramsey Legal Blog

Why use a mechanics/construction lien?

Collateral is a principle concept in many loans. The idea is that the lender can seek compensation for their investment if the borrower doesn’t deliver on their promise to repay the debt. It legally connects a loan to a piece of property. For example, a prospective business owner might use a car or home as collateral on startup loan. If they don’t pay their loan back, their car or home is them sold to pay off the debt.

A construction lien, also called a mechanics lien, follows the same idea. It’s a legal document that says if a project isn’t paid for, then your business can recoup its investment by taking possession of the property. It’s used in many construction cases from replacing windows in a home to the construction of an entirely new building.

Common construction-site injuries and how to avoid them

As the city that never sleeps, New York construction seems to boom year-round. Meanwhile, its neighbor state of New Jersey has new projects popping up all the time.

Both states are seeing growth in construction, which is great for developers. Unfortunately, more construction means more chances for worker injuries.

What are the benefits of construction mediation?

There are many reasons New York and New Jersey construction companies may want to avoid litigation when disputes arise. Court battles can be time-consuming, costly and damaging to business relationships. How can such battles be avoided? One option that many companies find helpful is mediation.

Three steps for preventing scaffolding injuries

As spring has taken hold in New Jersey, the construction industry is poised to have another profitable year. The residential housing market remains strong, and the commercial construction market mirrors the success of the nation's economy. Given the increasing number of construction projects, there may be a greater risk of accidents as developers and investors look to finish buildings and reap the financial benefits.  

With all the dangers that workers can encounter on construction sites, falls are still the primary way for workers to be injured. In fact, a fall from just six feet above ground can lead to serious injuries. For every foot higher that a worker is in the air, the greater the chance for a serious (or fatal).

Basic questions about construction defect cases

It is not every day that homeowners encounter construction defects, but they can occur regardless of whether the home is newly constructed or recently restored from its former glory. When a homeowner discovers a defect, either through the detection of mold, problems with electrical systems or cracks in the roof, foundation or sheetrock, he or she may have legal remedies available.

While not intended to be legal advice, this post will highlight answers to some of the most common questions about construction defect cases.

Elements of a construction contract you should know about

The weather in our region is expected to get better very soon, even though meteorologists have been promising that spring will actually be here for soon for the past couple weeks. Whatever the weather has in store for us in the coming week, one thing is for certain, once the weather clears, construction projects will begin in earnest. The same will likely occur for the planning of future projects.

For those who are in the planning stages, the wording of a construction contract is critical. Not only will the contract dictate the time frame and the pace of completion, it could also serve as the basis for any legal remedies. Because of this, we will highlight a few construction contract provisions that of which entities should be wary.

What to consider before initiating a lawsuit

Perhaps the most important goal to be reached with a construction contract is establishing strong, yet flexible expectations regarding completion deadlines. Having these in mind at the outset can help avoid cost overruns and other minor issues that can give rise to major disputes and consequential damages.

While many may strive for the ideal, resolutions may not be easily reached after a breach. When this happens, construction companies (and the entities who hire them) must make sound business decisions when it comes to filing suit to recover damages. Basically, a lawsuit must make good economic sense before it is filed.

More drones being used to make safety inspections

Whenever we hear about drones in the media, more often than not they are cast in a negative light.  We commonly hear about drones flying too close to airplanes or being used to spy on people, and that's before the injuries to unsuspecting children.

However, despite the disdain for drones and the potential danger to others, there is a growing market for drones in the construction industry. This post will briefly explain why.

Seeking restitution through construction litigation in New York and New Jersey

Prior to beginning a new project, construction companies in New York and New Jersey often seek to form a plan to ensure that the project proceeds smoothly.  Of considerable concern to contractors are the high costs that are associated with delays.  However, even with a well conceived plan, delays still occur and inevitably lead to heated disputes that windup in litigation or arbitration.

In one such case, a construction company filed a lawsuit against the State University of North Dakota in which it sought $1.3 million to cover additional costs caused by delays.  The construction company in that case asserted that the delays were the result of flaws in the design of the project.  As a result of the delays, it was forced to accelerate its work to accommodate an upcoming dedication ceremony. 

Construction law: Company involved in dispute over payments

In large scale projects, construction companies in New York and elsewhere may choose to enlist the services of a contractor. These arrangements generally include a contract stating the terms of the arrangement and how to proceed should any disputes arise. One common area in construction law where such disputes could occur pertains to issues with payments, and such topics can be hotly contested.

According to reports, a construction company in another state is currently involved in such a dispute. A contractor who was hired by the company to work on a bridge replacement project claims it hasn't received payment for work performed. A county commissioner in the area says he has received quite a few complaints related to the issue, and states that numerous individuals who work for the contractor have allegedly gone months without being paid.