A recent decision by the Armed Services Board of Contract Appeals illustrates the importance for GCs to obtain solid commitments from key subcontractors when seeking government contracts.
The ASBCA earlier this year dismissed a construction contractor’s claim for increased costs on a contract for the construction of dissolved oxygen injection systems in the Savannah River. The case involved a GC whose marine subcontractor withdrew its bid after a delay.
The contractor subsequently said that it would incur more than $3 million in increased costs. The ASBCA ruled that there was no evidence that the suspension of about 60 days to resolve a bid protest was anything but reasonable.
It also found that there was no causal connection between the suspension and the GC’s increased costs. The key lesson: prime contractors should promptly execute subcontracts with key subcontractors.
Related Stories
Codes and Standards | Jul 22, 2020
New version of IAPMO’s Water Demand Calculator is available
Enhanced features include selection between single- and multifamily buildings.
Codes and Standards | Jul 22, 2020
Mobile app calculates sound transmission for wood-framed assemblies
American Wood Council tool for floor-ceiling assemblies.
Codes and Standards | Jul 22, 2020
Architecture billings remain in negative territory, begin to stabilize
Fewer architecture firms report declining billings this month.
Codes and Standards | Jul 20, 2020
N.Y. construction firm to pay $1.5 million to settle sexual harassment claim
Managers said to demand sex for pay and OT opportunities.
Codes and Standards | Jul 16, 2020
Tips to make optimal use of salvaged materials
Integrated teams, staging warehouse, and looking early and often, among recommendations.
Codes and Standards | Jul 15, 2020
Georgia gives the go-ahead for tall mass timber construction
Standards review scheduled to be completed by July 2021.
Codes and Standards | Jul 15, 2020
Softwood-lumber duties boost expenses amid COVID-19 outbreak
Little hope this year for resolution of trade dispute with Canada.
Codes and Standards | Jul 14, 2020
Metal Construction Assn. releases three EPD updates
Pertain to Metal Composite Materials, Insulated Metal Panels, and Roll Formed Aluminum and Steel Cladding.
Codes and Standards | Jul 13, 2020
5 must reads for the AEC industry today: July 13, 2020
4 technologies for improving building sanitation and tech's ever-evolving impact on the multifamily space.
Codes and Standards | Jul 9, 2020
Funding opportunity for field validation of high-impact building technologies
Dept. of Energy program targets dynamic interactions with electric grid.