Poughkeepsie, NY asked in Business Law, Contracts, Construction Law and Government Contracts for New York

Q: Can owner of project demand me to credit part of job based on payment schedule G703 form.

I am doing a 12 building government funded rent subsidized project. Owner rejected extra cost for work on 1 buildin arch. missed and went and hired another electrician to do extra and my work (part of my contract). Owner wants me to credit him the amount on on payment of schedules G703 form which is not the amount I allowed as per estimate sheet. Do I have to credit him based on payment of schedules form?

1 Lawyer Answer
Barry Eran Janay
Barry Eran Janay
Answered
  • Construction Law Lawyer
  • New York, NY
  • Licensed in New York

A: The short answer is that you have to carefully look at the contract and scrutinize the obligations each of you have. The long answer begins with "it depends..." Basically the rules of contract law will government, when there is a breach each side has a duty to mitigate damages / losses. Inadequate or shoddy workmanship does qualify as performance on a contract and therefore doesn't obligate the other party to pay.

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