Q: Hi! I have a question regarding Construction Contracts. The scenario is as follows:
(Company A) signs a contract with a local Contractor (Company B) for some construction works. “Company B” starts working on the Project along with it’s Machinery and Manpower. Unfortunately due to unforseen circumstances the works were halted ("Company A" failed to provide "Company B" with the required Project drawings). Specific requests were made by “Company B” to “Company A” (The Employer) to cater to the altered situation, but those requests were met with unreasonable answers. Hence the situation resulted in “Company B” suing “Company A” for damages. Thus my question to you is, how does Company B win a claim for the Idle time it endured at the Construction Site along with it’s Machinery and Labour Force? How will the Idle Time payments be calculated and made?
A:
This sounds very much like a "legal" question you have been asked in Business Law 101.
Answer: The main difference between successful small businesses and those that fail within the first year of operations is good legal advice. The owners of most successful small businesses understand that retaining a competent lawyer and paying modest legal fees to advise them--from day one—may end up saving them thousands of dollars later on when they have to fix unnecessary problems. Calling a lawyer you know--and trust--beats asking strangers for free business advice on AVVO. Try it and see.
A:
In such settings, some of the things generally used to evidence losses could include time sheets for labor costs and logs for daily cost of equipment.
Tim Akpinar
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