Construction projects require cooperation and coordination among a long list of participants including architects, contractors, subcontractors and others. So it's not surprising that even the most straightforward construction projects can result in disputes and ultimately, costly litigation. Before embarking on a construction project, consider how best to prepare your company to defend or pursue a construction claim in the event that all doesn't go as planned.
In the News
Thursday, May 26, 2022
Builders and contractors who buy commercial general liability (CGL) insurance policies with the impression that they will keep them safe from allegations of inadequate or faulty work must be aware of what their policies cover. It's important to know that a CGL policy does not provide coverage for work that is faulty. In order to qualify for payment under a CGL policy, there must be a specific type of occurrence that causes property damage. The terms in these policies define an occurrence as an accident. This includes repeated or continuous exposure to conditions that result in bodily injury or property damage. The damages or injuries must occur during the policy period in order to qualify for coverage. These injuries or damages must not be intentional.
Thursday, May 5, 2022
They say hindsight is 20/20. You can take advantage of that hindsight by holding regular project closeout meetings to find nuggets of truth about how the project went and learn from them. Not every project makes money for your firm. You can find ways to improve project and accounting management if you set a tone of openness to genuine feedback that will filter down to your project managers and other key employees. Here are some guidelines for success in this endeavor:
Tuesday, April 5, 2022
Best practices for containing insurance costs are critical because insurance is one of the biggest costs in the dangerous construction environment. Here are 10 ways contractors may be able to save money on insurance:
Tuesday, March 22, 2022
I'll do your family's dental work for free if you build a deck onto my house." If you're in the construction industry, you've probably received an offer like this or made a similar offer to someone else in a different line of business. It's a modern variation of the age-old practice of barter. What makes it especially intriguing in this day and age is the idea that you can exchange services or products with someone without exchanging money.
Tuesday, March 8, 2022
t's no surprise that construction sites are ranked high on the list of the most dangerous workplaces. Nail guns, heavy falling objects, saws and other items are often the cause of serious injuries. The possibility of serious injuries or fatalities is higher in construction than most other industries. Therefore, it's essential for employers to strive to create the safest possible work environment for their employees. The following are a few areas of safety that should not be overlooked:
Wednesday, February 23, 2022
All construction companies store equipment, from a garage full of tools, to a scissor lift, from something as simple as an auto trailer, to something as complex as a hightower crane. These items represent costs that must be recouped or they simply absorb cash every time you call a mechanic, or they sap net profit whenever you get that depreciation deduction at year end.
Tuesday, February 8, 2022
When the busy season comes, the last thing on your mind is accounting for your projects. You and your employees are concerned with only one thing: keeping up in delivering quality projects on time.
Thursday, January 27, 2022
Builder's risk insurance provides protection for a structure that is damaged during construction. These policies are usually broad. In fact, the coverage is generally extensive enough to include construction equipment and machinery, as well as materials, fixtures, and appliances -- all vital parts of a completed structure. It can also cover temporary structures, such as office trailers, on a project site.
Monday, January 17, 2022
Many construction bookkeepers have gaps in their knowledge about how to produce quality financial statements. That can matter at year-end. There is only so much your accounting or tax advisor can do at the end of the financial year to correct or modify poorly recorded transactions.