After a general contractor on a federal government project allegedly terminated a subcontractor’s contract for convenience, the subcontractor sued the payment bond surety for the amounts owed to the subcontractor. In Maguire-O’Hara Construction, Inc. v. Cool Roofing Systems, Inc., the subcontractor claimed the surety was liable for the unpaid remaining balance on the subcontract of nearly $2.6 million, even though the subcontractor was only owed about $360,000 for completed work. The surety filed a motion for judgment on the pleadings seeking dismissal of the subcontractor’s $2.6 million claim, which asked the court to determine whether the subcontractor could assert a claim against the surety for unperformed work. The court’s answer? No way.

Continue Reading Federal Court Rejects Subcontractor’s Payment Bond Claim for Unperformed Work

This is the third post in a five-part series about the most common reasons for winning GAO bid protests. The third most common reason for winning a bid protest is when an agency fails to follow the evaluation criteria stated in a solicitation for proposals.

As an example, in McGoldrick Construction Services Corporation, B- 409252.2 (Comp.Gen Mar. 28, 2014), the U.S. Army Corps of Engineers issued a solicitation for construction and maintenance services. The proposal was structured as a two-phase evaluation. In the first phase, the bidders would be whittled down to a few qualified bidders that would compete for the award in the second phase.


Continue Reading Construction Bid Protests – Failure to Follow Evaluation Criteria

The coronavirus (COVID-19) is gaining speed and construction projects across the country and in Florida have reportedly been slowing or shut down as a result. It’s time for construction contractors, including those working on government projects, to consider whether they will be entitled to additional money and/or time on their projects. In this post, we will take a brief look at how things might shake out on federal government and Florida Department of Transportation (“FDOT”) projects.

Continue Reading Coronavirus and Government Construction Projects: Do Contractors Get More Money and Time?

If you are an unpaid sub-subcontractor on a federal government project, don’t forget to provide notice of your claim to the general contractor within 90 days and file a lawsuit no later than one year after last furnishing labor or material to the project or you will lose your payment bond rights. That’s exactly what happened in a recent federal court decision in which a sub-subcontractor lost its right to assert its $8.5 million claim against the co-sureties that issued a payment bond because the sub-subcontractor failed to give notice within 90 days and file a lawsuit within one year of last furnishing labor or material on a federal government project.

Continue Reading Sub-Subcontractor Loses Payment Bond Rights on $8.5 Million Claim for Failing to Provide Timely Notice and File a Lawsuit