If you have ever undertaken a remodeling project at home, whether it has been small or large, you have likely come to know of some common truths related to construction. It’s very likely your project didn’t go as you planned: maybe it cost more than you had budgeted, an unexpected problem was discovered, or maybe it took longer than you had anticipated.
In it of itself these situations are inconvenient but when you have to consider the legalities of working with a contractor and abiding by special state construction laws, a simple project can quickly turn into a seemingly never ending nightmare. For example
● What if a general contractor or subcontractor aren’t showing up regularly and the work isn’t moving along
● What if a general contractor tries to back out of the project
● What if an excessive amount is paid to the contractor at the start of the project
Lets begin by talking about what is the Utah State Construction Registry (SCR) and why it can be beneficial to you. In 2015 the state of Utah introduced this tool to better manage the parties involved in construction projects. There are multiple different notices that should be filed depending on your project. Put very simply, every party in a construction project, the owner, the contractor, and subtractor, will each file a notice to the SCR to maintain their right to lien. Ultimately this means that the contractor can demand pay from the owner, when their work is complete. As an owner this tool is also favorable because you are able to be aware of who is participating in your project.
This prevents the negligence of contractors in the payment of subcontractors, which implies your responsibility of payment. In reality, the final goal of SCR is to increase visibility to all parties in participation and ensure that each party is paid at the end of the project.
Now what about all the variables that are unavoidable when working on a construction project? When you have a contract detailing the work projected to be done, changes become a little trickier. These modifications are called variation or change orders and depending on the magnitude of the alterations, an amendment to the original construction contract may or may not have to be made. Because of the delicate nature of contracts, enlisting the assistance of a lawyer is vital. Our experienced attorneys here at Sumsion Business Law are well-acquainted with all of the unexpected issues that may arise in your project. We invite you to be proactive in ensuring that your construction project goes smoothly. Get in contact with us early and start building your relationship and your project with peace of mind.