According to the Bureau of Labor Statistics, over 100,000 construction-related accidents occur in the United States each year. Of those thousands of accidents, many construction businesses run the high risk of being sued as a result. Even if the construction business is found not to be at fault, lawsuits involve a significant amount of time and money that can damage a company. To avoid being sued, protect your Texas construction business by contacting a construction lawyer.
While it is impossible to plan for every unexpected situation that may arise, the following tips may help protect your Texas construction business.
7 Tips to Protect Your Texas Construction Business
Construction companies can be sued for many different reasons. Some lawsuits may occur because of a hurt employee, and others due to an alleged breach of contract. Being sued does not have to be inevitable for your construction business.
Always Use Written Contracts
Construction businesses should routinely use written contracts whenever entering into business with subcontractors or owners. No matter how small the job is or how long your relationship with the other party, a written contract will help protect you from an unwanted lawsuit if an issue arises.
Review Your Contract
Before an experienced construction lawyer. Ensure the contract reflects the parties’ intentions and agreement on all work to be completed.
Clarity of Description of Work
The description of the work to be completed should be clearly set forth in the contract. The description should be clear not only to you but to anyone, with or without experience or background in construction work.
Change Orders
Change orders are documents used to alter the original agreement on a construction project. The change order must be signed by all parties involved.
Asset Protection
Construction companies can protect themselves and their assets by setting up a holding company, and separating different business divisions. For example if a problem only involves the HVAC company, the main construction business cannot be sued.
Warranties
The signed contract should have a clear description of any warranties and their durations. The contract should also include any waivers and a clear exclusion of any other warranties including implied warranties.
Remedy Provisions
If a breach of contract occurs, a remedy provision allows the contractor to receive payment for all work completed. Additionally, the contractor can receive proven losses sustained upon equipment, materials, construction equipment, machinery, tools, and any other applicable damages.
In addition to these tips, having a skilled construction lawyer on your side may be helpful if your construction business is at risk of being sued.
Partner with an Experienced Texas Construction Lawyer at Rosenblatt Law Firm Today
Any business can be sued, but construction businesses run a higher risk of legal action being taken against them due to the nature of work. If your Texas construction business is at risk of being sued, or is presently being sued, partner with an experienced construction lawyer to help defend your business. Rosenblatt Law Firm has a team of experienced construction lawyers serving clients in Texas for over 15 years.
Our knowledgeable construction lawyers are proud to offer clients the dedicated and award-winning representation they deserve. To schedule a free consultation with our legal team, contact us here or call (210) 562-2900.
