4th Circuit shores up subcontractors’ positions on post-petition liens
Ignoring a trio of decisions from the U.S. Bankruptcy Court for the Eastern District of North Carolina that strayed from the industry standard, the 4th U.S. Circuit Court of Appeals recently found that North Carolina law does allow subcontractors and suppliers to perfect their liens after a debtor has filed for bankruptcy. The case, Branch […]
Contract – Construction Project – Subcontractor – Change Orders & Delay Charges – Statute of Limitations – Prejudgment Interest
Cleveland Construction, Inc,. v. Ellis-Don Construction, Inc. Where the defendant-general contractor filed claims -- including the plaintiff-subcontractor's claims -- with the project owner and asked the . . .
NCBA section takes on ‘arduous task’ of updating lien laws
With so many diverse and competing interests, it's been difficult to get a consensus on how to do something everyone agrees must be done: Change the state's lien laws. Nan E. Hannah (pictured), head of the N.C. Bar Association's Construction Law Section, said recent bankruptcy decisions, economic factors, concerns in the title industry and other issues led the section to "take a really hard look a[...]
Tort/Negligence – Premises Liability – Contractor – Subcontractor – Duty of Owner – Contract
McCorkle v. North Point Chrysler Jeep, Inc. (Lawyers Weekly No. 10-07-1221, 10 pp.) (Linda Stephens, J.) Appealed from Guilford County Superior Court (Edwin G. Wilson, J.) N.C. App. Click here for the full text of the opinion. Holding: A property owner’s duty of reasonable care shifted by contract to the general contractor during construction of […]
Contract – Payment Bond – Subcontractors – Interest
Boatwright Distribution & Supply, Inc. v. North State Mechanical Inc. (Lawyers Weekly No. 10-16-0888, 7 pp.) (Rick Elmore, J.) Appealed from Wake County Superior Court (Paul C. Ridgeway, J.) N.C. App. Unpub. Holding: The third-tier subcontractor was a proper claimant under the terms of a payment bond secured by the first-tier subcontractor. Therefore, its claims […]
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