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EDITOR'S NOTES | Issue 8-26

publication date: Jun 26, 2010
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Most contractors are familiar with the “battle of the forms” that ensues when dealing with subcontractors and suppliers. The proposal submitted by the sub or supplier purports to establish all the terms of the transaction. But, the contractor has its own printed contract form that contains very different provisions. What happens when a problem develops after work is well underway and neither party signed the other’s form at the onset? Which form governs?

In a recent California case, a subcontractor’s form prevailed over a prime contractor’s form. Neither form was signed by the other party. But, the parties proceeded in accordance with the sub’s proposal long before the prime transmitted its own preprinted subcontract form to the sub.

Other cases this week involve an owner’s alteration of the project design and the timeliness of an equipment supplier’s lien filing. A contractor was liable to the owner for the failure of a parking lot because the failure was caused by the contractor’s faulty workmanship, not the owner’s design alteration. And the supplier’s lien filing was not timely because the supplier could not prove the date of delivery of the equipment.



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