With construction sites abundant in the US, it is not surprising that the value of all construction is astronomical. In fact, recent estimates put it at $ 2 trillion. To put that in perspective, that’s nearly 10% of the country’s GDP. Because of the huge sums of money associated with any construction project, it is vital that a construction site take various legal steps to ensure that the company, its workers, and the project itself are protected. To learn more about it, here are five legal steps every construction site should take.
1- Hire an experienced lawyer
In order for a construction site to know that it is fully protected from a legal point of view, it should have one experienced lawyer who specializes in construction law. Since there are many aspects to any construction job that include contracts, licensing, zoning, and more, it is beneficial to have an attorney who understands these areas in detail.
2- Take out workers’ compensation insurance
Because construction sites are one of the most dangerous working environments in the United States, a construction site should always ensure they have adequate compensation for workers in the event a worker is injured. In this way, a site can not only protect its employees, but also avoid the possibility of a future lawsuit.
3- Understand the contracts
There are many for even smaller construction contracts contractual agreements for almost everything. Whether supplier agreements, contingent clauses for unexpected problems in the course of the project, arbitration clauses or other areas, the lack of understanding of the type and scope of contracts can have fatal consequences from a financial point of view. Because many construction contracts are required to comply with the laws of the country at the site of the construction site, this can sometimes result in the contract not being able to be paid for.
4- Insure the construction machinery
Whether it’s dump trucks, bulldozers or jackhammers and other power tools, a construction site should always ensure that all equipment on the construction site is properly insured. Even in a small location, existing equipment can be valued at hundreds of thousands of dollars. Since construction sites are often the target of vandalism and theft, insuring all equipment can avoid many legal problems in the event of theft or vandalism.
5- Have the correct licensing
In order to be able to legally carry out construction work, all parties involved must have the correct licensing perform various tasks on site. Due to the very strict requirements for such licensing, there can be considerable penalties if these details are not observed before the start of the project. In fact, not only can your company lose money, but you and your company can be prosecuted for such violations.
By paying attention to the smallest legal details of your construction site, you can avoid problems you never anticipated. Whether it’s a licensing issue or a customer refusing to pay you for your work, giving high priority to various legal actions can make a world of difference. Once you do so and rely on your construction attorney’s advice on various matters, you can rest assured that your construction project will be completed on time and on budget.
Legal Scoops’ senior editor Jacob Maslow has founded several online newspapers, including the Daily Forex Report and Conservative Free Press