One of the strategies for maximizing the value of capital is to extend payment terms.
Every year the American Institute of Architects hosts a 3 day conference, This year the AIA conference was held in Las Vegas.
This process occurs before the contractor presents an invoice.
Contractors and Owners alike tend to treat close-out with lax and even dismissive regard.
Substantial completion is the single most important date of any project.
A lien is a legal document that imparts ownership onto a third party until a specific debt is paid.
In other words, they made payments to the contractor without knowing what these payments were for.
Johnson is out $170,000 and has liens from subcontractors that weren’t paid.
As I was moving off of the topic, I was asked to elaborate on why, design professionals are better than GC’s.
The project provided the revitalization it was meant to, but the path it took was fraught with frustration.
These list are unwritten and never published, but this practice is alive and well in construction circles everywhere.
These forms of developments are often maligned, they do serve a valuable function.