The Importance of Notice Provisions in Construction Contracts
Construction projects require many different kinds of contracts1, which set out requirements for many different parties involved, including the landowner, the builder, and any contractors. Too many people simply sign contracts while overlooking important provisions, and construction contracts are no different. Today we are examining one very important yet commonly ignored clause in a construction contract: the notice provision.
What is a notice provision?
A notice provision requires parties to notify one another within a certain time frame if certain issues arise with a construction project. We all know that many issues may develop during construction that have the potential to increase costs or delay completion of the project. A notice provision is meant to ensure that the correct parties are made aware of such issues so that they may make arrangements to deal with extra costs or time constraints.
A notice clause should be clear and should contain the following:
- How notice should be given (usually in writing)
- The exact information a notice should contain
- The time limit for sending notice
- To whom notice should be sent
If a notice provision is followed, the builder should be sufficiently aware if a contractor is making a claim for additional money or time. On the other hand, if a contractor fails to satisfy the notice requirements and goes over money or time constraints of a project, the contractor could find himself liable.
Unfortunately, many disputes regarding notice provisions end up in court. In order to avoid future litigation, you should always have an experienced attorney draft and review your notice provision to ensure all parties understand the importance of compliance.
Contact an experienced construction attorney for assistance today
At the Dickson Frohlich Phillips Burgess, our experienced Seattle contract law attorneys understand how complicated construction contracts may be and also how important these contracts are to the success of the construction project. If you have any questions regarding the terms of a contract, how to enforce terms of a contract, or litigation over a contract, please consult with one of our construction lawyers today. Do not hesitate to call us in Seattle at (206) 621-1110 or in Tacoma at (253) 572-1000.