Archive for February 2012

Construction Law: Potential Complications with Joint Check Arrangements

Joint check agreements can be an effective way to ensure that payment makes its way downstream to a subcontractor or supplier, particularly when there is a distressed contractor or subcontractor on a project. Owners and upper-tier contractors and subcontractors weary of lower-tier subcontractors and suppliers filing mechanic’s liens (where rights exist) may elect to make…

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Construction Law: Verdict against Surety Exceeds $1 Million in Favor of Property Owner

In December 2011, the Circuit Court of Maryland for Howard County awarded a Columbia, Maryland-based church an award of $1.165 million after its surety breached its contractual obligations to complete the project when the general contractor walked off the job. The property owner, First Baptist Church, purchased a surety bond from Fidelity & Deposit Company…

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The Five Signs of Economic Recovery

The world’s developed economies may be set to emerge from several months of slowdown, led by the U.S. and Japan, according to the Organization for Economic Cooperation and Development. The Paris-based think tank said on Monday that its leading indicator of economic activity in its 34 member nations rose to 100.4 in December from 100.2…

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NLRB Postpones Deadline for Employers to Post NLRA Rights Poster

Employers now have until April 30, 2012 to post the National Labor Relations Act (“NLRA”) rights poster. The National Labor Relations Board (“NLRB”) decided to postpone implementation of the posting rule from January 31, 2012 until April 30, 2012. This requirement applies to both non-unionized and unionized workplaces. The poster provides a comprehensive list of…

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O'Malley's Amazon Tax

Governor O’Malley’s 2013 budget bill includes an “Amazon tax” provision similar to ones that are being considered and have been adopted by other states. The proposed law applies to online retailers located outside the state with affiliates in Maryland who receive benefits for referring potential customers to the out-of-state seller. Under the proposed law, that…

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Work Place Fraud Act

The Maryland legislature is considering legislation to address the business community’s concerns about the Workplace Fraud Act (“WFA”). The WFA applies exclusively to the construction and landscaping industries. Under the current WFA, there is a presumption that all workers are employees unless an employer can demonstrate that they satisfy the ABC test. The ABC test…

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Construction Law: Convention for the International Sale of Goods (CISG)

Many US contractors are unaware of the body of law that governs the shipment of materials from overseas. The Convention for the International Sale of Goods (“CISG”) operates as the governing law on international transactions involving the sale of goods between participating countries. (for a list of participating countries click here). The CISG is similar…

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