Troublesome Contract Clauses: Pay-If-Paid Clause

Craig Martin, Attorney with Lamson, Dugan & Murray, discussed several troublesome contract clauses that contractors need to be aware of during his presentation at the Construction Law Seminar held March 10th. One of these is the Pay-If-Paid clause. These clauses eliminate the obligation to pay the subcontractor until the general contractor is paid by the owner. Mr. Martin pointed out that, normally, a party to a contract must perform its obligations under the contract in a "reasonable … [Read more...]