This article was originally published in the April 2020 issue of ConsensusDocs Construction Law. It is republished here with permission.
State and local governments throughout the country continue to issue orders in response to the novel coronavirus (COVID-19) outbreak. Many states have ordered the shutdown of all businesses, with various exceptions such as businesses that are “essential” and/or “life-sustaining.” Each jurisdiction has provided a list and/or guidance on what kinds of businesses must close and what can remain open. Pepper Hamilton continues to monitor these orders and update its “COVID-19 – State Business Impact Tracker” map, an interactive tool that shows shutdown orders by state. The Business Impact Tracker can be accessed at https://covid19.pepperlaw.com/.
Whether construction projects can continue is an ever-changing issue. In some jurisdictions, such as Boston, all construction projects were shut down. In other locations, whether construction can continue may depend on the county, or even city, where the project is located and/or the type of project. However, those supplying labor, materials and/or equipment to construction projects should closely monitor how their projects are being impacted, including whether and when to exercise statutory remedies available, e.g., ‘ lien, stop payment notice and/or bond rights. In many states, the statutory deadlines to assert these rights are triggered by “completion” of a project.
Continue Reading Continuous Cessation of Labor on Construction Projects Can Trigger Statutory Remedy Deadlines