Michael L. Feinstein, P.A.

Construction litigation pending over nonpayment

It can be immensely frustrating to work on a construction project and experience a delay in receiving compensation. In some cases, a simple reminder of an owed balance is enough for payment to be made, but in other cases, it is not that easy. In fact, some companies may have to move forward with construction litigation in hopes of receiving their owed compensation.

Florida readers may be interested in such a situation currently underway in another state. Apparently, a historical association had hired a construction company to restore a historic bridge after the area suffered flood damage. The company completed the necessary repairs to the area, including building a wall to help avoid future erosion and placing rock and soil. However, the company claims it has not received payment for the completed project, which is $408,000.

The construction company sent a demand for payment, but it was not acted upon. According to its legal representation, the historical society reportedly believes that it does not owe the company any money because the construction company exceeded the bid price at which it was hired. Legal representation for the construction company did not offer comment for the report.

Not receiving payment can cause a number of setbacks for a construction company, from not being able to pay vendors to not being able to pay workers and more. If Florida construction companies have had similar problems with nonpayment from clients, it may be wise to consider their legal options. If requests for payments and other attempts to receive compensation go unheeded, construction litigation may be necessary.

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