STATEMENT FROM STUART S. ZISHOLTZ
Phase 1 of reopening begins in New York City on Monday, June 8 after a lengthy pause. This Phase 1 reopening will include non-essential construction, which was shut down on March 27. In order to be prepared for the reopening, I am listing important items you should take into consideration in order to get your projects back on track.
All receivables should be addressed before commencing with any work. You do not want to get deeper in the hole if you are already owed money. Owners and developers should confirm with lenders that funds are available and reach out to their general contractors to confirm any balance due. Any receivables due should be paid and brought current. Do not be afraid to lien the projects due to non-payment. You can always remove the lien in exchange for payment.
General contractors will need to make sure their subcontractors are capable of performing the work under the same terms, conditions and price as agreed upon before the pause. Subcontractors will need to confirm the work can be completed at the same price and within the same time period. Schedules will obviously need to be adjusted in order to address the pause. Laborers need to be ready to proceed with the work when called upon.
All agreements, insurance policies, permits, and construction plans should be reviewed to confirm compliance.
Confirm with your supply houses whether the materials are available for the project and when they can be delivered. Some manufacturing facilities are closed and supplies are delayed and limited. Request an inventory of materials needed you plan for your project from suppliers so you can evaluate if you need to make any substitutions.
Both New York State and the New York City Department of Buildings have issued safety guidelines that contractors and subcontractors must comply with before commencing work. These requirements are in addition to minimum safety standards set forth by OSHA and the CDC.
Never let your lien time run out!
For a free copy of our pamphlet pertaining to mechanic=s liens and payment bond claims, kindly contact me.
ZISHOLTZ & ZISHOLTZ, LLP
200 Garden City Plaza – Suite 408
Garden City, New York 11530