Construction Law 2020-03-23T17:43:55+00:00

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Coronavirus (COVID-19) Impact on Utah Contractors

Note: Circumstances surrounding the Coronavirus (COVID-19) pandemic are changing rapidly. Please check back for updates. The following information is provided for general informational purposes only and not for the purpose of providing legal advice or giving a legal opinion on any specific facts or circumstances. For advice on specific facts or circumstances, please contact your counsel, or contact us about advising you. Your use of this website does not create an attorney-client relationship between you and Durham Jones & Pinegar, P.C., or any of its attorneys.

Is construction being stopped?

  • Utah – Not for now
    • In his first weekly update to the Utah COVID-19 Economic Response Task Force, Governor Herbert reported that there are no plans to close or restrict any additional business activity.
  • California – Unclear
    • California issued a statewide “shelter in place” order.
      • According to the State website, “construction, including housing construction” is exempt.
      • However, the actual order only exempts critical infrastructure sectors.
      • For more information from our friends at Smith Currie, click here.

Should I be doing anything to limit my risk on current jobs?

  • Closely monitor government impacts on the industry and your projects.
  • Obtain written verification from suppliers concerning open subcontracts and purchase orders.
  • With your attorney, review subcontract force majeure, delay, changes, claims, suspension, termination, and notice provisions (and prime contract provisions incorporated by a flow-down clause).
  • As required by you contract, notify the contractor/owner of any current or potential delays or cost increases attributable to COVID-19.
  • Track and document all impacts to work and your efforts to mitigate.
  • Review all insurance policies for business interruption coverage and give any required notice.

What should I do or protect myself on upcoming work?

  • Include specific provisions for delays and cost impacts resulting directly or indirectly from epidemics and pandemics (expressly including COVID-19).

Jobsite Health Practices

  • OSHA’s General Duty Clause requires employers to provide employees with a worksite that is “free from recognized hazards that are causing or are likely to cause death or serious physical harm.” Section 5(a)(1).
  • On site workers should practice proper social distancing, wear proper PPE (masks and gloves as needed).

General COVID-19 Information

DJP’s Construction team acts for our clients at federal, state, and local levels of government, including before local agencies, state regulatory boards and courts, and federal courts and agencies. Our construction clients benefit from the entire spectrum of DJP’s fully integrated construction business services and our unique expertise advising the full spectrum of construction clients through their entire construction process.  The construction group offers practical guidance for the needs, challenges, risks, liabilities, and duties of each of the parties involved in the construction process.

Significant Areas of Service

  • Project delivery methods, contract negotiation & drafting
  • Subcontractor Agreements
  • Supplier Credit Agreements & Guaranties
  • Design and engineering issues
  • Environmental and regulatory compliance
  • Legislative and public law
  • Water law
  • Zoning and land use law
  • Land acquisition
  • Construction and land development project planning
  • Financing of the construction project
  • Contractor licensing
  • Administrative law
  • Bid disputes
  • Design defects
  • Change-order disputes
  • Changed-site conditions
  • Collection of contract accounts
  • Contract interpretation.
  • Construction defect and defective workmanship
  • Delay and impact claims
  • Force-majeure events
  • Insurance and bonding claims
  • Inspection and supervision claims
DANA T. FARMER
DANA T. FARMERCHAIR
801.395.2424
[email protected]

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