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Procedural Breaches Did Not Justify Late Payment Payment-final; Interest; Attorney Fees

Monday, May 03, 2004 01:00 pm

 
Procedural Breaches Did Not Justify Late Payment Payment-final; Interest; Attorney Fees

The Ohio Supreme Court has ruled that a subcontractor's breach of "no-lien' and forum selection clauses did not justify the prime contractor's failure to make prompt payment. The disputes were procedural and did not involve the sufficiency of the work itself.

Construction One, Inc. was the general contractor for a retail store project in Muncie, Indiana. Construction One subcontracted the electrical and mechanical work to Masiongale Electrical-Mechanical, Inc. The subcontract included clauses whereby Masiongale agreed to refrain from filing liens on the project and agreed that any [...]

 
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