Shopping Cart (0) items Sign In

Construction Claims Monthly - Devoted exclusively to the problems of construction contracting since 1963

‹ Prev article: 

Suit For Retention Backfires But Finds No Jurisdiction On Subs Switch

Sunday, November 04, 2007 12:57 pm

Suit For Retention Backfires But Finds No Jurisdiction On Subs Switch

The California Court of Appeal ruled that a statute a contractor used to recover withheld funds automatically exposed it to comparatively substantial legal fines when it lost its case. The court also struck down a fine on the contractor imposed under the California's Subletting and Subcontracting Fair Practices Act, ruling that courts lack the jurisdiction to impose penalties under the act.

In the spring of 2002, the City of Sunnyvale (City) contracted with Thompson Pacific Construction, Inc. (Thompson) to build the Sunnyvale Senior Center. Completion was delayed, and disputes arose about the delays and payment owed. Thompson unilaterally ceased work, so the City completed the project itself and withheld $279,428 for work it claimed was incomplete, improperly done or delayed.

Thompson sued the City to recover this unpaid retention and charged that it was due about a quarter of [...]

› Next article: 
Sign up now for Construction Claims Monthly Online! Your own virtual help desk of must-have techniques, tutorials, and how-to articles.
Join Now Construction Claims Monthly! Close

Dear Valued Customers,

We regret to announce that ProEdTech LLC and all its affiliate brands will cease operations on April 1, 2019.

We are no longer able to fulfill online orders. We will fullfill all DVD and book orders already placed.

Customers of canceled webinars and subscription products may request a refund at (800) 223-8720 or You must do so by April 1, 2019.

Thank you for your business and loyalty over the years. We sincerely apologize for any inconvenience caused.

Best regards,
The ProEdTech Team