ConsensusDocs recently presented a webinar entitled “Managing Subcontractor Default, Bankruptcy, and Owner Insolvency in a Recovering Post Covid-19 Construction Economy.” The webinar, moderated by Phil Beck, a partner in the law firm Smith, Currie, and Hancock LLP, highlighted several steps that construction professionals can proactively take to protect themselves and their projects’ success.

Staying abreast of the latest developments and trends in construction law is one of the best ways to mitigate your construction company’s risk. Knowledge at your fingertips is power. ConsensusDocs publishes a monthly construction law newsletter that is one of the best resources to stay on top of your game. Sign up for free here.

That is enforceable under State Construction Laws

The U.S. Occupational Safety and Health Administration (OSHA) has just issued an emergency temporary standard (ETS) to require employers to ensure their workers are fully vaccinated against COVID-19 or tested on at least a weekly basis. The legal and contractual implications will wreak havoc on existing and prospective construction contracts. The OSHA ETS applies to employers with 100 or more employees to either be vaccinated or test regularly and it will apply to both private and public construction contracts. Provisions in ConsensusDocs standard contract documents provide advantages in both substance and stylistic clarity as compared to other standard contract documents, including those by the American Institute of Architects (AIA), such as the AIA A201 Terms and General Conditions document.

BY BRIAN PERLBERG, EXECUTIVE DIRECTOR OF CONSENSUSDOCS AND AGC’S SENIOR COUNSEL FOR CONSTRUCTION LAW

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The infrastructure investment included in the Biden Infrastructure Plan would be funded through a variety of broad tax increases, primarily aimed at multinational corporations, but that would also impact domestic C-corporations, including some construction firms. Increased taxes on pass-through businesses, individual tax rates, estate taxes, capital gains taxes, and payroll taxes, are expected in the next “human infrastructure” package to be released in the near future. The primary funding mechanism would be to increase the corporate tax rate from the current 21% rate to 28%.

President Biden’s $2 trillion infrastructure plan includes new workforce investments, labor preferences and the PRO Act. The overall labor intent of the plan is to prioritize the construction investments are made with union labor. And, the Administration hopes to do just that with including the PRO Act in its plan. The PRO Act continues to be a top priority of the AFL-CIO to overturn decades of federal labor policy to arm unions with practically every legal and tactical advantage to gain the most favorable terms possible. While the PRO Act passed the U.S. House earlier this year, it has stalled in the Senate as Democratic leaders debate whether to change the filibuster rules to make its passage possible.