This blog has previously talked about how contractors on public projects can request an equitable adjustment under certain circumstances. For example, a contractor may run in to unanticipated expenses that are not their fault, issues that affect the ability to get the project done or the government's need for a tighter timetable.
Previous posts on this blog have talked about how construction firms working on federal projects can submit what is called a request for an equitable adjustment.
Massachusetts is a busy place for construction contractors and others in the industry. Particularly when the economy is strong, there are lots of building projects, road improvements and other construction projects underway in this state.
In general, if the government causes the agreed-upon costs of a construction project to increase due to constructive changes or delays, then the contractor may want to pursue an equitable adjustment. Through an equitable adjustment, contractors in Massachusetts can be compensated for the increase in costs they incur due to the government's actions.
Even the most well-thought out construction projects can experience events that necessitate a change in a contract between the government agency and the contractor of the project. When this happens, the contractor could end up incurring additional expenses related to the project. Thus, contractors sometimes need to make a request for an equitable adjustment.
Construction projects are a common sight in Massachusetts. In fact, it may seem like there are always roads being repaired, buildings being erected or houses popping up everywhere. These projects can involve many parties, including contractors, subcontractors and suppliers. And, these parties will enter into contracts, with the expectation that they will be paid for the agreed-upon work they will complete.
In a perfect world, all parties to a contract will follow the terms of the contract to a tee, providing each other with the goods or services agreed upon for an agreed upon sum of money. Unfortunately, we do not live in a perfect world and sometimes one party to a contract will fail to uphold their end of the bargain. This can be especially problematic when it comes to construction contracts. Therefore, under Massachusetts law, certain construction contracts must contain language pertaining to requests for equitable adjustments.