Monthly Archives

August 2019

Additional Insurance Coverage: Fundamentals and Misconceptions

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Additional insured (“AI”) requirements for commercial general liability (CGL) policies are very common in construction contracts.  An Owner routinely requires its general contractor (“GC”) to provide AI coverage for itself, its affiliates, and sometimes a handful of other entities (lender, architect, etc.).  In turn, the GC mandates its subcontractors to provide AI coverage for the GC, the Owner, and a cast of other characters.  While frequently used, for good reason, this risk transfer tool is often misunderstood.  In this post, I will explain the purpose of AI coverage, identify what it does and does not cover, and provide answers to a few misconceptions about additional insured coverage.

The Purpose of Additional Insured Coverage

The design of AI coverage is to trigger the insurance procured by lower-tier contractors.  The Owner, GC, and subcontractors all have CGL insurance, but the goal of additional insured coverage is to make sure that someone else’s insurer will be on the hook to provide defense and indemnity should

Should You Use Integrated Project Delivery on Your Next Construction Project?

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Complex construction projects have many moving parts and numerous stakeholders.  Each project often contains its own unique challenges and obstacles.  Finding the right solution does not often come by trying to utilize a one-size-fits-all approach.  Indeed, complex issues call at times for customized responses.

Discerning the appropriate solution for particular problems involves a variety of decisions.  Chief among many concerns is determining what the priorities are on a given project, and figuring out the best way to achieve those aims for all involved.

A contract solution that seeks to harness the potential of collaboration, and alignment of the priorities of all those involved in complex construction projects, is Integrated Project Delivery (“IPD”).  IPD is a project delivery system that utilizes a team-based approach to construction projects where the risks and rewards of a project are shared by all of the stakeholders and, when done right, maximizes efficiency so projects are completed on time and on budget.

Like other tools, IPD is not

Introducing Pierce Atwood’s Solid Foundation Construction Law Blog

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Welcome to the Solid Foundation Construction Law Blog!   I serve as the team leader of Pierce Atwood’s construction law team and will work with my colleagues to deliver interesting content to you.

With this blog, we want to share our experience, suggestions, and reliable construction industry and construction dispute resolution resources with you.   Our blog contributors are members of Pierce Atwood’s Construction Group and related practices including as environmental, real estate, energy, compliance & governmental regulations, and labor/employment law. Construction is a diverse industry and we want to share tips and trends we observe as the industry evolves.

We plan to approach our posts with a more informal approach and tone.  As editor of this blog, I am going to encourage my colleagues to write posts on a wide range of topics – even if it is a paragraph or two.  I see us covering the following subjects:

  • Getting Contractors Paid.