Minnesota Construction Contracts: What You Need To Know

Introduction Both property owners and contractors should invest in a quality construction contract before work commences. This article details some of the most important provisions that are typically found in a construction contract. Models For Determining Cost One of the most important features of a construction contract is the way that it determines the owner’s…

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Minnesota Contractors Must Promptly Pay Subcontractors

The Prompt Payment Statute Minnesota’s prompt payment statute provides that all construction contracts are deemed to require a prime contractor and all subcontractors to promptly pay their subcontractors and material suppliers within ten days of receipt of payment for undisputed services. Prior to its amendment, the statute penalized a party failing to make a prompt payment by…

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A Minnesota Mechanics Lien Surprise! Building A House From Start To Finish May Not Be “One Continuous Project”

Update (November 27, 2012): The Minnesota Supreme Court has accepted Big Lake for review.  Original Post (September 8, 2012): In Big Lake Lumber v. Security Property Investments, Inc. et. al, the Minnesota Court of Appeals ruled that a contractor’s mechanics lien can take priority over a previously-recorded mortgage only if the contractor’s work related back…

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Minnesota Court Rejects “Blame The Lawyer” Argument In Construction Insurance Dispute

The Minnesota Court of Appeals has rejected the “Blame the Lawyer” argument.  In Remodeling Dimensions, Inc. v. Integrity Mutual Insurance Co., a contractor argued that its attorney’s representation was so bad as to constitute a breach of the insurer’s obligation to appoint counsel.   As Shakespeare said, “The first thing we do, let’s kill all the…

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