The COVID-19 and its effects are having a major impact on construction companies and related industries. Quarantines and border and business closings have meant delays and stoppages for companies down the supply chain.

If you are planning or working on a construction project that relies on supplies, equipment, or other manufactured goods in an affected area, here are five questions you can consider now to prepare for the uncertainty:

1. Does your contract have a force majeure clause and, if so, what activities trigger the clause?
2. What are your notice requirements, if any?
3. Are there alternative suppliers for the product, supplies, or equipment you are waiting to be delivered?
4. Do you have reasonable grounds to terminate your supplier if they can’t deliver timely due to the novel coronavirus?
5. Would a delay in delivery of product, supplies, or equipment manufactured in an impacted area delay your project?

If you have questions or concerns about how to keep your site running during the outbreak, our construction attorneys and teams in our Asian offices are here to help.

At the beginning of a project, we advise on site acquisition issues, including finance, real estate, land use, zoning and environmental concerns. We also regularly advise owners on their project structuring options, including public-private partnerships (P3s), and help to evaluate and recommend project delivery options, such as design-bid-build, GC/CM, design-build, design-build-operate-maintain, engineering, procurement and construction (EPC) and other risk-allocation structures. Once the ownership structure is determined and the project delivery method selected, we prepare pre-qualification, bidding and other "front-end" documents, and otherwise assist in the selection and engagement of the project team.

We represent both owners and contractors on procurement issues and related disputes, including bid submission compliance, bid protests and bid withdrawals, as well as eligibility for and compliance with small, disadvantaged and minority-owned business enterprise programs.

Informed and creative preparation and review of contract documents can prevent costly problems later in a project. We draft and negotiate a variety of contracts on a broad spectrum of projects, nationally and internationally. In recent years, the combined annual value of contracts we have prepared has been several billion dollars per year. Our attorneys have a strong working knowledge of AIA, ConsensusDOCS, EJCDC, DBIA, FIDIC, ICE and other industry forms.

We often are involved during design and construction to help clients identify and address potential contractual performance issues as they arise to prevent them from expanding into full-blown disputes. 

Our services often involve the analysis of a wide range of problems, including design errors and omissions, delays and time extension requests, change orders, unforeseen or differing site conditions and defective work. We also counsel clients on handling lien and bond claims, surety takeover and liquidating arrangements, and terminations for default and convenience.

In addition, we provide advice on a variety of labor issues, such as "double-breasted" operations, union certification or decertification campaigns, picket control, union trust fund audits, Davis-Bacon and little Davis-Bacon prevailing wage compliance, and OSHA and state safety requirements. And we represent clients regarding accessibility requirements under the Americans with Disabilities Act (ADA), Fair Housing Act and building code requirements.

Our attorneys have extensive experience in preparing and negotiating claims/requests for equitable adjustment in contract price and contract time on private and public projects. Since, in addition to technical issues, many claims involve allegations of delay and/or inefficiency and disruption, our experience in Critical Path Method (CPM) schedule analysis and in admissible damages calculations equip us to assist clients in developing strategies to resolve claims of every variety. 

Litigation should be a last resort that is required only when informed and practical efforts to resolve construction disputes have been unsuccessful.

We take pride in our long-term relationships with our clients—relationships built in part on our proven ability to keep them out of trouble. But when disputes cannot be resolved, we have broad experience in state and federal trial and appellate courts, as well as in alternative dispute resolution. We have successfully helped clients pursue and defend claims of all sizes involving bid protests, construction delays and impacts, cost-overruns, breaches of contract, design and architectural errors and omissions, construction defects, surety issues, termination disputes and insurance coverage.

We have assisted clients in alternative dispute resolution efforts for many years. Our attorneys have successfully participated in mediation, mini-trials, dispute resolution boards and arbitration through JAMS, the American Arbitration Association, the International Chamber of Commerce and other administrators.

The successful resolution of construction disputes requires the assimilation, analysis and presentation of large volumes of complex project documentation and data. Our lawyers employ tested and innovative technologies to support our dispute resolution efforts, including document management, cost accumulation and assessment, graphics and animation presentations.

Additionally, our E-Discovery Services & Strategy team provides comprehensive information and records management, litigation readiness and e-discovery services to construction clients facing electronic data management and discovery challenges. We develop inclusive and defensible practices and procedures that fulfill legal obligations, provide ready access to critical communications and data, and control costs.

In addition to our strong capabilities in the core areas listed above, we have in-depth experience in several other industries and related areas, including the following:

• School Construction
• Public-Private Partnerships & Privatizations
• Government Contracts
• Insurance Recovery Law
• Hotels & Leisure
• Environment & Natural Resources
• Energy