Mark Twain once said, “everybody talks about the weather, but nobody does anything about it.”  In my latest article in the Daily Journal of Commerce, I argue that, in fact, owners and contractors have a chance to do something about the weather when they write their contracts.

Incorporating a contingency amount into a work bid can help a contractor mitigate the risk of “unforeseen difficulties,” like bad weather, by spreading the risk over multiple projects.  In addition to bad weather, a project owner may write a contract to address specific risks, such as unexpected soil conditions or rising prices, or may include a general “force majeure” clause that is triggered by unforeseen difficulties in the work.  Without a specific weather clause, a contractor may have difficulty collecting damages—even in the case of very bad weather.  Oles examines the case of Donald B. Murphy Contractors, Inc. v. State of Washington, 40 Wn. App. 98 (1985) as an example. 

 

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Photo of Karl Oles Karl Oles

Karl Oles, a partner of the firm practicing in the Construction and Design group, has for more than 30 years helped owners, architects, engineers, and contractors solve complex legal problems through negotiation, mediation, arbitration, and trial. Karl has also drafted, negotiated, and…

Karl Oles, a partner of the firm practicing in the Construction and Design group, has for more than 30 years helped owners, architects, engineers, and contractors solve complex legal problems through negotiation, mediation, arbitration, and trial. Karl has also drafted, negotiated, and analyzed multimillion-dollar design and construction contracts on a wide variety of construction projects. He has served as an arbitrator on the American Arbitration Association’s construction panel. He is coauthor of the current standard treatise on Washington lien law (available for free by following this link). He has been listed in The Best Lawyers in America® for Litigation-Construction from 2013 to the present.

Click here for Karl Oles’ full bio.