Author Archives: Dana Chaaban

The Beneficiaries of “Pay-if-Paid” Clauses in Construction Contracts

While the law of contract formation allows parties “freedom to contract”, in construction law, general contractors have largely negotiated a shift in the distribution of risk to the subcontractor with the inclusion of “pay-if-paid” contractual clauses that make the general contractor’s receipt of payment from the owner a condition precedent to the ultimate payment to the subcontractors. CONTINUE READING...