Construction Law

   In Woodburn Construction Company v. EnCon Pacific (US District Court for the Western District of Washington No. C05-5811fdb, January 17, 2007), the court held that a subcontractor's failure to timely present claims against a general contractor pursuant to the terms of a written subcontract constituted waiver. The subcontractor asserted its claims against the general contractor after the general contractor sued the subcontractor, and after the time period for filing claims expired under the written subcontract.

   This case underscores the necessity for subcontractors and material suppliers to timely present any claims in the timeframe established in the subcontract in order to preserve the claims. It is also important for a subcontractor or material supplier to timely present claims in order to reserve the right to assert counterclaims in the event the subcontractor or materials supplier is later sued by the general contractor. 

   If any party intends to present a claim, it is important to look at the contract to make sure that the claim presentation procedures are followed. Failure to abide by the claims presentation procedures can be fatal to the claim!