The Construction Industry Case Study

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The construction industry sits at the epicenter of many legal disputes, likely because the interactions between construction professionals and property owners dip into a variety of law areas: real estate, contract, employment and tort. The industry is subject to construction laws that have grown from state statutes and cases (mainly from federal government contracts). Many of the doctrines from federal cases are adopted into state law, but states also choose to stretch or narrow these doctrines as needed.
Construction contracts and design agreements are central to construction business dealings from simple home renovations to large, multi-million dollar contracts. They are also where most of the legal issues stem from. It’s important to note that these contracts typically include a choice of law clause that indicates the state’s law (where the project takes place) will trump all other construction law in the case of disputes. In addition, tort claims may arise between parties who do not have a contract or from a third party not involved with the construction project. Construction professionals also face the legal ramifications of property law, which could have a significant impact on a project outcome.
This paper will boil down the mass of legal issues facing the construction industry through these facets into three distinct areas of law that, as they evolve, may govern the further transformation of the construction industry in the United States. First, we will dissect the regulatory legal environment in the construction industry at a greater depth and highlight three emerging issues pervading construction litigation today: health and safety hazards, the no damage for delay cause, and the public project restrictions on contrac...

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..., OSHA is responsible for enforcing the whistleblower laws regarding to illegal behaviors during construction.

General Contractors/Subcontractors Health and Safety Perspective: Contractors should follow all the applicable laws to product the safety and health of workers and the public. Contractors have the obligation to recognize hazards and abate them, and to train workers. Contractors are liable to hazards if they fail to fulfill their duties.

Workers Health and Safety Perspective: Workers are required to be trained to learn about the possible hazards and solutions. For example, scaffolding, fall protection, excavations, etc. Workers are also required to wear necessary protective equipment during the construction process. In addition, workers have the right to negotiate for better working environment and get compensations if injured during construction.

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