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Ike's Newsletter May 20, 2022

SUBBYs is Tomorrow Night

For the 58th year, 450 of your fellow construction industry colleagues will be celebrating the BEST in construction at the Annual Subby Awards Gala.  Rebecca Price, Mary Whitlow and Patty Peterson have been the stars of this Starry, Starry Night, by using their creative talents to plan an event to dazzle all in attendance.  Although all the nominees are winners, everyone is excited to learn who will take home the iconic column trophy that signifies a SUBBY Winner. 

Power Design Sued Again by DC Attorney General for Wage Theft

This release from DC Office of Attorney General (OAG) reveals another suit for wage theft against electrical contractor Power Design.  John A. Moriarty, an ASAMW General Contractor Partner, is named in the suit since GCs are also responsible for wage payments to subcontractors.  In 2018, the OAG collected $2.75 million from Power Design for wage theft and contends that they did not comply with the settlement.  Several sub-subcontractors who are considered labor brokers are also named in the suit. Here is another news release explaining efforts by DC’s Attorney General.  

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Ike's Newsletter May 6, 2022

Report on Members-Only Session on Fair Contracts

Only those who are most aware showed up. All ASAMW Members were invited to an online and in-person event on April 26th in which Lauren McLaughlin, Rick Freeman and Martin Press reviewed what is fair and what you can offer in subcontract negotiations…when the risk is too great, you should walk away.  The ASAMW Addendum was discussed as well as the reality of subcontract negotiations.  Any member who would like a copy of the PowerPoint may request it by replying to this email.

Are we aware of indemnity clauses?  In a meeting with other subcontractor associations last week it became clear that the more astute are taking a closer look at indemnity clauses because of the tendency to push all risks down to subcontractors.  Are you taking special care to read your indemnity clauses and sharing them with your insurance agent as well as your attorney?  

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Ike's Newsletter April 22, 2022

Members-Only Session on Fair Contracts

All ASAMW Members need to know what is fair in their subcontract negotiations. To address this, we are holding an event on Tuesday, April 26th in Rockville with Lauren McLaughlin, Rick Freeman and Martin Press to review what is fair and what you can offer in subcontract negotiations…and when the risk is too great and you should walk away. The ASAMW Addendum will be part of the discussion. Click here to learn more and to register. Note: this is a members only event.  

“Pay if Paid” Amended By Governor in Virginia

A bill to make “Pay if Paid” clauses in subcontracts unenforceable in Virginia was signed by the Governor with amendments.  It will become law on Jan. 1, 2023 after a work group studies construction payment practices. This article by James D. Fullerton, Fullerton & Knowles, P.C., Clifton, VA (703) 818-2600, reports the Governor’s amendments will allow:

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Ike's Newsletter April 8, 2022

How do We Get Fair Contracts?

When demand is as high as it is now, subcontractors can negotiate fair subcontract terms. Our Board estimates that fewer than 50 percent of our members even read their subcontract. Are you a negotiator or an acceptor?  All ASAMW Members need to know what is fair. To address this we are holding an event on Tuesday, April 26th in Rockville with Lauren McLaughlin, Rick Freeman and Martin Press to review what is fair and what you can offer in subcontract negotiations…and when the risk is too great and you should walk away.  The ASAMW Addendum will be part of the discussion.  Click here to learn more and to register.  

Will Construction End as We Know It?

Those looking at the macro issues facing our industry, particularly in the DMV, are concerned about the use of temporary, contract and contingent workers.  By not developing a solid workforce, we are racing to the bottom to achieve cheaper labor on jobs in order to complete them with a profit.  A lot of the finishing trades are almost already there.  What do we do?  Here is an article showing how this practice decreases the quality of work for these workers in other industries.  


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