Fidelity and Surety Law

The Group's attorneys have extensive experience in drafting construction contracts in both the private and governmental arenas. The Group's attorneys have advised clients concerning and prepared fixed priced, design/build, unit price, construction management and cost plus contracts. These contracts range from the simplest subcontract agreement, to a $250 million prime and subcontract for the construction of an electric generating plant, to a $900 million prime contract for the construction of an automotive manufacturing facility.

The many contract preparation assignments that our attorneys have handled include the following:

• Prepared complex construction documentation for a $900 million automotive assembly plant, Mississippi's largest single construction project.

• Negotiated and prepared on behalf of the prime contractor both prime and subcontract agreements for the construction of a $250 million power plant.

• Prepared a standardized construction contract for one of the country's largest and fastest growing franchise restaurant chains.

• Represent construction companies in the development of their own customized prime and subcontract agreements.

• Developed both prime and subcontract forms for a medium-sized highway contractor.

• Developed a standardized prime contract for a commercial real estate developer/contractor.

• Negotiated final contract terms for a regional retail furniture store on construction of its new multi-million dollar facility.

Surety Representation

The Firm represents some of the largest surety firms doing business in the State of Mississippi. It has in-depth experience in defending sureties on both payment and performance bond claims. It has developed particular expertise in defending bad faith claims against sureties and has been successful in having many such claims dismissed without trial.

Some of the assignments that our attorneys have handled for sureties include the following:

• Defended a performance bond surety against a $2.5 million default and bad faith claim asserted in arbitration, substantially defeating the obligee's default claim and achieving a complete dismissal of the bad faith claim.

• Successfully defended a surety on a fidelity bond claim for $280 million, achieving dismissal of the entire claim (including punitive damages) on summary judgment.

• Successfully represented a performance bond surety in an $11 million default termination suit by a public owner and the subsequent negotiation of takeover and completion contracts for the $1 million completion of the project.

• Serve as statewide panel counsel for a national surety company defending a multitude of payment, performance and fidelity claims, including claims for bad faith.

Construction Consulting and Legislative Services

The Firm provides ongoing consulting services to its construction clients with regards to bidding, contract and change order negotiation and dispute resolution. Our attorneys have also assisted the construction industry in drafting and urging the adoption of beneficial legislation.

Some of the assignments that we have handled include the following:

• Represented a consortium of Associated General Contractors (AGC), Associated Builders and Contractors (ABC), American Subcontractors Association (ASA) and the American Institute of Architects (AIA) in successfully lobbying the state legislature for changes in the statutory framework for bidding, change orders, punch lists, and statute of limitations on public construction projects.

• Provide ongoing advice to construction contracting firms on bidding, bid protests, change orders and construction claims.

Construction Claims Litigation

The Construction Practice Group of Watkins Ludlam Winter & Stennis, P.A. has extensive experience in both prosecuting and defending construction claims. The Firm has particular and regionally recognized expertise in handling delay and acceleration claims, differing site, loss of productivity and cost overrun claims. Our attorneys have many years of experience working with owners, prime contractors and large subcontractors in developing and/or responding to these claims. Members of the Construction Practice Group are long time members of the Construction Industry Arbitration Panel of the American Arbitration Association as well as certified construction mediators for the Association. In addition to its experienced attorneys, the Firm also has the technological expertise and a seasoned staff capable of analyzing and thoroughly documenting construction claims.

Some of the cases that our attorneys have handled include the following:

• Represented an ENR 500 engineering and construction firm in a multitude of complex claims for delay, acceleration, changed conditions and cost overruns.

• Represented a regional steel fabricator in claims for acceleration and delay on projects in the United States and Canada.

• Represented a regional steel erection subcontractor in the recovery of unpaid retainage in the face of a pay-when-paid clause.

• Represented a regional construction firm in claims throughout the Southeast for acceleration, defeat of liquidated damages and cost overruns.

• Represented the prime contractor on a 250 million dollar power plant project against the owner's claims for liquidated damages and failure to meet milestones.

• Successfully represented a regional hospital facility in defending a $600,000 "changed conditions" claim by a design/build contractor.

• Represented a highway construction firm in a successful $650,000 claim against its prime contractor.

• Represented a prime contractor in arbitration in successfully defeating a subcontractor's $900,000 cost overrun claim for the site work for a regional mall.

• Represented a prime contractor in successfully recovering in arbitration over $400,000 in unpaid contract balance on a hotel project, while defeating the owner's claim for cost overruns and delay.

The information you obtain at this site is not, nor is it intended to be, legal advice. You should consult an attorney for individual advice regarding your own situation.

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