FAQs: CONSTRUCTION LAW
Riley Bennett Egloff LLP’s construction law practice represents clients across the construction industry, including small, family-owned contractors, large national general contractors, construction managers, owners, developers, and designers. Our attorneys are highly experienced in contract drafting and negotiation, pre-suit dispute counseling and resolution, assisting contractors with payment remedies (e.g., mechanic’s liens), and pursuing binding dispute resolution in Court and in arbitration.
What is construction law?
Construction law governs the rights and responsibilities of participants in a construction project. The most important source of legal authority that governs how construction projects are planned, bid, built, paid for, and closed out are the parties’ contracts, which is why contract drafting and negotiation is so important to construction projects. Other sources of legal authority that govern Indiana construction projects include Indiana’s mechanic’s lien statute, Ind. Code 32-28-3-1 et seq., as well as Indiana statutes providing contractors with payment remedies on public projects (e.g., Indiana Code 36-1-12-13.1).
Who does Riley Bennett Egloff represent in construction matters?
Our construction attorneys represent a broad range of construction-industry clients, including general contractors, subcontractors, construction managers, material suppliers, owners, developers, and designers operating on a local and national scale. We understand how contractors estimate, schedule, and manage jobs and how owners plan, finance, and oversee large, multi‑million‑dollar construction projects.
What types of construction disputes do you handle?
Construction disputes can arise at any stage of a project and affect every party involved. We handle disputes involving bid protests, claims for payment, mechanic’s liens and lien foreclosure, design and construction defects, defaults and terminations, delay and impact claims, site safety issues, changes in the work, differing site conditions, and payment and performance bond claims.
How do you promote the early and efficient resolution of construction disputes?
Our attorneys work closely with key project personnel to identify potential issues early and resolve problems in “real time” so they do not derail the project. We regularly use mediation, arbitration, and other forms of construction‑specific alternative dispute resolution to help clients avoid costly, protracted litigation whenever possible.
Do you litigate construction disputes in court?
Yes. When disputes cannot be resolved through negotiation or alternative dispute resolution, we vigorously represent clients in state and federal courts throughout Indiana. Our litigation experience includes prosecuting and defending complex, multi-party cases involving claims involving allegations of construction defects and design errors, insurance coverage issues, mechanic’s liens and other payment remedies.
How can you help with construction contract drafting and negotiation?
We frequently draft, review and negotiate contracts for large, complex construction projects — such as hospitals, manufacturing facilities, and stadiums/arenas — and for standardized use across a client’s portfolio of work. Our attorneys work with industry‑standard forms such as AIA documents and also develop customized contract forms tailored to specific clients’ needs, project delivery methods, and risk profiles.
Why is it important to have a well‑drafted construction contract?
A project participant’s legal rights and remedies are primarily governed by its construction contract. A well‑drafted construction contract clarifies the roles, responsibilities, and risk allocation among owners, contractors, subcontractors, and design professionals and helps prevent disputes over scope, schedule, changes, and payment. Using the experience we have gained from litigating construction disputes, we can anticipate which contract provisions will lead to disputes and which will tend to resolve them. We use that insight to help clients reduce risk on future projects.
What is a mechanic’s lien?
A mechanic’s lien is a statutory remedy that allows qualifying general contractors, subcontractors, and material suppliers who provide labor or materials to improve real property to claim an interest in that property when they are not timely paid. The lien is created by recording a mechanic’s lien notice in the recorder’s office of the county where the project is located.
Who can file a mechanic’s lien on Indiana projects?
Construction managers, general contractors, subcontractors, and material suppliers who provide labor and/or materials on privately-owned Indiana construction projects may be eligible to record a mechanic’s lien if they are not timely paid. Because lien rights depend on the type of project and timely compliance with strict statutory requirements, it is important to consult experienced construction counsel to evaluate eligibility and deadlines.
What deadlines apply to mechanic’s liens in Indiana?
Different deadlines apply to different types of private Indiana projects. For residential projects (either single-family or a duplex), general contractors have 60 days from their last date of supplying labor and/or materials to the project to record their liens, but special rules apply to subcontractors and suppliers for such residential projects. Generally, for commercial projects (including multi-family apartments), construction general contractors, subcontractors, and material suppliers have 90 days from their last date of supplying labor and/or materials to the project to record their liens.
What happens after a mechanic’s lien is recorded?
If a payment dispute remains unresolved after a mechanic’s lien is recorded, it may be necessary to file a lawsuit to foreclose the lien and have a court determine the validity and priority of all interests in the property. Generally, lawsuits foreclosing Indiana mechanic’s liens must be filed in Court within one (1) year from the date the lien was recorded; otherwise, the lien becomes invalid. Because mechanic’s lien foreclosure actions can be complex and often involve multiple contractors, lenders, and other lienholders, having experienced construction counsel in your corner can be critical to protecting your rights.
How does Riley Bennett Egloff assist with mechanic’s liens?
Our attorneys have substantial experience drafting, recording, and enforcing mechanic’s lien claims for general contractors, subcontractors, and material suppliers ranging from several thousand dollars to in excess of $10 million. We help clients evaluate when to record liens and in what amounts, comply with statutory requirements, and prosecute lien foreclosure actions effectively.
How do payment bond claims work on public construction projects?
On Indiana public construction projects, the project owners are typically governmental entities that are not subject to mechanic’s liens. Depending on whether the project owner is the State, a state educational institution, or a local government entity, and depending on the size of the project. general contractors are often required to provide payment bonds for the benefit of their subcontractors and suppliers. Unpaid subcontractors and suppliers may pursue claims against these bonds, but applicable law imposes strict notice, content, and timing requirements for asserting such claims.
Can you help with payment bond claims?
Yes. Our construction law team assists contractors, subcontractors, suppliers, and sureties with investigating, asserting, and defending payment bond and other surety claims. We help clients navigate the technical statutory and contractual requirements that govern payment bond claims on public projects to preserve their rights and resolve disputes effectively.
Do you handle both public and private construction projects?
We represent clients on both Indiana public and private construction projects, large and small, ranging from the construction of single-family dwellings to trucking terminals, green energy production facilities, schools, prisons, manufacturing plants, research and development facilities, and much more. Because the law can differ significantly between public and private work — particularly with respect to payment remedies such as mechanic’s liens, payment bonds claims, and impoundment claims — contractors need experienced counsel who is familiar with the law applicable to the project in question.
Why choose Riley Bennett Egloff for construction law in Indianapolis?
The construction law attorneys at Riley Bennett Egloff LLP have been recognized by their peers in the Indianapolis market for the quality of their representation of construction project participants in complex, high-stakes disputes. We offer answers to our clients’ questions as they arise, practical advice to help our clients achieve their objectives on the job site, and advocacy in the courtroom when negotiations fail.
How do I get started with a construction law consultation?
If you are facing a construction contract question, payment dispute, mechanic’s lien issue, or bond claim, you can contact our Indianapolis office to schedule a consultation with a member of our construction law team. We will review your project documents, deadlines, and business goals and identify practical advice tailored to your needs as an owner, contractor, subcontractor, or supplier.
