Recently, attorneys representing property owners in construction disputes have been attempting to add "value" to claims against lower-tier subcontractors (HVAC, gutters, flatwork) by leveraging Oregon Revised Statute (ORS) 20.080, which could expose the subcontractor to attorneys fees for claims under $10,000. This creates a trap because most of these claims otherwise would have no fee component (and therefore have significantly less value). Another problem created by the use of the statute against subcontractor claims is that it leaves unresolved the issue of third-party practice claims by a general contractor for the same claims at a later date. This trend is certainly unwelcome and a source of considerable frustration for subcontractor insurers and subcontractor defense attorneys. Quick action and creative negotiation may ease some of the pitfalls associated with this problem...
Read the full article in the fall 2017 issue of CLM Construction Claims magazine: http://online.pubhtml5.com/adfn/vues/#p=14
