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<DIV dir=ltr align=left><SPAN class=428352214-17082011><FONT color=#0000ff
size=2 face=Arial> Couple thoughts:</FONT></SPAN></DIV>
<DIV dir=ltr align=left><SPAN class=428352214-17082011><FONT color=#0000ff
size=2 face=Arial></FONT></SPAN> </DIV>
<DIV dir=ltr align=left><SPAN class=428352214-17082011><FONT color=#0000ff
size=2 face=Arial> 1. In this market, GC's are
dictating terms to subs. If not already in place, the master form of
Subcontract Agreement should be modified to provide for: (i) delivery to
GC of any invoice or billing from supplier to Subcontractor for deposit
monies, (ii) payment by joint check to suppliers of Subcontractor
requiring deposit in advance of delivery of materials, (iii) delivery to GC,
upon request, of any POs or subcontracts entered into by Subcontractor, (iv)
execution and delivery of a Partial Lien Release by Subcontractor and supplier
in amount of deposit, (v) approval by GC of the creditworthiness of any supplier
of Subcontractor requiring a deposit payment prior to delivery of materials
to job site, and (vi) incorporation of the prior points </FONT></SPAN><SPAN
class=428352214-17082011><FONT color=#0000ff size=2 face=Arial>(i) -(v) in any
subcontract or PO entered into by Subcontractor.</FONT></SPAN></DIV>
<DIV dir=ltr align=left><SPAN class=428352214-17082011><FONT color=#0000ff
size=2 face=Arial></FONT></SPAN> </DIV>
<DIV dir=ltr align=left><SPAN class=428352214-17082011><FONT color=#0000ff
size=2 face=Arial> 2. In absence of favorable
Subcontract terms, make a request for copy of the PO between Subcontractor and
supplier pursuant to Fla. Stat. s. 713.16 (1). GC should do this
to confirm accurate amount of deposit and avoid the hidden sub mark-up
to fund Sub's operations as you note below. </FONT></SPAN></DIV>
<DIV><FONT color=#0000ff size=2 face=Arial></FONT> </DIV>
<DIV><SPAN class=428352214-17082011><FONT color=#0000ff size=2
face=Arial> 3. In this context, GC needs to
underwrite creditworthiness of both Sub and supplier.</FONT></SPAN></DIV><!-- Converted from text/rtf format -->
<P align=left><SPAN lang=en-us><B>Michael R. Gibbons (<A
href="http://lowndes-law.com/our-people/michael-r-gibbons">Bio</A>)<BR>Shareholder<BR></B></SPAN><SPAN
lang=en-us><FONT color=#008000 size=2>Lowndes, Drosdick, Doster, Kantor &
Reed, P.A.<BR></FONT></SPAN><SPAN lang=en-us><FONT color=#008000 size=2>450
South Orange Avenue, 8th Floor<BR></FONT></SPAN><SPAN lang=en-us><FONT
color=#008000 size=2>Orlando, FL 32801<BR></FONT></SPAN><SPAN lang=en-us><FONT
color=#008000 size=2>Phone: 407-418-6378<BR></FONT></SPAN><SPAN lang=en-us><FONT
color=#008000 size=2>Fax: 407-843-4444<BR></FONT></SPAN><SPAN lang=en-us><FONT
color=#008000 size=2>email:</FONT> <A
href="mailto:michael.gibbons@lowndes-law.com"><FONT color=#0000ff
size=2>michael.gibbons@lowndes-law.com</FONT></A></SPAN><BR><SPAN
lang=en-us><FONT color=#008000 size=2>website:</FONT> <A
href="http://www.lowndes-law.com/"><FONT color=#0000ff
size=2>http://www.lowndes-law.com</FONT></A></SPAN><BR><BR>
<IMG src="cid:428352214@17082011-25B9"><BR></P>
<DIV> </DIV><BR>
<DIV dir=ltr lang=en-us class=OutlookMessageHeader align=left>
<HR tabIndex=-1>
<FONT size=2 face=Tahoma><B>From:</B>
constructionlaw-bounces@lists.flabarrpptl.org
[mailto:constructionlaw-bounces@lists.flabarrpptl.org] <B>On Behalf Of
</B>Croom, Janet<BR><B>Sent:</B> Wednesday, August 17, 2011 9:00
AM<BR><B>To:</B> RPPTL constructionlaw<BR><B>Subject:</B> Re:
[RPPTL-constructionlaw] Lien Law Query FOLLOW UP CONSTRUCTIONDEPOSIT
QUERY<BR></FONT><BR></DIV>
<DIV></DIV>
<DIV dir=ltr align=left><SPAN class=113203412-17082011><FONT face=Arial>I have
been requested to share with the group continuation of this lien law
query. (our fearless leader is one of the members requesting, and so
please use WWAD?! accordingly). </FONT></SPAN></DIV>
<DIV dir=ltr align=left><SPAN class=113203412-17082011><FONT
face=Arial></FONT></SPAN> </DIV>
<DIV dir=ltr align=left><SPAN class=113203412-17082011><FONT
face=Arial><U>DEPOSIT Issue</U>: </FONT></SPAN></DIV>
<DIV dir=ltr align=left><SPAN class=113203412-17082011><FONT
face=Arial></FONT></SPAN> </DIV>
<DIV dir=ltr align=left><SPAN class=113203412-17082011><FONT face=Arial>Cautious
GC requested to pay deposit for materials by sub, allegedly required by
supplier/manufacturer, etc. GC inquires further of exact amount of
required deposit, as GC does not want to fund sub's operational end of sub's
business. Deposit amount allegedly required then modified downward.
</FONT></SPAN></DIV>
<DIV dir=ltr align=left><SPAN class=113203412-17082011><FONT
face=Arial></FONT></SPAN> </DIV>
<DIV dir=ltr align=left><SPAN class=113203412-17082011><FONT face=Arial>GC will
pay deposit if required, but does not want to be left out substantial
amounts of "deposit" monies paid to a sub, if the sub suddenly goes out of
business/disappears. For example, GC uses sub on 15 projects, each
requiring at least $50,000 deposit. GC does not appear entitled to inquire
as to relationship between sub and its supplier/manufacturer. 713.16, Fla.
Stat, etc. do not seem to address this issue.</FONT></SPAN></DIV>
<DIV dir=ltr align=left><SPAN class=113203412-17082011><FONT
face=Arial></FONT></SPAN> </DIV>
<DIV dir=ltr align=left><SPAN class=113203412-17082011><FONT face=Arial>With the
economy so tight in the construction industry, I am seeing a shift in business
to the requirement of many more "deposits" being required. Shifting the
risk of loss appears to be a bit more complicated in the above
scenario, and yet this is where the construction trend appears to be
heading.</FONT></SPAN></DIV>
<DIV dir=ltr align=left><SPAN class=113203412-17082011><FONT
face=Arial></FONT></SPAN> </DIV>
<DIV dir=ltr align=left><SPAN class=113203412-17082011><FONT face=Arial>Please
delete if this issue does not relate to your practice. Otherwise, please
respond to the group with any practical or legal remedies.
Thanks-janet</FONT></SPAN></DIV>
<DIV dir=ltr align=left><SPAN class=113203412-17082011><FONT
face=Arial> </FONT></SPAN></DIV>
<DIV><FONT face=Arial></FONT> </DIV>
<DIV align=left>
<DIV align=left>
<P style="MARGIN: 0in 0in 0pt" class=MsoNormal align=left><SPAN
style="FONT-FAMILY: Arial; COLOR: black; FONT-SIZE: 10pt"><STRONG><FONT
size=4><FONT face="Staccato222 BT">Janet Carney Croom,
Esquire</FONT></FONT></STRONG></SPAN></P>
<P style="MARGIN: 0in 0in 0pt" class=MsoNormal align=left><SPAN
style="FONT-FAMILY: Arial; COLOR: black; FONT-SIZE: 10pt"><EM><STRONG>Board
Certified - Construction Law </STRONG></EM></SPAN></P>
<P style="MARGIN: 0in 0in 0pt" class=MsoNormal align=left><SPAN
style="FONT-FAMILY: Arial; COLOR: black; FONT-SIZE: 10pt"><EM><STRONG>Board
Certified - Business Litigation<o:p></o:p></STRONG></EM></SPAN></P>
<P style="MARGIN: 0in 0in 0pt" class=MsoNormal><SPAN
style="FONT-FAMILY: Arial; COLOR: black; FONT-SIZE: 10pt">Collins, Brown,
Caldwell, Barkett </SPAN><SPAN
style="FONT-FAMILY: Arial; COLOR: black; FONT-SIZE: 10pt">& Garavaglia,
Chartered</SPAN></P>
<P style="MARGIN: 0in 0in 0pt" class=MsoNormal><SPAN
style="FONT-FAMILY: Arial; COLOR: black; FONT-SIZE: 10pt">756 Beachland
Boulevard</SPAN></P>
<P style="MARGIN: 0in 0in 0pt" class=MsoNormal><SPAN
style="FONT-FAMILY: Arial; COLOR: black; FONT-SIZE: 10pt">Vero Beach, FL
32963<o:p></o:p></SPAN></P>
<P style="MARGIN: 0in 0in 0pt" class=MsoNormal><SPAN
style="FONT-FAMILY: Arial; COLOR: black; FONT-SIZE: 10pt">Telephone:
772-231-4343<o:p></o:p></SPAN></P>
<P style="MARGIN: 0in 0in 0pt" class=MsoNormal><SPAN
style="FONT-FAMILY: Arial; COLOR: black; FONT-SIZE: 10pt">Fax:
772-234-5213<o:p></o:p></SPAN></P>
<P style="MARGIN: 0in 0in 0pt" class=MsoNormal><SPAN
style="FONT-FAMILY: 'Agency FB'; COLOR: black"><A
title="blocked::mailto:jburgess@verolaw.com
mailto:jburgess@verolaw.com"
href="blocked::mailto:jburgess@verolaw.com"><FONT
title=blocked::mailto:jburgess@verolaw.com
size=2>jcroom@verolaw.com</FONT></A></SPAN><SPAN
style="COLOR: #003300"><o:p></o:p></SPAN></P>
<P style="MARGIN: 0in 0in 0pt" class=MsoNormal><SPAN style="COLOR: #003300"><A
title="blocked::mailto:www.cbc@verolaw.com
mailto:www.cbc@verolaw.com"
href="blocked::mailto:www.cbc@verolaw.com"><SPAN
style="FONT-FAMILY: 'Agency FB'" title=blocked::mailto:www.cbc@verolaw.com><FONT
title=blocked::mailto:www.cbc@verolaw.com
size=2>http://www.verolaw.com</FONT></SPAN></A><o:p></o:p></SPAN></P>
<P style="MARGIN: 0in 0in 0pt" class=MsoNormal><FONT size=2></FONT> </P>
<P style="MARGIN: 4.95pt 0in" class=MsoNormal><I><SPAN
style="COLOR: black"><FONT size=2>The information contained in this message is
legally privileged and confidential. It is intended only for the use of the
individual or entity named above. If the reader of this message is not the
intended recipient, any dissemination, distribution, or copy of this message is
strictly prohibited. If you have received this message in error, please
immediately notify the sender by via telephone, email, or the U.S. Postal
service at the address above, and destroy the message. Thank
you.</FONT></SPAN></I></P></DIV></DIV>
<DIV> </DIV><BR>
<DIV dir=ltr lang=en-us class=OutlookMessageHeader align=left>
<HR tabIndex=-1>
<FONT size=2 face=Tahoma><B>From:</B>
constructionlaw-bounces@lists.flabarrpptl.org
[mailto:constructionlaw-bounces@lists.flabarrpptl.org] <B>On Behalf Of
</B>Weintraub, Lee<BR><B>Sent:</B> Tuesday, August 16, 2011 12:02
PM<BR><B>To:</B> RPPTL constructionlaw<BR><B>Subject:</B> Re:
[RPPTL-constructionlaw] Lien Law Query<BR></FONT><BR></DIV>
<DIV></DIV>
<DIV dir=ltr align=left><SPAN class=767135815-16082011><FONT color=#0000ff
size=2 face=Arial>If the material delivery is job specific, even if not shipped
directly to the job site, you need a release from the supplier. I would
hold up future payments to the sub until releases have been
provided. I've had situations before where contractors refused
to provide releases and I got them by drafting a dec action complaint (the
contract didn't require releases) saying 713.06's proper payment provisions
contemplate providing releases to the owner and the uncertainty about our
entitlement to demand releases supported a dec action. This has been a
fairly successful tactic, as everyone wants to avoid a lawsuit, especially where
the contractor can offer no legitimate explanation to the court about why
releases aren't being provided.</FONT></SPAN></DIV><BR>
<DIV dir=ltr lang=en-us class=OutlookMessageHeader align=left></DIV><BR><FONT
size=2 face=Arial><A
href="http://www.floridaconstructionlawauthority.com/"><STRONG>Click
here</STRONG></A> to subscribe to our complimentary Florida Construction
Law Blog.</FONT> <BR>
<DIV dir=ltr lang=en-us class=OutlookMessageHeader align=left></DIV><BR>
<TABLE style="BORDER-COLLAPSE: collapse" border=1 rules=none cellSpacing=0
borderColor=#003768 cellPadding=5 frame=box>
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<TR>
<TD bgColor=#e7ddbf height=30 vAlign=center align=middle><A
href="http://www.becker-poliakoff.com/" target=_blank><IMG border=0
src="cid:428352214@17082011-25C0" width=90 height=37></A></TD>
<TD bgColor=#e7ddbf height=30 vAlign=center align=left>
<P style="TEXT-ALIGN: justify" class=MsoNormal><FONT
color=#003768><B><SPAN style="FONT-FAMILY: Verdana; FONT-SIZE: 10pt">Lee
A. Weintraub</SPAN></B><BR><SPAN
style="FONT-FAMILY: Verdana; FONT-SIZE: 8pt">Board Certified Construction
Lawyer<BR></SPAN></FONT></P></TD></TR>
<TR>
<TD width=100></TD>
<TD vAlign=top align=left><SPAN
style="FONT-FAMILY: Verdana; FONT-SIZE: 8pt">Becker & Poliakoff,
P.A.<BR>Emerald Lake Corporate Park<BR>3111 Stirling Road<BR>Fort
Lauderdale, FL 33312-6525<BR><BR>954.985.4147 Phone<BR>954.985.4176
Fax<BR>LWeintraub@becker-poliakoff.com<A></A><BR><A
href="http://www.becker-poliakoff.com">www.becker-poliakoff.com</A><BR></SPAN><BR></TD></TR></TBODY></TABLE>
<DIV dir=ltr lang=en-us class=OutlookMessageHeader align=left></DIV><BR><FONT
size=1 face=Verdana>Our clients' total satisfaction is our #1 priority.
</FONT><FONT size=1><FONT size=1><FONT face=Verdana>The Becker & Poliakoff
<STRONG>Client CARE Center </STRONG>is available for questions, concerns and
suggestions. Please contact us at 954.364.6090 or via email at </FONT><A
href="mailto:CARE@becker-poliakoff.com"><FONT
face=Verdana>CARE@becker-poliakoff.com</FONT></A><FONT
face=Verdana>. </FONT></FONT><BR></FONT>
<DIV dir=ltr lang=en-us class=OutlookMessageHeader align=left>
<HR tabIndex=-1>
</DIV>
<DIV dir=ltr lang=en-us class=OutlookMessageHeader align=left></DIV>
<DIV dir=ltr lang=en-us class=OutlookMessageHeader align=left></DIV>
<DIV dir=ltr lang=en-us class=OutlookMessageHeader align=left><FONT size=2
face=Tahoma><B>From:</B> constructionlaw-bounces@lists.flabarrpptl.org
[mailto:constructionlaw-bounces@lists.flabarrpptl.org] <B>On Behalf Of
</B>Croom, Janet<BR><B>Sent:</B> Tuesday, August 16, 2011 11:54 AM<BR><B>To:</B>
constructionlaw@lists.flabarrpptl.org<BR><B>Subject:</B> [RPPTL-constructionlaw]
Lien Law Query<BR></FONT><BR></DIV>
<DIV></DIV>
<DIV><SPAN class=755523815-16082011><FONT face=Arial>Query: Cautious GC
wants to protect self/owner from material suppliers claims. Subs request a
deposit for materials they have to buy on a project. GC wants
release of lien from supplier. Some subs are resisting furnishing a
release of lien from supplier, either for deposit or for full payment to
suppliers. This issue comes up when suppliers, in the ordinary course
of business, do not ship material directly to a specific job site at a specific
address and do not have access to information contained on a NOC.
Ex: carpet supplier to flooring sub who ships carpet to flooring sub under
subcontractor order. I know the basic law on this issue, but from a
practical standpoint, are any of you running into this type of issue, and if so,
what resolution are you working out for your GC/client? In compliance
with WWAD?!, please email me directly, and not "reply to all".
Thanks! </FONT></SPAN></DIV>
<DIV><FONT face=Arial></FONT> </DIV>
<DIV align=left>
<DIV align=left>
<P style="MARGIN: 0in 0in 0pt" class=MsoNormal align=left><SPAN
style="FONT-FAMILY: Arial; COLOR: black; FONT-SIZE: 10pt"><STRONG><FONT
size=4><FONT face="Staccato222 BT">Janet Carney Croom,
Esquire</FONT></FONT></STRONG></SPAN></P>
<P style="MARGIN: 0in 0in 0pt" class=MsoNormal align=left><SPAN
style="FONT-FAMILY: Arial; COLOR: black; FONT-SIZE: 10pt"><EM><STRONG>Board
Certified - Construction Law </STRONG></EM></SPAN></P>
<P style="MARGIN: 0in 0in 0pt" class=MsoNormal align=left><SPAN
style="FONT-FAMILY: Arial; COLOR: black; FONT-SIZE: 10pt"><EM><STRONG>Board
Certified - Business Litigation<o:p></o:p></STRONG></EM></SPAN></P>
<P style="MARGIN: 0in 0in 0pt" class=MsoNormal><SPAN
style="FONT-FAMILY: Arial; COLOR: black; FONT-SIZE: 10pt">Collins, Brown,
Caldwell, Barkett </SPAN><SPAN
style="FONT-FAMILY: Arial; COLOR: black; FONT-SIZE: 10pt">& Garavaglia,
Chartered</SPAN></P>
<P style="MARGIN: 0in 0in 0pt" class=MsoNormal><SPAN
style="FONT-FAMILY: Arial; COLOR: black; FONT-SIZE: 10pt">756 Beachland
Boulevard</SPAN></P>
<P style="MARGIN: 0in 0in 0pt" class=MsoNormal><SPAN
style="FONT-FAMILY: Arial; COLOR: black; FONT-SIZE: 10pt">Vero Beach, FL
32963<o:p></o:p></SPAN></P>
<P style="MARGIN: 0in 0in 0pt" class=MsoNormal><SPAN
style="FONT-FAMILY: Arial; COLOR: black; FONT-SIZE: 10pt">Telephone:
772-231-4343<o:p></o:p></SPAN></P>
<P style="MARGIN: 0in 0in 0pt" class=MsoNormal><SPAN
style="FONT-FAMILY: Arial; COLOR: black; FONT-SIZE: 10pt">Fax:
772-234-5213<o:p></o:p></SPAN></P>
<P style="MARGIN: 0in 0in 0pt" class=MsoNormal><SPAN
style="FONT-FAMILY: 'Agency FB'; COLOR: black"><A
title="blocked::mailto:jburgess@verolaw.com
mailto:jburgess@verolaw.com"
href="blocked::mailto:jburgess@verolaw.com"><FONT
title=blocked::mailto:jburgess@verolaw.com
size=2>jcroom@verolaw.com</FONT></A></SPAN><SPAN
style="COLOR: #003300"><o:p></o:p></SPAN></P>
<P style="MARGIN: 0in 0in 0pt" class=MsoNormal><SPAN style="COLOR: #003300"><A
title="blocked::mailto:www.cbc@verolaw.com
mailto:www.cbc@verolaw.com"
href="blocked::mailto:www.cbc@verolaw.com"><SPAN
style="FONT-FAMILY: 'Agency FB'" title=blocked::mailto:www.cbc@verolaw.com><FONT
title=blocked::mailto:www.cbc@verolaw.com
size=2>http://www.verolaw.com</FONT></SPAN></A><o:p></o:p></SPAN></P>
<P style="MARGIN: 0in 0in 0pt" class=MsoNormal><FONT size=2></FONT> </P>
<P style="MARGIN: 4.95pt 0in" class=MsoNormal><I><SPAN
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