Tuesday, July 31, 2012

Florida's construction laws will require modification of certain construction methods and documentation

It's been a busy year for construction legislation, with new regulations and statutes putting more and more obligations on contractors and suppliers.  The national trend continues with the new legislative changes in Florida, which require modification of certain construction methods and documentation.

We suggest that anyone involved in the construction industry in Florida review these new laws to ensure that they are fully compliant.  The amendments touch on many parts of the construction process, and in some instances only slightly change prior legislation. The following is a general overview of the new requirements that provide the flavor of the changes:

Surety Bonds: public performance and payment bonds, as well as private payment bonds
  • The form for payment and performance bonds on public project has been changed. Contractors required to provide a bond on public projects should make sure their surety is aware of the changes and provides bonds that comply with the newly required form.
  • The enforceability of certain bond provisions has been modified.
  • Notices of Contest of Claim Against Payment Bond requirements have been modified, and beneficiaries under the payment bond (such as a subcontractor or supplier) should make sure to review these changes to ensure they are in compliance.
  • With regard to sureties, their right to revoke consents from surety or withhold payments have been changed.
  • The calculation period for service of notices of nonpayment by lienors has been revised
Public Bidding
  • The manner in which a public entity opens public bids is subject to a new and revised statute that must be adhered to.
Construction Liens for Work Performed for Tenants
Miscellaneous Modifications
  • The form for the Notice of Commencement that a project is starting has changed.
  • The requirements for written demands for a copy of the contract and sworn statements of account have been modified.
  • Notices, claims of lien and other papers served under Chapter 713 may now be served by common carrier delivery service or by Global Express Guaranteed and other changes have been made making notice requirements more flexible.
  • The grandfathering provisions for certification of registered contractors have been reenacted with a new deadline for filing applications.
  • Changes to Chapter 713 further clarify the requirements for notices of termination.

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