Yesterday, Tennessee passed the Construction Industry Payment Protection Act (CIPPA) (SB2681/HB2706), which brings broad amendments to Tennessee’s lien laws, the Truth in Construction Act, the Prompt Pay Act, and Construction Defect statutes. Despite a shortened session that focused primarily on the budget and COVID-19 related bills, the legislature took time to pass amendments sought by a unified coalition across the … Read More
Statute of Repose and Insurance Company Construction Projects
A contractor’s “preferred contractor” relationship with an insurance company does not necessarily mean the insurance company can recover under a breach of contract theory when it seeks relief in subrogation from the contractor for faulty work. Such a claim has to be clearly specified as a breach of contract in the insurance company’s complaint. Recently in Tennessee Farmers Mutual Insurance … Read More
Prevailing Parties Get the Fees
Tennessee follows the “American Rule” concerning attorney fees. Accordingly, even if a party wins his case, he is not entitled to attorney fees unless there is a contract or statute providing a recovery. There are a few other narrow situations that provide attorney fees based on a recognized exception, but generally speaking, there will be no recovery of attorney fees … Read More