Glazing Project Command Center
Subcontract Review
Riverfront Medical Office Building / GPC-24017 / Northstar Builders
Summary Risk Report
| Risk | Page | Level | Legal Review | Why It Matters |
|---|---|---|---|---|
| Pay-if-paid payment condition | 6 | High | Yes | This can shift owner non-payment risk to the glazing subcontractor even after acceptable work is performed. |
| Liquidated damages flow-down | 9 | Critical | Yes | The clause is uncapped and may expose the glazier to project-wide damages beyond its proportionate responsibility. |
| Backcharge notice | 12 | Medium | No | Without notice and cure rights, disputed field issues can become unilateral deductions. |
Highlighted Subcontract Text
Pay-if-paid payment condition / Page 6
Payment to Subcontractor is expressly conditioned upon Contractor's receipt of payment from Owner.
Suggested strikeout: Remove language making owner payment an express condition precedent.
Suggested replacement: Contractor shall pay Subcontractor for properly performed work within 7 days of payment from Owner, and in no event later than 45 days after an approved payment application, except for amounts specifically disputed in writing.
Liquidated damages flow-down / Page 9
Subcontractor shall be liable for all damages, penalties, acceleration costs, and liquidated damages arising from delay.
Suggested strikeout: Strike all damages not caused solely by Subcontractor's critical-path delay.
Suggested replacement: Subcontractor is responsible only for liquidated damages to the extent caused by Subcontractor's unexcused critical-path delay, capped at the value of this subcontract.
Backcharge notice / Page 12
Contractor may supplement or backcharge Subcontractor without prior notice where Contractor deems necessary.
Suggested strikeout: Remove unilateral backcharge authority without notice.
Suggested replacement: Contractor shall provide written notice and a 48-hour opportunity to cure before performing backcharge work except in emergencies affecting safety or active damage.