July 2012


Episode #29 of the Maryland Construction Network

Maryland Associated General Contractors – July Update with Champe C. McCulloch

MD AGC Training and Professional Development

Building Information Modeling Training

  • Recently completed testing for second class of BIM training
  • Graduates receive a certificate of management in BIM

AGC Supervisory Training Programs

  • Leadership and Motivation segment recently completed
  • Training is done periodically but can also be done on a contractual basis for individual companies
  • Training can be delivered on a single payer basis for all AGC topics

Business Ethics in the Construction Industry

  • The economy has propagated some unhealthy behaviors
  • How should we act when we receive a price that is “too low”?
  • Do you willingly accept a bid you know is “bad” or do you verify the bid is correct?
  • This applies to bids made to owners, general contractors, subcontractors and so forth
  • Is this “bid shopping”?
  • Good ethics should require that you should thoroughly investigate the bid to ensure the bid adequately covers the scope and details of the project
  • Everyone has the right to get the best price for a project
  • However, should you use a price that is knowingly flawed and jeopardize the project, the owner, and/or the contractor?
  • Bad bids are not good for the industry and all the parties involved in the construction process
  • Reputations and prospects for future business are damaged by accepting bad bids
  • Ultimately, companies working in a good and ethical manner will have a greater longevity than those that don’t
  • AGC promotes ethical conduct and good business practices – Safety, Integrity, Responsibility

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Episode #28 of the Maryland Construction Network

Basics of General Liability Insurance

  • Richard W. Shaw, Jr. CPCU, ARM – VP w/ CBIZ Insurance Services Inc. – 443-259-3209 or rshaw@cbiz.com
  • Why is GL coverage purchased and what does it cover?
    • In most cases it is mandated as a part of a business license
    • Covers bodily injury and property damage
  • Provides defense coverage
  • Does not cover professional services and environmental issues
  • Premiums are tied to exposure and payroll and subcontract costs
  • Coverage limits are dependant upon:
    • What are contractual requirements?
    • What is your budget?
    • What type of work do you do?
    • Where do you perform you work?
  • What are some endorsements contractors should have on their GL policy?
    • Per job-site aggregate limit
    • Blanket additional insured endorsement – some carriers do charge for this
    • Employment benefits liability
    • Does the carrier have a contractors endorsement?
  • What is not typically covered?
    • Professional acts
    • Environmental exposures

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Episode #27 of the Maryland Construction Network

 Protecting Yourself From Claims and Liabilities Resulting from Downstream Entities

  • Mrs. Jennifer M. Horn – Senior Counsel at Cohen Seglias Pallas Greenhall & Furman, PC
  • Mandate the use of lien releases
  • Execution of release is condition-precedent for payment
  • Make certain they are complete and without reservation of rights
  • If there is a claim to be made, make certain to contact your legal council!
  • Please be careful that specific information is contained in the release so you do not waive rights on other projects
  • What are typical terms contained in a release?
  • You should have releases reviewed by legal council
  • Bonds are another obvious way to minimize claims from a downstream entity
  • Typical language in bonds
  • Joint checks can be another powerful weapon to minimize claims
  • The contract should contain provisions for joint checks as a precaution

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#26 The Maryland Construction Network

Episode #26 of the Maryland Construction Network Building Congress & Exchange – July Update with Verna Regler Black Tie Gala – A Night at the Museum Saturday, September 15, 2012 B & O Railroad Museum Baltimore Construction Industry’s Who’s Who Event of 2012 Tickets and Sponsorships are available by calling 410-823-7200 July 24, 2012 Network Event Hillendale […]

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