Waiver of Written Notice on Change Orders

By: Jason M. Yarbrough, Esquire jmy@muslaw.com

In LBL Systems (USA) Inc. v. APG America, Inc., the United States District Court for the Eastern District of Pennsylvania found that contractual notice requirements for change order requests (“CORs”) may be waived and modified by the conduct of the owner and contractor. The subcontract and the prime contract at issue required the subcontractor to present CORs within five business days of the date the subcontractor had knowledge of the basis for the CORs. However, because the Court found the owner and contractor had manifested an intent not to enforce the notice requirement through their conduct, they could not subsequently reject the CORs because they were untimely.

For more information, contact Jason M. Yarbrough at jmy@muslaw.com or 412-456-2592