On March 2, 2018, the Governor approved an act of the Virginia General Assembly to make unenforceable pre-work waivers of lien rights by general contractors. Thankfully, this new law now extends to general contractors the same protections provided back in 2015 to all lower-tier subcontractors and suppliers. However, some risk still exists for general contractors that does not exist for lower tiers – pre-work waivers of claims by general contractors are still enforceable.
In 2015, the Virginia General Assembly and Governor amended Va. Code § 11-4.1:1 to prohibit waivers by subcontractors and suppliers of claim and lien rights before performing the work. Subs and suppliers can still waive claim and lien rights after performing the work upon which the claim and/or lien is based. The 2015 amendment did not protect General Contractors. (More on the 2015 amendment.)
On March 2, 2018, the Governor approved an amendment to Va. Code § 43-1, which makes unenforceable pre-work waivers of liens by General Contractors. This amendment will become law on July 1, 2018 and apply to contracts dated thereafter.
This amendment applies only to pre-work lien waivers. It does not expressly apply to contract language that seeks to waive or diminish general contractors’ claim rights, such as a no-damage-for-delay clause in a private contract.
Roads & Bridges | Written Notice
WRITTEN NOTICE | Beware that strict compliance of the contract might be required.
When an owner replaced a contractor for significant safety violations, […]
Roads & Bridges | Mommie Dearest
MOMMY DEAREST | The story of an ESA without a MOM
Nobody enters this world, or a contract, without a mother: There can […]
IIJA | Does Closing a “Giant Loophole” Cost Contractors?
A recent article published by Roads and Bridges magazine reports that the Office of Management and Budget is working to broaden the scope […]
Roads & Bridges | Buy American Plan Gets an Update
BUY AMERICAN PLAN GETS AN UPDATE
The Office of Management and Budget is developing standards to replace the current Buy […]
Roads & Bridges
Where Does the Buck Stop?
WHERE DOES THE BUCK STOP? | A shallow concrete pour leads to an interesting lawsuit
On the desk of President Harry S. Truman […]
Roads & Bridges | Reshaping Agreements
RESHAPING AGREEMENTS | Oral Agreements Must Be Written in Stone
Reuse, reshaping, and/or reapplication of existing materials was the goal in this roadway […]
Pay-If-Paid Unenforceable in Virginia Starting Jan. 1, 2023
As of Jan. 1, 2023, pay-if-paid clauses are unenforceable, regardless of whether a surety/payment bond claim is involved. This is only for […]
How Short is Too Short
A limitations period is too short when it’s unreasonably short.
Construction Contracting Without Relief Clauses During COVID-19
What to do if your contract lacks the parts to handle COVID-19? Considerations for creating new contracts during COVID-19.

Jonathan J. Straw
Blog Author
Contact Jonathan
Partner | KraftsonCaudle.com
Download Jon’s Bio
