Being rushed to the emergency room can be a nightmare scenario for everyone involved. The stress and worry over the well-being of a loved one and costly medical services can put a lot of pressure on individuals.
Now imagine if your insurance denies coverage for this visit.
Alarmingly, it could even be deemed that your injury wasn’t really an emergency, leaving you to foot the entire bill.
Your insurance bad faith lawyers at Millin & Millin have the experience and legal know-how to accurately and successfully represent you in a court of law against bad faith insurance companies looking to shuck away responsibility to you.
Consider the following information about insurance denials of emergency room visits.
Recently, Anthem, the second-largest insurance company in the country, along with its subsidiary Blue Cross and Blue Shield of Georgia, informed their clients that they would no longer be paying out for trips to the ER if they determined that the visit was not an actual emergency.
A decision based on their own standards, leaving sick patients with big worries and even bigger bills.
It would do you well to be on the lookout if you or someone you love has recently been admitted into the emergency room and is insured by this company. In many cases, patients have received large bills in surprise after their ER visits and are expected to pay the entire costs on their own.
Anthem’s new policy on whether or not to pay an ER bill is based on a doctor’s diagnosis, not the reason the patient went to the hospital. The insurance giant defines what constitutes as an “appropriate” visit to the emergency room as anywhere “a prudent layperson, possessing an average knowledge of medicine and health” truly believes that immediate treatment is needed.
But what a “prudent layperson” and “average knowledge” is essentially left to the insurance companies imagination.
The Affordable Care Act provided a definition of a “prudent layperson” in order to protect patients from predatory insurance practices. Its original intention required that insurers based their claim payments on what an average person would consider an emergency. Now, the meaning has been twisted.
The insurer can go back after the visit and review the doctor’s diagnosis after and deem whether your trip was considered an emergency or not based on those results. For instance, an individual may visit the ER with immense chest pains only to find out that they are suffering from a severe case of heartburn.
Anthem would not consider this an actual emergency, leaving the patient to fend for themselves. Unfortunately, this may stop individuals who actually need help to shy away from visiting the ER when they actually need it.
Of course, insurance companies may claim that the goal of this policy is to decrease the costs of healthcare. Health care experts, however, state that this is more of the same bad faith insurance practices looking to squeeze out more profits from patients.
Attorneys like our insurance bad faith attorneys at Millin & Millin say that this new policy is a violation to the “prudent layperson standard” guideline, and if you have been affected, we want to help you get your voice heard.
The problem is that many “minor” symptoms can warrant a trip to the emergency room. A 2016 research paper published in the Journal of the American Medical Association (JAMA) concluded that six out of the top 10 reasons for “unnecessary ER visits” included symptoms like:
Coincidentally, these symptoms are also apart of the top 10 symptoms experienced that are correlated to real emergencies.
While this policy may have been arranged with good intentions to cut down on the costs of healthcare, it leaves patients in a precarious situation where the insurance company can deny your claim because they feel it wasn’t an emergency.
At Millin & Millin, we fight tooth and nail for our clients, not only to give them excellent representation but to fight for the compensation they deserve. Our years of experience in battling bad faith insurance companies is to your advantage. Claim what is rightfully yours.
To set up your free legal consultation, contact us today at (956) 631-5600.
As the baby boomer population reaches their senior years, they have begun to seek out the benefits of the long-term care insurance they purchased years ago. These policies were set to provide benefits which are not normally included in traditional health insurance policies.
However, these long-term care policies have lead to a substantial growth of bad faith claims as insurers sold policies without disclosing important information regarding price inflation, reduction or denial of benefits, and failing to inform policyholders of restrictions.
At Millin & Millin, our bad faith insurance lawyers are dedicated to ensuring you receive the benefits that are owed to you. Those who have been denied a long-term health care policy claim should seek out legal aid to obtain the benefits they are legally owed.
Long-term care policies are aimed at providing seniors with the health care services they need as they age. Unfortunately, this is a vulnerable population who often suffer from the fraud and abuse of clever insurers who fail to provide adequate information regarding coverage.
Long-term care policies should cover:
When bad faith insurance takes place, seniors may face unexpected - and costly - expenses due to a lack of coverage for the services they need most.
Policy Definition and Limited Benefits
In addition to limits of benefits set in the policy definition section, most long-term care policies set daily benefits for reimbursement on care such as adult day care, home health care, nursing home cure, or assisted living facilities.
In addition to this, limited daily benefits can include care providers when necessary, as well as home modifications for easier access and to create a safer environment.
Not being able to perform two Activities of Daily Living (ADL) is used as a reference for determining benefits for physical or cognitive disabilities. ADLs include: bathing, eating, drinking, walking, standing, dressing, transferring, and other activities.
Issues with Long-Term Care Policies
Many of the long-term care policies were sold to in the mid-80’s and 1990’s to baby boomers who wanted to have protection already in place for when they would reach their twilight years.
The issues with long-term care policies started years ago when the policies were being underwritten. Underwriting is the process in which insurance underwriters measure risks and determine how much a premium should be to provide the coverage needed.
Unfortunately, insurance underwriters failed to properly estimate the inflation of costs associated with the services needed by this aging demographic including nursing homes, assisted living facilities, in-home care and more. Now, insurance companies are denying these long-term care claims and are substantially increasing premiums to the detriment of those who need the care most.
In order to fully understand your coverage limits and benefits, it is best to seek help from a professional bad faith lawyer.
The experienced attorneys at Millin and Millin have years of experience with bad faith insurers and can spot hidden limitations, reveal unfair practices, and help you to receive the benefits that are owed to you.
A class-action lawsuit filed in 2012 has finally been settled with a big name in the insurance industry having to pay out those they have wronged.
State Farm has gathered the attention of the public eye recently when they settled a class-action lawsuit for $250 million. It was claimed that the company tried to defraud 4.7 million past and current customers out of $1.05 billion that was rightfully owed to them.
Trust your bad faith insurance attorneys at Millin & Millin to stay up-to-date on major insurance news in order to deliver top-quality representation designed to get you the compensation you deserve.
The alleged debacle originally began more than 20 years ago, specifically, in 1997. The lawsuit at that time claimed that State Farm did not pay for original parts when vehicles insured by them were repaired.
In 1999, a Williamson County jury and judge ruled in favor of the plaintiffs, awarding them $456.6 million in damages for breach of contract, another $600 million in punitive damages against State Farm for violating the Illinois Consumer Fraud Act, and disgorgement damages totaling around $130 million. Not long after, an appeals court scratched out the disgorgement damages.
State Farm insurance would go on to appeal the judge’s original ruling and the lawsuit stayed in a legislative limbo of sorts within the Illinois Supreme Court. It was then alleged that State Farm had violated the Racketeer Influenced and Corrupt Organizations Act (RICO Act) by funneling money through several advocacy groups to certain political figures within the Illinois Supreme Court with the goal of keeping their donor list anonymous.
By keeping the donor list anonymous, this allegedly enabled State Farm to funnel more than $4 million in aid to the campaign of then-candidate, Lloyd Karmeier, back in 2004, who was running for the Illinois Supreme Court.
Karmeier would go on to win, and a mere 9 months after his election, he overturned the judgment on the original class-action lawsuit from 1999.
After a U.S. Supreme Court ruling that stated that a different West Virginia judge should have recused himself in a somewhat similar situation, blood—figuratively speaking—began to churn in the legislative waters, attracting plaintiffs and lawyers alike to investigate this ordeal.
In 2012, a federal racketeering lawsuit was filed.
The amount recently awarded, $250 million, was calculated to include the costs of administering the settlement, lawyers’ fees, and other costs.
The settlement also covered those from the original class-action lawsuit that were insured by and had filed an accident claim through State Farm and were given—or paid for the value of—a non-factory authorized or original part when their vehicle was repaired between July 28, 1987, to February 24, 1998.
It is important to note, however, that even though State Farm settled, they are not admitting guilt.
Every day, millions of people place their trust in the hands of their insurance companies, hoping that one day, should they need them, they will have their back.
The reality is, however, that sometimes insurance companies will put their profits over your best interests, and if that happens, you need the best bad faith insurance attorney. You need the expertise of Millin & Millin.
Contact us at (956) 631-5600 for your free case evaluation today.
Insurance companies are struggling with financial burdens of their own and their attempts to level out their own issues look to fall heavily on the shoulders - and wallets - of policyholders. Significant increases in insurance premiums will be very costly to consumers and perhaps leave many without protection against destructive weather.
Your insurance claim lawyers at Millin & Millin want to protect your family against the actions of bad faith insurance companies and insurance premiums. Mother Nature is unpredictable, but your home and safety should not be compromised because of greed.
We promise to help alleviate the financial problems caused by failed protection of the insurance policies you put your trust and money towards.
The Austin American Statesman recently reported that the Texas Windstorm Insurance Association plans to hike up policy prices by 10 percent. If the Texas Department of Insurance does approve these proposed adjustments, then the new rates will become effective by January 2019.
Windstorm insurance is currently available to 14 counties along the Texas coast. It is meant to cover property damages caused by the high-speed winds, hail, and tornadoes that can occur during destructive weather events such as strong storms and hurricanes. The insurance is meant to be a protective measure for Texans in these high-risk areas, but the rising prices are causing a dent in consumer’s wallets without the protection promised.
The last increase in insurance premiums in Texas was in 2017, prior to Hurricane Harvey’s arrival. It led to a $79 annual policy increase on the average premium of $1,600 for the year of 2018. With the current trend of increasing rates, the dollar increase of windstorm insurance premiums will reach an additional $160 per year by 2019.
Windstorm insurance is just one of the many insurance policies that are taking a toll on homeowners. Flood insurance premiums are on the rise as well. Industry forecasts predict a staggering 15 to 20 percent hike in flood insurance policies by 2019. This is no small adjustment from the 8 percent increase during 2018. That increase alone caused the average premium of flood insurance to rise to $1000 per year.
It is evident that the insurance industry does not have its customers’ best interests in mind.
The National Flood Insurance Program (NFIP) is suffering bad financial circumstances. The program’s inability to bring in as much as they pay out has left them in a $20 billion dollar debt. This is after $16 billion dollars worth of debt was recently forgiven. The unwavering amount of debt means that attempts to level out will require companies to charge policyholders more for protection.
An evident flaw of the NFIP is their inability to price premiums based on risk analysis. Instead, they charge according to the history of storms and flood maps of locations. Not to mention that high-risk areas are not always protected. For example, less than half of Florida has flood insurance.
The flawed pricing methods and the lack of coverage in high-risk areas results in debts that fall upon the policyholders.
The life-altering circumstances that result from drastic weather conditions are enough to worry about. Consumers should not bear the burden of insurance companies’ attempts to recover from their mistakes. You deserve the protection that you pay for without the worry of premium increases that break your bank.
Our experienced team of attorneys wants to help get you the protection you deserve. Don’t let bad faith of insurance companies unlawfully deny your claim or underpay you. You should always feel protected and financially secure.
Don’t weather the storm alone. Call the reliable attorneys at Millin & Millin today at (956) 631-5600 for a free consultation.
Just a few weeks ago, heavy rain and flooding forced families all across the Rio Grande Valley to evacuate their homes and save what they could. Communities all across the Rio Grande Valley were flooded, including neighborhoods in Weslaco, McAllen, Mission, and Edinburg.
The water flooded thousands of homes and business with up to 3-feet of water. So far, damage estimates are in the hundreds of millions of dollar. According to the National Weather Service:
If you suffered damage to your home because of a storm in the McAllen-metro area, you may be eligible to file a storm damage insurance claim. However, it is important to be aware of a number of mistakes and pitfalls that can lead to your claim being denied, delayed, or underpaid.
Your insurance claim lawyers at Millin & Millin have years of experience handling insurance companies acting in bad faith. We know how they can take a simple mistake you make and use it against you to deny a claim.
To better protect yourself, your dedicated legal team at Millin & Millin would like to offer you a brief overview of some of the most common mistakes committed by storm damage claimants.
It is absolutely understandable that the stress of dealing with a damaged home and property can lead to some honest mistakes, but a simple trip up when dealing with your insurer can cost you thousands of dollars. When filing a home insurance claim make sure to avoid:
You’ll want to make a claim as soon as possible after a serious storm causes damage to your property. The longer you wait to file your paperwork, the harder it becomes to prove your claim. Some insurance companies also put a deadline on when you can file a storm damage claim. If you fail to meet this timeframe, you essentially give up any rights to recover compensation for damages.
Regardless of the deadline, you’ll want to file a claim immediately. Damages to your home will still be “fresh,” and the insurance adjuster will be able to see the evidence clearly.
While it’s easy to assume the insurance company is on your side, the truth is much different. As a claimant, you want to collect and provide as much evidence as possible to support your claim. At the same time, you’ll want to make it as difficult as possible for your insurance company to deny or underpay it.
Take pictures and video if possible, as well as plenty of notes and documentation; this evidence can be used to contest an adjuster’s finding just in case.
Unfortunately, your bad faith insurance claim lawyers at Millin & Millin have seen time and time again insurance companies essentially lying or providing misinformation to derail clients from making a valid claim.
The insurance adjuster working your claim is trained to limit the company’s responsibility as much as possible, even if that means placing the fault on you. The bottom line remains - don’t just blindly trust your insurance company. Ask as many questions as necessary to ensure that you understand the situation.
If you find your insurer ignoring your requests, taking an unnecessary amount of time to respond to you, or denying or limiting your claim on unreasonable grounds, contact an insurance lawyer immediately.
This particular “mistake” can be a challenge to avoid as there is a very thin line mitigating damages and making too many repairs.
On one end, most homeowner policies make the homeowner responsible for mitigating storm damages. This means doing just enough - like a placing a tarp over a damaged roof - to stop additional damages from occuring. Failing to mitigate damages means you might run the risk of obtaining other damages that might not be covered.
On the other hand, making repairs - even small repairs - could result in a skewed analysis by the insurance adjuster. Your insurer could potentially blame you for damages and attempt to deny your claim.
If you aren’t positive on what exactly you can do, contact an informed insurance lawyer to give you some insight.
Insurance companies are NOT in the business of shelling out money to every single client. They are a business, and like most businesses, this means profits come first.
In an effort to avoid lowering their own profits, your insurance company will likely offer you a quick check that will only cover a small portion of the damages. If you accept this first offer, you won’t have an opportunity to obtain the full amount that is owed to you.
While you might be tempted to accept their first offering because of the pressures of having a damaged home, don’t put yourself in this position. It might take longer to get you the full amount that is due, but it will help you avoid the hassle of covering repairs out of your own pocket.
When facing major damages to your home because of a serious storm, it can be easy to feel overwhelmed and underprepared. Insurance companies know this and will take advantage of the situation to underpay your claim - or even outright deny you.
But you don’t have to accept their bad faith tactics or behaviors.
It can seem scary trying to go up against a giant insurance agency, but there are qualified lawyers who have the skill, experience, and ability to protect your rights. One of the biggest mistakes you can make when filing a storm damage claim is allowing your insurer to dictate the situation, forcing you into accepting a settlement that you know isn’t right.
Depend on the bad faith insurance legal team of Millin & Millin to get you the justice you deserve when seeking your compensation after a severe storm. Contact us today at (956) 631-5600 to get the legal representation you need.
The 2017 hurricane season was the most expensive in U.S. history, causing over $200 billion in damages. This was especially true of Harvey in Texas.
As a business owner in the Rio Grande Valley, your business is much more susceptible to flooding, hurricane damages, and other weather-related damages. While commercial property insurance will help to cover physical damages to your business, Business Interruption Insurance (also known as Business Income Insurance) helps to cover expenses and lost income that come as a result of the disaster.
With the 2018 hurricane season underway, now is the time to consider purchasing Business Interruption Insurance. If you are unfamiliar with how it can protect your business after a major catastrophe, your bad faith insurance claim lawyers at Millin & Millin would like to inform you about how it can be the protection you need to save your business.
Please consider the following information.
Business interruption insurance is an additional rider that you can purchase from your commercial property insurance provider or other specialized agency. There are various types of this insurance which cover a variety of different situations and damages including:
Extended and contingent coverages can be purchased as additional riders of regular business interruption insurance.
What your policy covers is dependent on the business assets that you want to protect. Every policy will be unique to a business owner’s specific needs. As always, it is important that you read through the policy and have a solid understanding of the coverage.
Generally, business interruption insurance can cover and protect:
Coverage is triggered when an incident - as specified by the contract - causes damage to your business and extends for however long as determined by the policy. Please be aware that business interruption insurance is limited and any losses that exceed those limits are the responsibility of the business owner(s).
There are a number of factors that play into the amount of coverage your business needs. Consider the following when determining what level of coverage you may need:
In an area like the Rio Grande Valley, which can experience a major disaster like a hurricane, it is important to have coverage that will protect your business for more than a few days.
However, even with the right commercial property insurances in place, your insurer may attempt to underpay or outright deny a valid claim. When this happens, don’t allow bad faith insurance tactics to derail you or your business. Depend on the responsiveness of the bad faith insurance legal team of Millin & Millin to get you the justice you deserve when seeking your rightful compensation after a natural disaster like a hurricane.
Contact us today at (956) 631-5600 to get the legal representation you need. Millin & Millin serves the greater McAllen metro area and the whole Rio Grande Valley.
Texas had a rough 2017 hurricane season with Harvey causing major damage to southeast Texas and the Houston metro area. Unfortunately, forecasts from North Carolina State University and Colorado State University are predicting another above-average season for 2018.
It’s important for residents living along the Gulf Coast and in the Rio Grande Valley to begin preparing now for the 2018 hurricane season, which starts June 1st. While residents of deep south Texas have been fortunate to avoid any major storms in some years, all it takes is one hurricane to devastate your home and property.
Don’t wait until it’s too late.
Failing to have the right insurance coverage in place can leave you with a financial burden that may be too difficult to carry. Your insurance claims lawyers at Millin & Millin want to remind you to check your homeowners insurance coverage now in order to protect yourself from any future hurricane-related damages that might occur.
Remember - “An ounce of prevention is worth a pound of cure.”
If you aren’t sure what exactly to look for in your insurance contract or what types of insurances you need to protect yourself during this hurricane season, please consider the following.
Flood Coverage
During Hurricane Harvey, only 30% of home damages were effectively covered. Property analytics firm CoreLogic found that the vast majority of homes in the path of Hurricane Harvey did not have adequate flood coverage, which means homeowners had to cover more than 70% of damages out of their own pocket.
While you may have general homeowners insurance, you should be aware that most coverages do not offer protection from flooding. Failing to have this protection can leave you in an extremely difficult financial position. Do not wait to protect yourself.
Flood insurance may be purchased through your insurance company or another agency participating in the National Flood Insurance Program (NFIP). If you cannot find a provider, please contact the NFIP Referral Call Center at 1-800-427-4661.
Coverage for High-Value Personal Items
Another coverage that can prove to be vital for protecting your valuables is a high-value personal possession rider. For items such as jewelry, artwork, collectibles, and other types of expensive personal property, this type of coverage works well.
There is generally an appraisal process in order to properly value the item and to ensure you are paying sufficient premiums for it. If you are afraid of having a family heirloom or luxury item become damaged, obtaining high-value personal item coverage should be a top priority.
Temporary Living Expenses
Depending on the type of home insurance coverage you have, temporary living expenses may be fully or partially covered. A few of these expenses covered include:
Thoroughly check your policy to see if any temporary living expenses are covered and for how long.
Pay Attention to Your Deductible
Even with the right amount of coverage, too high of a deductible can still leave you in financial trouble. You’ll need to do a review of your policy and make sure that you have enough money set aside to pay the deductible in case of an emergency.
If you are unable to pay the deductible right away, it can become more challenging over time to obtain the benefits that are rightfully yours.
Protecting Your Family
Protecting your home and property is of utmost importance but we know that keeping your family safe is your number one priority. Luckily, there is usually enough warning time to prepare your family for a hurricane. Some of the most important steps you can take to protect your loved ones include:
You’ll also want to make sure that all important documents, including your homeowners insurance policy, are in a safe place where they cannot be destroyed.
If you are having to file a home insurance claim, it’s likely due to the fact that you just dealt a terrible event. Having to deal with the bad faith tactics of an insurance company is the last thing you need on your plate during this time.
Depend on the responsiveness of the insurance claims legal team of Millin & Millin to get you the justice you deserve when seeking compensation after a natural disaster like a hurricane.
When you have upheld your end of the insurance contract and paid your monthly premiums on time, it’s only right that you would expect your insurer to uphold theirs. Insurance companies have the legal duty to assist you with a claim and pay out the correct amount of damages.
Unfortunately, many insurers put profits before people and unrightfully deny a claim or attempt to underpay it. These types of behaviors are known as bad faith practices, and they can greatly affect your ability to recover any damages after filing an insurance claim.
But you do NOT have to accept this type of illegal behavior. One way to address the situation before filing a lawsuit - and one often required by the courts - is to submit a formal demand letter. A formal demand letter is written to the insurer in an attempt to correct any issues.
These letters can be written on behalf of a person, group, or family insured under any number of different types of insurance contracts including health, property, vehicle, homeowner, disability, flood, and other contracts. They summarize your claim and notify the company of how much compensation you seek for your injuries or any other damages you may have suffered.
If you have been struggling with your insurer acting in bad faith, trust in the dependable, aggressive, and honest insurance claim lawyers of Millin & Millin to help you obtain the results you deserve.
Please consider the following information regarding how to write a bad faith demand letter and how it can help you in your situation.
How Writing a Demand Letter Can Help
Writing a clear and effective letter demanding payment for an insurance claim can help you in a number of ways including:
Please note that if you are writing a demand letter as a result of a health insurance or personal injury claim, you should wait until treatment is nearly complete so that you can accurately account for all costs associated with the medical care you received.
Preparing Your Demand Letter
When creating your demand letter, you need to approach the situation in a professional manner and look at all the key factors. You’ll want to cover several different “topics” and provide sufficient details including:
As you create the letter, it is important to maintain a respectful but straightforward tone. You will also want to type the letter out, make sure that it is free from errors, and is easy to understand. Don’t forget to make yourself a few additional copies for any future purposes.
When sending the demand letter, it is best to do so via certified mail so as to negate an insurer that claims they never received the letter.
Again, it is vital that you always maintain a polite - but firm - style.
Your bad faith insurance lawyers at Millin & Millin understand that taking such a serious approach can be a challenge. It can be downright intimidating trying to handle a serious situation with a large corporation alone.
But it doesn’t have to be.
If you are worried about sending a demand letter because of legal and financial reasons, then please contact our experienced lawyers today. We can help you through the process and provide additional insight, as well as quality legal support, should your claim require action.
Even a well-organized construction project can run into issues and problems. Because there are often many different parties involved, from owners to contractors and subcontractors, disputes often arise. Some of the most common causes of construction disputes are contract errors or omissions, contract non-compliance, and site issues. While some disputes may be resolved quickly and without further issue, others may require the help of an experienced construction attorney.
The construction lawyers of Millin & Millin have the knowledge and the resources that you need on your side when a construction dispute arises. We will work hard to protect your interests and find a solution that is right for you. Don’t settle for an inexperienced attorney who does not understand the construction field. Turn to a team that has helped property owners, contractors, developers, vendors, and others resolve disputes and get the results they need. Contact us today at (956) 631-5600 for a free case evaluation.
There are many different reasons that a dispute may happen over the course of a project. A few common reasons include:
The building’s integrity is important for safety reasons but engineers must also take into consideration the desires of the customer. Lawsuits associated with design deficiency can result from a construction project that was poorly designed, inaccurately built, or left incomplete. Because of a deficiency, an entire project can be in jeopardy. Disputes between contractors and owners can lead to delays in completing the project and can dramatically increase the cost.
Imagine a scenario where an owner is excited or desperate to have a construction project completed in a time frame that may not be realistic. In an attempt to satisfy their new customer, a construction company accepts the contract and starts working as quickly as possible. Rushing through the process, engineers, architects, and contractors begin assembling plans to complete the project. However, they fail to realize that their blueprints are unorganized, their designs have fundamental flaws, and the timeline is virtually impossible. The problem may not be discovered until a lot of time and money has been wasted, and this can create a conflict that only a construction lawsuit may resolve.
The time it takes to complete construction is just as important as keeping the cost of materials within the budget. Managing the project’s timeline is not as easy as it sounds, especially when there are design deficiencies within the plan. Instead of efficiently completing the task at hand, time delays can create serious problems and even derail projects completely.
There are many opportunities for delays to develop over the course of construction work. Materials and equipment need to be ordered, delivered, and organized before the project can begin. Contractors will need to hire enough labor to complete the task efficiently, while also keeping costs low. Even the weather can present unique challenges and time delays. Disagreements between the various parties involved with the project also prevent work from taking place until the dispute has been resolved.
Meanwhile, the overhead costs of the entire project continues to rise. The owner may object to paying the difference in costs, and the contractors may be forced to make a difficult decision. In this instance, an unbiased ruling from a judge may be in the best interest of both parties.
Assuming the project was completed in a timely manner and within the allowed budget, the owner of the newly constructed building may still be unsatisfied. The owner’s problem with the finished product may be real or imagined, but the dispute is certainly authentic.
If an agreement cannot be made, then the affected parties may decide to file a construction lawsuit.
The unhappy owner may decide to withhold proper payment to the construction company, even though the design requirements were fulfilled. Another example could be that the project has been designated as complete but there are faults within the project’s construction. Whether the owner is justified in their complaint or not, the issue may need to be resolved in court.
Construction lawsuits are a civilized solution to complicated problems that develop when circumstances change. When construction companies act in bad faith, it is important to discuss the situation with a qualified bad faith lawyer.
Contact Millin & Millin today at (956) 631-5600 to schedule a confidential consultation.
With so many people and moving parts involved in a construction project, a single problem can derail an entire project. From construction companies to contractors and subcontractors, a number of different entities have an obligation to act in good faith and complete the job they’ve agreed to do in a timely manner.
Unfortunately, disputes happen all the time, leading to delayed jobs and potential litigation between parties. One common issue that arises is when subcontractors cannot complete the job they are assigned on time. In an ideal scenario, subcontractors tell you the truth about their ability to do the work, arrive at the construction site on time every day, and complete the job to the highest standard - saving general contractors money and stress.
But this is the real world and this isn’t always the case.
At Millin & Millin, we know that contractual issues can arise with any construction project. That’s why we are committed to helping represent general contractors and construction companies who have met construction disputes. Our team of insurance claim lawyers has in-depth knowledge about the construction industry and is ready to help you today.
One of the most important things to remember during the initial stages of a construction project is the value of communication and setting those expectations with contractors and subcontractors from day one. This ensures that everyone knows their roles and responsibilities, as well as deadlines.
Some additional tips for dealing with subcontractors include:
Before asking for a bid from a single subcontractor, make sure you put in the work and prequalify them before hiring. Look at their past work and make sure they can handle a project of your size and see if they have a history of completing their work on time.
You can also talk to other general contractors about the work they’ve done and what they may have heard said about the subcontractor. If a subcontractor you’ve worked with in the past asks why they didn’t get the job, be honest and explain your reasoning.
Once you’ve decided who will take the subcontracting job, it’s time to draft up a contract. Like all contracts, this legally binds the subcontractor to the job as well as other specified provisions. Along with containing the roles and responsibilities of the subcontractor, the contract should also outline all expectations and specifics of the project and work. Some other common things to cover in a contract include:
It’s also vital to remember that for most contracts, you are required to inform the subcontractor with a written notice of default, as well as a timeline for fixing the problem before you can supplement the work. Make sure to go over every detail of the contract before signing to ensure that all parties are aware of all aspects of the agreement.
If you need guidance writing up a contract, your expert legal team at Millin & Millin can help you develop a solid contract.
Subcontractors may not always come to you when they begin facing problems or experiencing difficulties on a project. That’s why general contractors should be aware of signs of trouble on a site.
You should monitor your subcontractors’ work and talk with them often (if possible on a daily basis) about their progress. Some common signs that your subcontractor could be running into problems include falling behind schedule, a sudden decrease in construction workers, worsening morale among workers, and missed or delayed payments from subcontractors to suppliers.
If you begin to see any of these warning signs, don’t hesitate to bring them up with your subcontractor immediately, even if the project appears to be going well. Maintaining an open environment where subcontractors feel the freedom to talk to you about problems is essential for avoiding any problems down the road.
Also, holding regular meetings is a great way to keep everyone in the loop on the status of the project and give subcontractors an opportunity to talk about any concerns or problems they are facing.
Unfortunately, disputes still happen on construction sites every day, and when they do, it’s important to be prepared and ready to protect yourself and your project.
The bad faith construction lawyers at Millin & Millin are experienced in handling construction disputes of all kinds. If you need to pursue legal action against a subcontractor who did not act in good faith, contact us today at (956) 631-5600 and schedule a free consultation.
