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8/9/2019 Sub-contractor Not Performing
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Sub-Contract Not Performing
The selective use of form letters by construction industry organizations may not only save substantial time and
expense but also may become valuable evidence in the event of a dispute. Many businesses maintain a catalogue of
form letters to cover frequently recurring situations.
Therefore, from time to time, the Briefs will suggest forms for consideration by readers with the caution, however, that
users should study their particular circumstances and contractual arrangements involved to deter mine whether the
form proposed fits the circumstances.
In the notunusual situation where a subcontractor is failing to ma!e timely progress, the following form letter might
wor!"
#ear $ubcontractor.
%s a framing subcontractor on the M.T. &ffice pro'ect, your company has consistently failed to furnish sufficient s!illed
wor!men or the necessary equipment or materials to ma!e timely progress with your wor! on the pro'ect.
%s you !now, a delay in completion of the pro'ect beyond the presentlyestablished &ctober (, ()*+, completion date
may result in the imposition of liquidated damages of (,--- per day by the pro'ect owner . Based upon the
construction schedule for the pro'ect, your companys wor! is now two wee!s behind schedule and appears to be
falling further behind.
%ccordingly, this letter is to place you on formal notice that unless within three wor!ing days following the date of this
letter you have increased your crew size, provided the necessary scaffolding and arranged for timely material
deliveries to demonstrate an ability to meet your scheduled completion date, we will determine what actions our
company must ta!e to assure timely completion of the framing wor! on the pro'ect.
$uch action may involve the termination of your contract and the engagement of others to complete your companys
wor!. In that event, your company would be responsible for any additional costs incurred for completion of your wor!
as well as any and all damages we might sustain because of your companys failure to ma!e timely progress.
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&n $eptember (*, ()*/, at (-"-- %.M., our pro'ect superintendent will meet with an official representative of your
company at the 'obsite for the purpose of determining whether your company has the intentions and ability to comply
with the requirements of this letter. 0lease arrange to have your official present at that meeting.
In addition, ta!e notice that we will hold your company responsible for any and all loss, damages or extra expense we
may incur as a result of the delays in the completion of your wor! on the pro'ect.
1ery truly yours,
2aturally, if there are any relevant provisions of the contract agreement which would govern the circumstances or if
any other time (imitation or remedies apply, this particular form should be modified accordingly.
3se of this type of letter under the circumstances would, of course, later prevent the subcontractor from denying that
he had notice of his delay or that he was given an opportunity to correct his problems. $ome subcontract agreements
actually require written notice of this type, frequently referred to in the trade as a 4threeday notice.4 &ne valuable
theory" 45rite a letter and write the last letter.4
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