DC General Contractor key terms

A legal claim recorded against a property by a party who supplied labor, materials, or services and was not paid. It can cloud the title until resolved or released.

A preliminary written notice that preserves a potential lien claimant's right to record a lien later. Deadlines and required contents are set by statute and vary by project type.

A signed document in which a claimant gives up lien rights, either conditionally on payment or unconditionally once payment is received. Statutory forms are often required.

A notice directing a project owner or lender to withhold funds owed to the prime contractor so an unpaid subcontractor or supplier can be paid from those funds.

A stop notice served on a construction lender or owner that is backed by a surety bond, which may be required to shift liability if the notice later proves improper.

A surety instrument guaranteeing that a contractor will pay subcontractors, laborers, and suppliers on a project. It gives unpaid parties a remedy on public work where liens are unavailable.

A surety instrument guaranteeing the contractor will complete the work according to the contract. If the contractor defaults, the surety must arrange completion or pay the owner's damages.

A surety instrument submitted with a bid that guarantees the bidder will enter the contract if awarded and will furnish required bonds. The owner may claim against it if the bidder refuses.

A percentage of each payment withheld by the owner until the project or a defined phase is complete. It protects the owner against incomplete work and unpaid claims.

Periodic payment to the contractor for work completed and materials stored during a billing period, based on an approved application for payment.

An itemized breakdown of the contract price allocated to work phases or trades. It supports progress billing and is often required with the first payment application.

A written agreement signed by owner and contractor that modifies the scope, price, or schedule of the contract. It becomes part of the contract documents once executed.

A written order from the owner directing a change before price and time are agreed. It lets work proceed while the parties later settle cost and schedule adjustments.

A formal written question from the contractor to the design team seeking clarification of drawings, specifications, or contract terms. Responses become part of the project record.

A detail drawing, diagram, or data sheet prepared by a contractor or supplier showing how a portion of the work will be fabricated or installed, submitted for review before construction.

Any product data, sample, mockup, or drawing the contractor sends to the design team for review and approval before installation, as required by the specifications.

The stage when the work is sufficiently complete for the owner to occupy and use it for its intended purpose, leaving only minor items to finish. It often starts warranty periods.

A written list of minor incomplete or defective items identified near completion that the contractor must correct before final acceptance and final payment.

The point when all work, including punch list items and closeout documents, is finished and accepted by the owner, triggering release of remaining payments and retainage.

A party's failure to perform a material contract obligation, such as missing schedule, abandoning work, or not paying subcontractors. It can trigger termination and surety claims.

The owner's ending of the contract because of the contractor's default. The owner may complete the work with others and charge the contractor for resulting excess costs.

The owner's ending of the contract without the contractor being at fault, typically with notice and payment for work performed plus allowable costs.

A request for additional time or money when project progress is slowed by events outside the contractor's control, such as owner-caused changes, weather, or differing site conditions.

A preset amount stated in the contract that the contractor owes the owner for each day of late completion. It must be a reasonable estimate, not a penalty.

Physical conditions at the site that differ materially from what the contract documents indicated or that are unusual for the work, often supporting a price or time adjustment.

The scheduled public or private event at which sealed bids are opened and read aloud, usually followed by evaluation and award.

An owner's published request for contractors to submit priced proposals for a defined scope, with instructions, deadlines, and bid documents attached.

A roster of contractors who have obtained bid documents or been prequalified to submit proposals on a specific project.

A process in which an owner screens contractors for licensing, experience, financial capacity, and safety record before allowing them to bid or be awarded work.

A credential issued by a state or local authority permitting a person or firm to perform or offer construction work. Bidding or working without one can void contracts and draw penalties.

The individual whose license, examination, and experience support a construction firm's license. The firm's license depends on that person remaining connected to the business.

Written government authorization to construct, alter, or demolish a structure. Work must match approved plans, and inspections are required at defined stages.

A document issued by the building authority confirming that a completed structure complies with applicable codes and may be legally occupied and used.

Meeting the adopted building, fire, energy, and accessibility codes that govern design and construction in the jurisdiction where the work occurs.

The written portion of contract documents describing materials, products, workmanship standards, and performance requirements for the project, usually organized by trade divisions.

Construction drawings marked up by the contractor to record actual installed conditions, dimensions, and changes, then delivered to the owner at closeout.

A scheduling technique that identifies the longest sequence of dependent activities, showing which tasks control the project finish date and where float exists.

The amount of time an activity can slip without delaying the project finish or a later activity. Ownership of float is often addressed in contract scheduling clauses.

The initial approved project schedule against which actual progress and time impacts are measured throughout construction.