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California Construction Contract Attorneys

California construction contract attorneys for drafting, review, negotiation, and disputes over project agreements.

The Situation

The contract you sign today determines the fight you face tomorrow. Most construction disputes are won or lost in the contract — before a single shovel hits the ground. Whether you're a general contractor, subcontractor, developer, or owner, the contract terms you agree to will define your rights, your remedies, and your exposure when things go wrong.

Why It Happens

Construction contracts are complex documents that allocate risk between parties. Standard form contracts (AIA, ConsensusDocs, AGC) favor certain parties and contain provisions that can be devastating if not understood. Custom contracts drafted by the other side's attorney are designed to protect them — not you.

California Law

California construction contracts are governed by general contract law principles, the Civil Code, and industry-specific statutes. California prohibits certain contract provisions (such as indemnity clauses that require a party to indemnify another for their own negligence in residential construction — Civil Code §2782) and requires specific provisions in home improvement contracts (B&P Code §7159). Design-build contracts present unique risk allocation challenges because the contractor assumes both design and construction liability; California's design-build statute (Public Contract Code §22160 et seq. for public works; B&P Code §7057 for private) governs licensing requirements. Retention disputes are governed by the prompt payment statutes: owners must release retention within 45 days of project acceptance (Civil Code §8812 for private works); failure to do so triggers 2% monthly interest plus attorney fees. Subcontractor retention must be released within 7 days of the GC receiving payment from the owner.

What's at Risk

The Risks
  • Indemnity clauses that expose you to unlimited liability
  • Waiver of consequential damages provisions that limit your recovery
  • Dispute resolution clauses that favor the other party
  • Lien waiver provisions that release your rights prematurely
  • Termination clauses that allow the other party to terminate without cause
  • Design-build contracts that expose contractors to design professional liability without adequate insurance
  • Retention withheld beyond the 45-day statutory deadline without triggering the 2% monthly penalty
Common Mistakes
  • Signing contracts without reading them
  • Assuming standard form contracts are balanced
  • Not negotiating unfavorable terms before signing
  • Failing to include change order procedures that protect your rights
  • Not including attorney fee provisions that allow recovery of legal costs
Case Example

A general contractor asked us to review a $15M subcontract before signing. We identified an indemnity clause that would have required the GC to indemnify the owner for the owner's own negligence, a 'no damages for delay' clause with no exceptions, and a dispute resolution clause requiring arbitration in a distant county. We negotiated all three provisions before the contract was signed — saving the client from potentially catastrophic exposure.

Past results do not guarantee future outcomes. Every case is different.

Frequently Asked Questions

How GLG Helps
  • We draft construction contracts that protect your interests from the start
  • We review contracts before you sign and identify every problematic provision
  • We negotiate contract terms with the other party's counsel
  • We advise on industry-specific contract issues (AIA, ConsensusDocs, public works)
  • We draft subcontract agreements that flow down appropriate risk

A bad contract is the root cause of most construction disputes.

We review, draft, and negotiate construction contracts before disputes arise — and fight for you when they do.

Start Your Case Review (949) 666-8797

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