Liquidating agreement

02-Jul-2017 08:36

Subcontractors may be protected against damages a property owner is at fault for through an agreement with the contractor.

The contractor and subcontractor may arrange that the contractor will reimburse the subcontractor for damages it sustains at the fault of an owner, but only to the degree that the owner pays damages to the contractor for the subcontractor’s damages. S.2d 25, for example, the court found that the subcontractors, lacking privity of contract, were precluded from bringing suit directly against construction project owners for additional costs caused by owner’s delays.

THIS LIQUIDATION AGREEMENT (the "Liquidation Agreement") is dated effective as of the close of business on December 31, 2015 by and among Juneau Exploration, L. THIS LIQUIDATION AGREEMENT (the "Liquidation Agreement") is dated effective as of the close of business on December 31, 2015 by and among Juneau Exploration, L. This Liquidation Agreement (this "Agreement") is made and entered into as of January 18, 2013 (the "Effective Date") by and among Williams Multifamily Acquisition Fund, LP, a Delaware limited partnership (the "Partnership"), Williams Multifamily Acquisition Fund GP, LLC, a Delaware limited liability company ("General Partner"), Williams Multifamily Acquisition Venture, LLC, a Georgia limited liability company ("Williams LP", and together with the General Partner, the "Williams Partners"), Williams Realty Advisors, LLC, a Delaware limited liability company ("Williams Advisors", and together with the Williams Partners, the "Williams Parties"), and OREC (Williams) Holdings, Inc., a corporation formed under the laws of the Province of Ontario, Canada ("Oxford").

("Contango") and Fairfield Industries Incorporated ("Fairfield"), each a member ("Member"). ("Contango") and Fairfield Industries Incorporated ("Fairfield"), each a member ("Member").

Second, attempts to pass through claims may expose the general contractor to liability to the subcontractor in situations where the subcontractor does not agree that the owner is responsible for its claim, or the subcontractor does not agree to be bound to the result obtained by the general contractor.

When deciding whether the claim will be pursued directly by the general contractor, or by the subcontractor in the general contractor’s name, several concerns must be addressed.

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Although these types of agreements can be used in several different scenarios, the most common example involves situations in which a subcontractor and general contractor agree that the owner is responsible for the damages claimed by the subcontractor.

If the original partnership agreement doesn't outline the terms of liquidation, a Liquidation Agreement may help to prevent disputes about the partners' entitlements and responsibilities.

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