You recently took the position of Project Executive for a national general contracting company, General Contractor, Inc. (“GCI”). You are in charge of the western region and have assumed responsibility over a new 300 room hotel/resort project in California. The HVAC mechanical subcontractor, Best Mechanical, Inc. (“Best”), has not shown up for work in over one week. Best did not provide a performance bond. No written form of agreement was executed between GCI and Best. Your Project Manager has sent emails, texts, and voice messages to Best. Best’s response was, \”I am not making money on the project so, unless you pay me 35% more, I cannot continue.\” Best also stated that the mechanical drawings and specifications prepared by the owner’s mechanical engineer were horrible, unbuildable, and defective (likely an overstatement). The mechanical work is on the critical path and the Project is being delayed. You have received notices of impacts from the Project delay from other subcontractors and the owner.
c. Prepare a notice letter to the owner requesting a change order for an extension of time and damages due to delays caused by the defective mechanical engineering drawings/specifications.
d. Compose a request for proposal (max 2 pages) and draft subcontract agreement (max 5 pages) for the replacement HVAC mechanical subcontractor.
e. Write up a written protocol (max 1 page) to GCI’s project management team and estimating department that creates a cost code to track additional costs incurred following Best’s default and tracks delays to the schedule.