On August 5, 2020, Georgia Governor Brian Kemp formally signed into law Senate Bill (SB) 315[1] to restore statutory lien and bond waivers to their original intended purpose of waiving lien and bond rights only and to resolve the confusion caused by ALA Construction Services, LLC v. Controlled Access, Inc.[2], in which the Georgia Court of Appeals held that Georgia statutory lien waivers can also waive breach of contract claims.[3] SB 315 will take effect on January 1, 2021. Lien waivers signed from that point forward will only waive lien and bond rights, and not other claims, to the extent… Read more
Tag: breach of contract
Lien Waiver Senate Bill Passes Georgia House of Representatives
The Georgia House of Representatives has followed the State Senate’s lead and passed Senate Bill (SB) 315[1] to restore statutory lien and bond waivers to their original intended purpose of waiving lien and bond rights only. We informed you in previous SGR Construction Blogs of SB 315 and its goal of addressing the confusion caused by ALA Construction Services, LLC v. Controlled Access, Inc.[2], in which the Georgia Court of Appeals held that Georgia statutory lien waivers can also waive breach of contract claims.[3] Prior to the ALA Construction decision, most Georgia construction professionals understood that Georgia statutory forms only… Read more
Georgia’s Court of Appeals Holds that Lien Waivers Waive Breach of Contract Claims
A recent decision by the Georgia Court of Appeals will force most construction professionals to radically change their view of the scope and effect of statutory lien waivers in the state of Georgia. In ALA Construction Services, LLC v. Controlled Access, Inc., the Court of Appeals held that a lien claimant’s executed statutory lien waiver waived not only the claimant’s lien right but also rights the claimant may have to bring a related breach of contract action.[1] In ALA Construction, ALA Construction Services, LLC (“ALA”), contracted with Controlled Access, Inc. (“Controlled Access”), to provide equipment and other services for a project… Read more
Nuisance on Central Park West
A Central Park West condominium sued the owner of a first-floor unit and her son for breach of contract and nuisance. The Board wanted to enjoin them from smoking marijuana and making excessive noise in their unit. At the outset, the Supreme Court issued a preliminary injunction that prohibited defendants from smoking marijuana and permitting marijuana smoke and excessively loud noises from infiltrating into the common areas and other units of the condominium. And several months later the Court addressed the application for a permanent injunction. The by-laws prohibited nuisance within the condominium property, as well as improper, offensive, or unlawful… Read more