Notice of RetractionCountermeasures of Payment Risk in Construction Contract
The contractor lacks of identification ability of risks in construction contracts, which result in loopholes and risks that could be avoid in the signing and implementation process of the instruction contract. Due to lack of identification and prevention of these risks, lead to the losses of the contractors in the project construction courses. To the contractor, the significant risk is the owner's payment risks. It is a universal phenomenon there exist plenty of owners in arrears with project payment or repudiate payment, which result not only from insufficient management of contractors, but also closely related to the credit of owners. This paper firstly elaborate contract management of construction project, and then analyze the risk of construction contract and put emphasize on employer payment risk. Finally, point out that employer payment bond is an effective method of risk transferring in preventing employer arrear, to ensure the profitability and construction can be carried through smoothly.
Surety Bonds for Construction Contracts
This book presents the complex field of suretyship for construction contracts by describing and analyzing each element of the surety bonding process in basic terms. Russell unravels the suretyship puzzle through numerous examples and extended case studies drawn from real-world experience. Sample bond forms and surety documents, as well as an extensive glossary of key terms, serve to further illustrate each step of the bonding process.
Underwriting Process for Construction Contract Bonds
The surety industry and its underwriting procedures are unfamiliar to many project owners, design professionals, and contractors. Additionally, the contract bond underwriting process is becoming more sophisticated in the midst of increased uncertainty and complexity in the construction industry. A previous paper by the writer discussed the underwriting process at a macroscopic level and identified major considerations included in the evaluation process. This paper further outlines the significant considerations in the surety underwriting decision process and is the third part of a study focused on this industry. In particular, the underwriting process is characterized by the evaluation of four factors: character, capacity, capital, and continuity. Each factor is described. Since surety bonding is in effect the extension of credit for a fee, sureties expend a large amount of their evaluation effort analyzing a contractor's financial condition. To this end, an extensive description of the financial analysis...