Florida Legislative Update: 1999 Amendments To Statutes Affecting the Construction Industry
September 1, 1999
Although legislation outlawing "pay-when-paid" clauses did not
pass, other important amendments did become law this year.
Public Contracting
Partially overruling the Miorelli decision preventing recovery of
"extras" from public owners, the Florida legislature passed an
amendment allowing contract claims against public owners for breach of express
or implied contract provisions as well as claims for written directive, issued
pursuant to the written contract. Public owners are not liable for oral contract
modifications.
Private Contracting
- Contract Venue Provisions
Florida resident contractor, subcontractor or materialman cannot be required
to bring legal actions in contracts for improvement of real property outside the
state of Florida.
- Notice to Owner
Allows flexibility in format of Notice to Owner; allows a Notice to Owner to
be combined with a Notice to Contractor.
- Request for Statement of Account
Lienors failing to provide a statement of account may lose lien rights; owner
need not show prejudice.
Bidding On Public Projects
This bill requires competitive bidding on electrical contracts over $50,000
and all contracts with total construction costs over $200,000. Local governments
must consider specific criteria and apply them uniformly in awarding work to
private contractors. If a local government awards a project other than through a
competitive bid, it must have specific evidence and written documentation to
support this. Other contractors may challenge these awards.
Contractor Licensing
In an attempt to eliminate the two-tiered system, licensing authorities will
establish the job scope for any licensure category, to ensure uniformity among
local jurisdictions. Existing licensees may be "grandfathered" into
statewide certification, if they meet examination, experience, insurance and
financial requirements.
Holders of local contractor's licenses may not practice as contractors under
chapter 489; they also must be certified or registered with the state. Building
officials may not issue a building permit unless the requesting contractor is
certified or registered with the state in the appropriate contractor category.
Contractors working outside the geographical scope of their registration will be
guilty of unlicensed activity.
NOTE: Space limitations prevent a detailed listing of all legislative
changes. Please call Bill Grant (407-244-1162) for copies of the complete
legislative changes regarding any of the above topics.