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Mandatory on January 1st, 2017

11/22/2016

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AB 1245 - New Employer Requirements - EDD

​Assembly Bill (AB) 1245 (Chapter 222, Statutes of 2015) requires all employers to electronically file their employment tax returns, reports, and payments to the Employment Development Department (EDD) beginning January 1, 20171 . 

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New California Construction Laws for 2017

11/22/2016

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New California Construction Laws for 2017

The California Legislature introduced over 5103 bills in the 2015-2016 session. Below are summaries of some of the more important bills affecting contractors in their roles as contractors, effective January 1, 2017 unless otherwise noted. Many other bills will impact them in other roles, such as being businesses, taxpayers, and employers. 


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Power of Subcontractors’ Bid Conditions

11/22/2016

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Court of Appeal Confirms the Power of Subcontractors’ Bid Conditions ​

www.smithcurrie.com/resources-newsletters-49.htmlGeneral contractor Flintco Pacific, Inc. (“Flintco”) bid to construct a new building at Diablo Valley College (“DVC”) in Pleasant Hills, California. TEC Management Consultants, Inc. (“TEC”) submitted a written bid to Flintco to perform glazing work for $1,272,090. TEC’s bid contained several pre‐conditions that Flintco’s subcontract with TEC would have to meet, otherwise TEC retained the right to withdraw its bid. DVC awarded the job to Flintco, and Flintco sent to TEC a letter of intent to enter a subcontract with TEC. However, Flintco’s attached subcontract failed to include any of TEC’s conditions, and Flintco refused to include them after TEC requested that they be added to the subcontract. TEC therefor refused to enter Flintco’s subcontract. 


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SUB EXCEL 2017

11/17/2016

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CONTRACTORS BEWARE - AB 626

11/17/2016

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Contractors Beware!
New California Public Works Claims Resolution Process Raises Concerns and Traps for the Unwary! 

AB 626 adds new Public Contract Code section 9204. It creates a new claims resolution procedure in addition to those already found in the Public Contract Code sections 10240 to 10240.13 (state public works arbitration) and 20104 to 20104.6 (claims against local agencies under $375,000 unless agency has elected to arbitrate under section 10240, et seq.). It applies to contractor claims on all public works projects, except for projects of the following Departments: Water Resources, Transportation, Parks and Recreation, Corrections and Rehabilitation, Military, General Services, and the High-Speed Rail Authority. This section becomes effective for contracts entered after January 1, 2017 and expires December 31, 2019 unless renewed.  


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