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Official Blog of the AALS Section on Contracts

Conditions: Strict compliance with notice provisions is required

New_york_flag_3 A subcontractor who fails to comply with the notice provisions of its contracts waives its claim against the prime contractor, according to the New York Appellate Division.

In the case, the sub claimed that various actions of the prime and other subs had caused it to suffer additional costs, and sent a demand letter 11 months after the project was completed.  The contract, however, provided that no claim could be made unless, “as a condition precedent thereto,” written notice was given with 21 days after occurrence of the event that gave rise to the claim or after the sub learned of it.

The sub failed to comply “strictly” with the notice provision, said the court, and thus waived its claim. Summary judgment for the prime was appropriate.

Kingsley Arms, Inc. v. Sano Rubin Construction Co., 2005 N.Y. App. Div. LEXIS 2424 (3d Dep’t, March 10, 2005)

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