Construction contract guides
Construction contracts decide who carries the risk when a job runs long or costs more: how and when you get paid, how changes are priced, who absorbs delay, and who can lien or terminate. These source-cited guides cover payment and pay-if-paid clauses, retainage, change orders, delay damages, indemnity, mechanic’s liens and lien waivers, bonds, and termination.
Last reviewed: May 26, 2026 by the BizLeaseCheck Editorial Team. General information, not legal advice.
Most construction disputes are about money and time. Read the contract in the order risk actually shows up: price, payment, changes, schedule, then risk-shifting clauses.
Read guide Construction guidePay-If-Paid vs Pay-When-Paid Clauses ExplainedA contingent-payment clause can mean you only get paid if the owner pays the general contractor — turning the owner’s insolvency into your loss.
Read guide Construction guideRetainage in Construction Contracts ExplainedRetainage is money you earned but the payer holds back. The risk is not the percentage — it is how long it is held and what triggers release.
Read guide Construction guideConstruction Change Orders and Extras: What to CheckThe change-order clause decides whether extra work gets paid. The trap is performing work on a verbal direction the contract says is not compensable.
Read guide Construction guideLiquidated Damages for Construction DelayLiquidated damages set a per-day price for finishing late. The danger is an uncapped daily rate combined with a schedule you do not fully control.
Read guide Construction guideNo-Damages-for-Delay Clauses in ConstructionA no-damages-for-delay clause says your only remedy for delay is more time — not money — even when the other side caused the delay.
Read guide Construction guideConstruction Indemnity and Additional-Insured ClausesIndemnity and insurance clauses decide who pays when someone is hurt or property is damaged. Broad-form indemnity for the other party’s own fault is limited in many states.
Read guide Construction guideMechanic’s Liens and Lien Waivers ExplainedA mechanic’s lien is your security for getting paid. A lien waiver can give that security away — sometimes for money you have not received yet.
Read guide Construction guidePerformance and Payment Bonds in ConstructionBonds protect the owner and the people downstream — not the contractor that buys them. Know what each bond covers before you agree to provide one.
Read guide Construction guideStipulated Sum vs Cost-Plus vs GMP ContractsThe price model decides who absorbs a cost overrun. Lump sum, cost-plus, and GMP allocate that risk very differently.
Read guide Construction guideSubcontractor Flow-Down Clauses ExplainedA flow-down clause can bind you to a prime contract you have never read — including its schedule, dispute, and risk-shifting terms.
Read guide Construction guideConstruction Contract Termination: For Cause and ConvenienceHow a contract ends decides what you are owed. Termination for cause and for convenience pay very differently — and a wrongful termination can flip liability.
Read guideConstruction Subcontract Analysis
A representative construction contract sample report — danger score 96/100, 8 red flags with verbatim evidence quotes, no signup needed.
Compare: AI vs. a construction attorney · vs. doing it yourself
Frequently asked questions
What should I review first in a construction contract?
Start with the price basis and payment terms (including pay-if-paid and retainage), then change orders, the schedule and delay damages, then indemnity, insurance and bonds, lien rights, and termination.
Why are pay-if-paid and no-damages-for-delay clauses risky?
Pay-if-paid can shift the owner’s nonpayment risk onto a subcontractor, and no-damages-for-delay can limit your remedy for delay to a time extension with no added compensation. Both are enforced differently by state.
Is this legal advice?
No. These guides are general information. Pay-if-paid, no-damages-for-delay, indemnity, lien and lien-waiver rules, retainage, and prompt-payment rights vary by state and by whether the project is public or private, so confirm high-stakes points with a construction attorney.
Review it before you sign
Upload the construction contract or subcontract. The report flags price, payment, retainage, change-order, delay, indemnity, lien, bond, and termination risks, each tied to a quote from your document.