Southeast Elevator, a subcontractor, sued general contractor ACG for failing to give required notice to start drilling work on a courthouse project. The court ruled that ACG breached its implied duty of good faith by not providing the five-day notice specified in the contract, which prevented Southeast from performing its work as planned. The court awarded damages to Southeast, including unpaid retainage. This case shows that general contractors must follow notice requirements in contracts—failure to do so can be treated as a material breach even if the contract language seems minor.
Get notice requirements in writing and confirm receipt. If your contract requires the GC to give you notice before starting work, document when you receive it and follow up immediately if it's late.
Preserve your right to damages for delayed notice. If a GC fails to notify you on time and you lose work or incur costs, document everything and notify the GC in writing that you're holding them responsible.