Avoid these mechanics lien mistakes

Mechanics’ liens protect landscapers, construction companies, and many other businesses against the risk of nonpayment. If a landowner refuses to pay for improvements made to their property, the business can often file a lien on the property. Filing a lien frequently incentivizes payment. If the landowner still doesn’t pay after the lien is filed, the business can foreclose on the lien.

However, the Minnesota lien process is very specific, and certain mistakes can prevent you from being able to record or enforce a lien. Keep reading to avoid the following mistakes:

Not realizing that you can file a […]

Employee vs. Independent Contractor: Worker Classification Rules

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Many businesses try to hire “independent contractors” by issuing IRS Form 1099 and signing independent-contractor agreements. Unfortunately, these steps don’t guarantee that workers are legitimate subcontractors or independent contractors. Instead, federal and state guidelines generally focus on the worker’s job duties in order to determine the appropriate classification.

Each state can create additional rules and regulations pertaining to worker classification. Check with your state labor department for clarification on state-specific rules. However, the federal government’s guidelines, described below, generally provide enough clarity to determine proper worker classification.

Federal guidelines 1: IRS

The IRS […]

5 clauses that should be in every landscaping contract

“Will you look at my contracts and make sure they are good?” Our attorneys hear this frequently from contractors. So what does a good contract look like?

First, every contract is different. What works for some industries may not work in others. That said, several basic items should be addressed in every landscape installation contract.

Scope of Work. What will you be doing for the customer? What type of project is it? Be specific. The scope of work for each contract should be different and apply specifically to that customer and project. Let’s use a patio as […]

The 3 Most Common Violations of Employment Law

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Employment law is a complicated topic and one that is very boring for a lot of people. Personally, I find it fascinating and consider myself lucky to be able to do so. There are many different laws, rules & regulations which apply to Construction Industry companies. Sorting through all of that red tape & legislation can be hard even for attorneys. So, this month, in order to convey as much useful information as possible to readers, I decided to share the most common Employment law violations I see in the Construction Industry.

Misclassification of Workers:

This is a […]