Construction Litigation Roundup: “You Have No Class(ification)”

Red pencil lying on application for license

When relations between the owner and second contractor went south, the second contractor filed a lien on the project and then suit in federal court to enforce the lien.

May 13, 2024
Daniel Lund III - Lexology

In fact, you didn’t even have a license.

A federal court in Alabama was tasked with determining whether an unlicensed contractor could recover from an Alabama project owner for in excess of $1.7 million in construction infrastructure and site work performed. In fact, the contractor “did not have a valid general contractor’s license” in the state of Alabama when it “assumed work on the project from its predecessor company.”

During the course of work on the project, the principals of an original contractor decided to go their separate ways, whereupon one of those principals announced that his new company would take over ongoing work. Roughly two months after the new company began working at the project, the contractor applied for a license with the Alabama Licensing Board of General Contractors – the license was issued within about 45 days. Then, some eight months later, the contractor added a “municipal and utilities” classification to its contractor license.

Mr. Lund may be contacted at


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