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On April 10, 2006, Wcs And Metropolitan Entered A Standard

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On April 10, 2006, WCS and Metropolitan entered a standard form agreement to complete certain portions of the construction of a 397-unit apartment complex located in Camp Springs, Maryland. (E. 932, 947-1007). The agreement consisted of multiple contract documents including: AIA Document A131 CMc-2003 and AGC Document 556, Standard Form Agreement Between Owner and Construction Manager (E. 947-63); AIA Document A201 – 1997, General Conditions of the Contract for Construction (E.964-1007) (the “General Conditions”); and AIA Document A121 CMc – 2003, Amendment 1 (collectively, the “AIA Contract”) (E. 932). The AIA Contract named Metropolitan as the owner and WCS as the construction manager. (E. 947). Sections 11.4.5 and 11.4.7 of the General …show more content…

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The policies shall provide such waivers of subrogation by endorsement or otherwise. A waiver of subrogation shall be effective as to a person or entity even though that person or entity would otherwise have a duty of indemnification, contractual or otherwise, did not pay the insurance premium directly or indirectly, and whether or not the person or entity had an insurable interest in the property damaged.

(E. 997-98). Additionally, the General Conditions provide:
§ 11.4.3 Loss of use insurance. The Owner at the Owner’s option may purchase and maintain such insurance as will insure the Owner against loss of use of the Owner’s property due to fire or other hazards, however caused. The Owner waives all rights of action against the Contractor for loss of use of the Owner’s property, including consequential losses due to fire or other hazards however caused.

(E. 997) (§§ 11.4.3, 11.4.5, and 11.4.7 of the AIA Contract are referred to collectively as the “Waivers”).
As is all too often the case, a payment dispute accompanied the conclusion of this substantial construction project. In early 2007, Metropolitan refused to pay WCS several million dollars due for the labor and materials furnished to the project. (E. 917). As such, WCS filed a complaint to establish a mechanic’s lien. (Id.). In consideration for WCS’s release of

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