The Scenario: A mid-sized construction firm based in Toms River had been using the same “boilerplate” subcontractor agreement for over a decade. They felt secure because they had “never had a problem.” However, a dispute arose when a subcontractor caused significant property damage at a high-end residential site in Rumson.

The Problem: Upon review, the firm’s old contract had an indemnification clause that was too broad to be enforceable under current New Jersey law. Furthermore, the insurance requirements listed in the contract were outdated, meaning the subcontractor was under-insured for the scale of the damage.

The Solution: The Law Offices of Paul H. Appel stepped in to manage the immediate breach of contract dispute. More importantly, we performed a top-to-bottom review of ongoing contracts and policies. We modernized their subcontractor agreements, updated their construction compliance protocols, and revamped their safety policies.

The Result: When a similar issue occurred six months later in Cherry Hill, the new contracts held firm. The subcontractor’s insurance covered the claim entirely, and our client avoided a six-figure loss. By investing in a proactive review, they saved their business from a catastrophic financial hit.