Contract Disputes | Nixon Law PLLC

Aggressive Representation in Texas Construction Contract Disputes

In the high-stakes, fast-paced environment of the Texas construction industry, a well-drafted contract is the absolute foundation of any successful project. It dictates the scope of work, the allocation of risk, the schedule for completion, and the terms of payment. However, when these critical agreements break down, the financial and operational consequences can be devastating for all parties involved. Contract disputes in the construction sector are rarely simple; they involve highly complex legal and factual issues, ranging from nuanced scope of work disagreements to severe project delays and catastrophic payment failures. At Nixon Law PLLC, we understand that your business cannot afford to be derailed by a breached agreement or an uncooperative project partner. Led by Managing Attorney Jonathon G. Nixon, our firm aggressively represents owners, developers, general contractors, subcontractors, and suppliers throughout the state of Texas in high-stakes construction contract disputes. We are not just litigators who push paper; we are trial lawyers. We prepare every single case for trial from day one, ensuring that our clients are operating from a position of strength, fully prepared to protect their investments and enforce their contractual rights in the courtroom.

Relevant Texas Law Governing Construction Contracts

Construction contract disputes in Texas are governed by a dense and complex framework of statutory law and common law precedent. Understanding and weaponizing these legal principles is critical to successfully navigating a dispute and achieving a favorable outcome. At Nixon Law PLLC, we leverage our deep, authoritative knowledge of Texas law to hold breaching parties strictly accountable and to fiercely defend our clients against unfounded, frivolous claims.

Key Texas statutes that frequently dictate the outcome of construction contract disputes include:

Texas Property Code Chapter 53 (Mechanic’s, Contractor’s, or Materialman’s Lien): This chapter provides the essential statutory framework for securing payment for labor and materials furnished for a construction project in Texas. The rules governing mechanic’s liens are notoriously strict and unforgiving. Absolute compliance with the complex notice and filing deadlines of Chapter 53 is mandatory for perfecting a valid, enforceable lien. Conversely, understanding the intricacies of this chapter is vital for property owners seeking to remove invalid or fraudulent liens that cloud their title. We aggressively utilize Chapter 53 to secure our clients’ right to payment.
Texas Property Code Chapter 27 (Residential Construction Liability Act – RCLA): For disputes involving residential construction defects, the RCLA is the controlling statute. It mandates highly specific pre-suit notice and inspection procedures that must be followed before a lawsuit can be filed. The RCLA governs the types of damages that can be recovered and provides a statutory mechanism for contractors to offer repairs or financial settlements. Navigating the RCLA requires precision, as failure to comply can severely limit a property owner’s recovery or strip a contractor of vital statutory defenses.
Texas Property Code Chapter 28 (Prompt Payment Act): Cash flow is the lifeblood of the construction industry. The Texas Prompt Payment Act requires project owners to pay contractors, and contractors to pay their subcontractors, within specific, rigid timeframes after receiving a valid payment application. Violations of the Prompt Payment Act are serious and can result in the recovery of substantial statutory interest (currently 1.5% per month) and reasonable attorney’s fees. We use this statute aggressively to penalize parties who wrongfully withhold funds.
Texas Business and Commerce Code: Various provisions of the Texas Business and Commerce Code, specifically including the Uniform Commercial Code (UCC) as adopted in Texas, frequently apply to the sale and provision of construction materials and specialized goods. This code governs express and implied warranties, the rejection of non-conforming goods, and breach of contract claims related to the supply chain of a construction project.
Texas Civil Practice and Remedies Code Chapter 38: In Texas, attorney’s fees are not automatically awarded to the winning party in a lawsuit. However, Chapter 38 specifically allows for the recovery of reasonable and necessary attorney’s fees in successful breach of contract claims. This is a critical component of making a non-breaching party truly whole, and we relentlessly pursue fee awards for our clients when the law permits.

Common Scenarios in Construction Contract Disputes

Commercial and residential construction projects are inherently complex endeavors, involving multiple tiers of contractors, intricate architectural and engineering designs, and unpredictable variables such as weather and supply chain disruptions. This inherent complexity makes the construction industry a fertile ground for high-stakes disputes. Nixon Law PLLC handles a comprehensive array of construction contract issues, including but not limited to:

Breach of Construction Contracts: The most fundamental and common dispute arises when a party simply fails to perform its explicit obligations under the written agreement. This can manifest in countless ways, including a general contractor failing to build according to the approved plans and specifications, a property owner failing to provide necessary site access or permits, or a subcontractor abandoning the project entirely before completion. We meticulously analyze the contract language to establish the breach and quantify the resulting damages.
Change Order Disputes: Disagreements frequently occur over whether certain requested work falls within the original, agreed-upon scope of the contract or whether it constitutes “extra work” that requires a formal, priced change order. Disputes also routinely arise regarding the pricing methodology of change orders, the impact of the extra work on the project schedule, and whether the strict contractual procedures for submitting and approving change orders were actually followed by the parties.
Delay and Disruption Claims: In the construction industry, time is undeniably money. When a project is delayed, contractors may face massive extended overhead costs, unabsorbed home office expenses, and increased labor and material costs. Conversely, owners may suffer significant lost revenue, extended financing costs, and delayed occupancy. Determining exactly who is responsible for a delay—and categorizing that delay as excusable, inexcusable, compensable, or concurrent—is a highly contentious and technically demanding area of construction litigation that requires expert analysis.
Payment Disputes and Retainage Issues: The failure to pay for work properly performed is a primary driver of construction litigation in Texas. These disputes often involve allegations of defective work used as a pretext for non-payment, failure to meet specific project milestones, or the improper and unlawful withholding of retainage funds at the end of a project. We aggressively pursue full payment for our clients and fiercely defend against unjustified withholding and back-charges.
Contract Termination Issues: Terminating a construction contract, whether it is a termination for cause (default) or a termination for convenience, is a drastic, high-risk measure with profound legal and financial consequences. A wrongful termination can expose the terminating party to substantial damages, including lost profits. We advise clients on their legal rights prior to termination and aggressively litigate disputes arising from project abandonment, wrongful termination, and the subsequent costs of completion.
Defective Work and Warranty Claims: Disputes frequently arise post-completion regarding the quality of the construction work and whether it meets the strict contractual standards, industry norms, or implied warranties of good and workmanlike performance. We handle complex claims involving structural defects, foundation failures, water intrusion, material failures, and general poor workmanship, working with top-tier experts to prove or disprove liability.

How Nixon Law PLLC Protects Your Interests

When a construction contract dispute threatens the financial stability of your business or the success of your project, you need an attorney who is prepared to fight relentlessly on your behalf. Nixon Law PLLC is a dedicated trial law firm. We do not shy away from the courtroom; we thrive in it. Our approach to construction litigation is firmly rooted in aggressive representation, strategic foresight, and meticulous, exhaustive preparation.

From the very moment we take your case, we conduct a comprehensive, deep-dive analysis of the contract documents, project correspondence, daily logs, payment applications, and all relevant Texas statutes. We understand that construction cases are often won or lost on the documents. We work closely with industry-leading construction experts, including structural engineers, architects, scheduling consultants, and forensic accountants, to build an impenetrable evidentiary record.

Whether we are negotiating a hard-fought resolution at the mediation table, presenting a complex technical argument to an arbitration panel, or trying your case before a Texas jury, our singular goal is to achieve a decisive victory that protects your bottom line. We understand that construction disputes require not only sharp legal acumen but also a practical, real-world understanding of the construction industry. Managing Attorney Jonathon G. Nixon and our dedicated team provide strategic, results-oriented counsel. We anticipate the opposing party’s tactics, proactively dismantle their arguments, and ensure that your contractual rights are vigorously and uncompromisingly enforced.

Schedule a Consultation with a Texas Trial Attorney

If you are currently involved in a construction contract dispute, or if you anticipate that a dispute is imminent, time is of the absolute essence. Delays in seeking competent legal counsel can severely jeopardize your rights, particularly concerning strict mechanic’s lien deadlines and statutory pre-suit notice requirements under Texas law. Do not leave the outcome of your high-stakes dispute to chance or rely on attorneys who are afraid to go to trial. Contact Nixon Law PLLC today to schedule a consultation. Let our aggressive Texas trial attorneys review the facts of your case, explain your legal options in clear terms, and develop a comprehensive, winning strategy to protect your business, enforce your contract, and secure the outcome you deserve.