By Tim Gordon
New Design Construction Company, Inc. v. Hamon Contractors, Inc. (Colo. App. 2008)
The Court of Appeals holds that the duty of good faith and fair dealing applies to a prime contractor’s right to schedule and sequence the work. Additionally, the Court holds that a subcontractor not suing CDOT directly is not required to exhaust the CDOT administrative remedies prior to maintaining a suit against the prime contractor. Finally, the Court addresses when penalty interest under Colorado’s prompt pay act applies and begins accruing.