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New Construction Contract Requirement for Public Projects

Client Alert

A new Ohio law imposes a disclosure requirement that will affect how public authorities prepare construction contracts—and what happens if they do not comply.

Construction contract negotiations typically begin with an industry standard form agreement. Common examples include the American Institute of Architects (AIA) forms and ConsensusDocs.

Ohio Senate Bill 262 takes effect on September 17, 2026. Under the new law, when a public authority modifies an industry standard form agreement, it must show those changes using strikethrough and underline formatting. If the public authority fails to mark these changes, the modifications are void, and the original standard form language governs.

While industry standards can assist in streamlining negotiations, each construction project comes with its own unique risks and considerations that might call for deviations, small or large, from the “standard” language. More importantly, deviations from standard language are typically negotiated for significant reasons—making compliance with this new marking requirement essential.

For assistance negotiating your next construction contract or implementing procedures to comply with this new requirement, please contact BMD Member Bob Hager at rahager@bmdllc.com or BMD Attorney Jacob Davis at jrdavis@bmdllc.com.


Push for Parity: Mental Health Coverage Fifteen Years in the Making

"Alien Land Law" Restricts Foreign Ownership of Real Property in Florida

You can now enter into a Postnuptial Agreement in Ohio!

Ohio's 2024-2025 Fiscal Budget - Behavioral Health Updates

Ohio’s 2024-2025 State Budget was signed into law by Governor Mike DeWine on July 3, 2023. Behavioral health is an area that Governor DeWine expressed great interest in supporting and the final version of the Budget does reflect some of those initiatives. The Budget prioritizes growing the behavioral health workforce and increasing research and innovation by building community capacity for care that offers better crisis response services and treatment, increased prevention efforts, and increased provision of residential and outpatient services. Outlined below are notable Budget items geared toward achieving growth and improvement in the behavioral health field as well as some key items that were rejected by Governor DeWine’s veto.

ChatGPT for Legal Research

How trustworthy and beneficial is ChatGPT for legal research? What are the benefits and drawbacks of using this tool in the legal system.