How to Terminate a Failing Subcontractor - On-Demand CPE

The decision to terminate a subcontractor is never made lightly, and there is often significant operational and financial impacts involved. Depending on why the subcontractor is in the process of default, it is possible to take actions that avoid termination and allow for completion of the work. But in some situations, for either performance or customer relationship reasons, finishing the scope of work with that subcontractor is not possible. If that’s the case, you must turn your focus toward how to take decisive action to keep your project on track, facilitate the takeover and completion of that scope of work, and mitigate the almost inevitable unfavorable financial consequences that are about to occur. This course will add techniques to your repertoire as you choose your own adventure through the various scenarios a subcontractor default can take.

• Identify early signs of potential subcontractor defaults.
• Understand the options available to you before declaring a default.
• Determine when the proper course of action is to formally declare a default.
• Compare and contrast the various options for financial recovery, after a default has been declared.
• Learn pitfalls to avoid along the way.

This program is a Basic level online self-study course that was developed for professionals with 0-3 years of experience in construction finance. No prerequisites or advanced preparation is required.

1 CPE credits

The estimated time to complete the course is approximately 50 minutes, depending on the pace of the learner.

Business Owners, CFOs, Construction Financial Professionals, Contractors, Controllers, CPAs, Professional Advisors, Risk Managers, Subcontractors