Law360 (July 8, 2021, 5:34 p.m. EDT) – As recently discussed by a panel of construction industry leaders in the Washington, DC metro area, escalating materials prices are the industry’s biggest concern of construction this year.[1]

Prices for raw building materials, especially steel and lumber, have been rising rapidly since the start of 2020. The trade association Associated Builders and Contractors recently reported that prices for iron and steel have been rising. increased by 15.6% from January 2020 to January 2021 and that softwood lumber prices increased by 73% during the same period.

The question addressed here is how can a contractor or subcontractor attempt to manage this risk? …

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