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TexLaw, Attorney
Category: Legal
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Experience:  Lead trial/International commercial attorney licensed 11 yrs
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Is it considered dealing in bad faith for a prime contractor

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Is it considered dealing in bad faith for a prime contractor to deal directly on the same project with a subcontractor's lower tier sub without it's consent? If so, can you provide case law to support?

Thank you for your question.

It is not considered bad faith unless the general contractor is causing the sub-sub contractor to break its contract with the primary sub. If the general contractor is merely asking the sub-sub to become a primary sub as well, and this does not break any deal between the sub-sub and the first primary sub, then no law has been broken.

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