Faith & Fair Dealing: The Two Pillars of Construction Company

Construction contracts are written to protect owners. However, there are many cases in which contracts are used aggressively in order to allow one party to gain advantage over the other. Such aggressive use violates good faith and fair dealing that are imperative in facilitating agreements between more than one party to function and exist. In layman terms, it is basically an implied obligation or duty among parties that are in an agreement to have good faith and fair dealing. Reputable commercial general contractors in Santa Rosa, like Holly & Associates, Inc., make sure that they carry out this implied duty when working with you on your construction project.

The Covenant of Good Faith and Fair Dealing

Nearly every single contract in the state of California, in general, contains an implied duty and obligation of good faith and fair dealing. This implied covenant is made by each party to not take any action against the other parties that will deprive them of the benefits provided by that contract. The implied covenant trusts that each party will not do anything that will make it impossible for the other party to perform their contractual obligations. In other words, each party must ensure that they do not commit acts of “bad faith” against the other party to the contract.

The covenant of good faith and fair dealing goes on further to impose an affirmative duty on each party to take every action that is presupposed in a reasonable interpretation of the contract so that they can accomplish the purpose of that contract, even if the contract itself does not expressly require those acts. A breach of the covenant may lead to litigation, and any party to the contract that performs an act of bad faith may be compelled to complete their performance and/or pay damages to the other party.

Top-Notch Services from the Best Commercial General Contractors in Sonoma County

When you are looking for construction companies that practice good faith and fair dealing when they provide their services to clients, you should choose Holly Construction, Inc., Inc. The company has the best commercial general contractors in Sonoma County, providing honest, reliable and efficient services. You can rely on them to handle any project, large or small, and ensure that every job is done right.

For quality building, remodeling and other services for commercial and residential properties, there is one name you can always trust – Holly Construction, Inc., Inc. To find out more, call us at 707-541-0700.