Oregon Administrative Rules
Chapter 812 - CONSTRUCTION CONTRACTORS BOARD
Division 2 - DEFINITIONS
Section 812-002-0325 - Good Cause
Universal Citation: OR Admin Rules 812-002-0325
Current through Register Vol. 64, No. 3, March 1, 2025
"Good cause" as used in ORS 279C.585 exists if the prime contractor that substituted an undisclosed first-tier subcontractor can show that a reasonable person with the knowledge possessed by the prime contractor when the substitution was made would have concluded that:
(1) The substitution was consistent with, and did not violate, public policy expressed in ORS 279C.305, that public agencies shall make every effort to construct public improvements at the least cost to the public; and
(2) One or more of the following facts was true:
(a) The
subcontractor was financially unstable.
(b) The subcontractor had an unacceptable
performance history on past contracts.
(c) The subcontractor had an unacceptable
history of untimely performance.
(d) The subcontractor had an unacceptable
history of filing excessive claims and lawsuits on past contracts.
(e) The subcontractor had an unacceptable
work safety record.
(f) The
subcontractor did not have sufficient human resources to do the work required
under contracts entered into by the subcontractor.
(g) The subcontractor failed or refused to
meet insurance requirements of the prime.
(h) The subcontractor failed or refused to
meet requirements of ORS
279C.505(2).
(i) The subcontractor's ability to
successfully perform the project and protect the guarantees placed by the prime
contractor was substantially jeopardized.
Stat. Auth.: ORS 670.310 & 701.235
Stats. Implemented: ORS 279.322
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