Example of wood company project that had to redo the building twice and ended up bankrupt. Didn’t plan for a long lead time, the wrong wood was still wet, had to take the building apart, buy the right dry wood, cost them 3 times. It did finish but a schedule of 18 months became 25 months. The bond and insurance company had to bring a contractor to finish because they shopped too cheap and ended up costing the owner more. Even owners are guilty of the same thing during the bidding process. The owners are even guiltier than the contractors because they often intentionally set it up to make the lowest bidder fail to intend to take advantage of them for capital gains. They push them into bankruptcy and go after insurance companies to complete the project because they bullied the contractor out of business. They get free money this way but sometimes it ends up burning the owner and nobody wins in the end.

The architect allowed them to purchase the wet wood, even if the higher up said it was ok and it was approved but be prepared to pay the consequences. They wanted to save 250k buying wet wood vs dry but in turn, the material couldn’t meet the laws and specifications at the time of installation. If you’re going to do these material substitutions make sure you are doing them right because they will cause you 4x more or worse your entire business. In this case, they lost their entire business because the architect said you can buy grade 2 instead of 1 but the architect’s not responsible to make sure that they needed to dry it out. They assumed that the contractor knows the laws since he is required to know it during the bid which ended up being a big fight. I as the inspector had me bring in the state which ended up bring up liability to the architect and they ended up ruling in favor of the state and bankrupted the company and the insurance comes in to settle the bankruptcy and ended up costing the owner, the other construction team, etc another 5 months of work and ended up destroying any profit.