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Metropolitan DC Local Politics
Reply to "The Purple Line builders want out"
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[quote=Anonymous][quote=Anonymous][quote=Anonymous]Project Finance 101 - the cost of the risk is absorbed by the party best equipped to mitigate it. This should be the government’s problem, not the contractors’. [/quote] Well, the cost of risk is usually spelled out in the contract. Most able is certainly relevant, but you also need to do it in a way that creates the right incentives for each party.[/quote] Something like this was bound to go into litigation. Inavoidable. If these issues aren’t clear in the contracts, many people weren’t doing their jobs. My entirely uninformed guess is that these idiots probably sent the legal work to the lowest bidder among law firms. “Who pays poorly, pays twice.” [/quote]
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