MANAGEMENT / PLANNING
WHERE CONSTRUCTION CONTRACTS are subject to the jurisdiction of a common law country , such as the UK or USA , then the legal concept of joint and several liability will apply .
In general , if two or more people contract together that they will do something , then in the absence of any express clause to the contrary , there is a presumption that each person is jointly liable for the other person ’ s actions and performance . Performance of those obligations by one of them discharges the other person from the liability for those obligations , equally the failure by one person to perform those obligations leaves both persons jointly liable . The person for whom the contract was being performed can choose whether to sue one , some , or all of the persons who are jointly liable .
Several liability is merely a legal term to describe a situation in which two or more persons make separate promises to another , and therefore each person is liable only for their own specified obligations .
The contractual relationships between parties involved in construction and engineering projects frequently give rise to jointly and severally liability for the contractual obligations of other parties involved on the same project , primarily because more than one company is