Wadsworth Decision Overturned
FOR IMMEDIATE RELEASE
Colorado Supreme Court Delivers Major Victory for Subcontractors in Wadsworth Case
Denver, CO – April 6, 2026 – The American Subcontractors Association of Colorado (ASA Colorado) is proud to announce a significant victory for the construction industry and subcontractors across the state.
In a landmark decision, the Colorado Supreme Court reversed the Colorado Court of Appeals ruling in the Wadsworth case, reaffirming critical protections under the Colorado Public Works Act.
The Court held that:
· Disputed or unliquidated amounts, including delay and disruption damages, CAN be included in a verified statement of claim
· Filing an excessive claim does NOT result in forfeiture of all legal rights, only statutory remedies under the Public Works Act
This decision restores clarity and fairness to a process that is essential for subcontractors seeking payment on public projects.
“This is a huge win for subcontractors across Colorado,” said Nick Williams, CEO of ASA Colorado. “The Supreme Court recognized the real-world nature of construction disputes. Subcontractors should not lose their rights simply because damages are complex, evolving, or disputed. This ruling protects their ability to pursue what they are rightfully owed.”
Former ASA Colorado Chapter Attorney Mark Gruskin of the Senn Fortis law firm, along with ASA National Legal Defense Fund, participated as amici curiae in support of this outcome, advocating for a fair and workable interpretation of the law that reflects how construction projects actually operate.
Why This Matters:
· Protects subcontractors from overly harsh penalties when asserting claims
· Acknowledges that delay and disruption costs are a real part of construction
· Strengthens subcontractor leverage in payment disputes
· Brings balance back to risk allocation on public projects
The case now returns to the Court of Appeals for further proceedings consistent with the Supreme Court’s ruling.
ASA Colorado remains committed to advocating for policies, legislation, and legal outcomes that protect subcontractors and strengthen the construction industry.
