What is the difference between a subcontractor and a supplier?
The difference between a subcontractor and a supplier in New Jersey construction law is that a subcontractor is responsible for a specific part of the construction process, while a supplier provides materials or services to complete the work. Subcontractors are considered independent contractors that are hired to complete a certain task or work activity, such as plumbing, concrete, or drywall. Often, subcontractors are hired by the general contractor or by the owner of the project, and they are responsible for completing the specific task they are hired to do. Suppliers are entities that provide construction materials or services to support the overall project. They are not involved in the construction process itself, but they provide materials or services that are necessary for the completion of the project. Examples of suppliers include lumber suppliers, electrical supply companies, or plumbing supply companies. In New Jersey, subcontractors are required to obtain a contractor’s license in order to act as a subcontractor, and suppliers do not need to be licensed in order to provide services or materials. Additionally, subcontractors are responsible for paying taxes on their labor, while suppliers must pay taxes on their materials or services. In summary, the main difference between a subcontractor and a supplier is that a subcontractor is responsible for completing a specific part of the construction process, while a supplier provides materials or services to complete the work.
Related FAQs
What entities are liable when construction defects occur?How is a delay claim assessed in the construction industry?
What is the role of a construction inspector in the construction process?
How do I know if I need a lawyer for a construction dispute?
How is damages assessed in a construction dispute?
How do I protect my rights in a construction dispute?
What are the legal remedies available when a contractor fails to pay?
What are the legal requirements for obtaining a bond in the construction industry?
What are the differences between a contractor and a subcontractor?
How is the value of a contract determined in a construction dispute?
Related Blog Posts
Explaining Construction Law: What You Need to Know - July 31, 2023How Construction Law Can Protect Your Business - August 7, 2023
Regulations to be Aware of When Pursuing Construction - August 14, 2023
Leveraging Construction Law for Your Project - August 21, 2023
Comprehending Construction Law in the Changing Landscape - August 28, 2023