CHAPTER 494

An Act to amend the Code of Virginia by adding in Title $8 thereof a
chapter numbered 8, containing sections numbered 88-328 through
88-831, providing for the adjustment of claims resulting from con-
tracts for construction of State highways, for the institution of sutt
under certain circumstances, and for the construction to be applied
to certain contracts.

[H 484]
Approved April 4, 1966

Be it enacted by the General Assembly of Virginia:
1. That the Code of Virginia be amended by adding in Title 38 thereof
a chapter numbered 8, containing sections numbered 83-328 through
83-331, as follows:
CHAP. 8

§ 38-328. Upon the completion of any contract for the construction
of any State highway project awarded by the State Highway Commission
to any contractor, if the contractor fails to receive such settlement as he
claims to be entitled to under his contract, he may, within sixty days from
the time of payment of his final estimate, submit to the Highway Depart-
ment, through proper administrative channels as determined by the
Department, a written claim for such amount as he deems himself entitled
to under the said contract setting forth the facts upon which said claim
is based, provided that written notice of the contractor’s intention to file
such claim shall have been given to the Department at the time of the
occurrence or beginning of the work upon which the claim and subsequent
action is based. Within sixty (60) days from receipt of said claim, the
Department shall make an investigation and notify the claimant in writing
of its decision, and if dissatisfied with the decision, the claimant, either in
person or through counsel, may appear before the Highway Commissioner
and present any additional facts and argument in support of his claim.
Within thirty days from the date of the appearance before him, the High-
way Commissioner shall make an investigation of said claim and notify
the contractor in writing of his decision. In the event the Commissioner
deems that all or any portion of a claim is valid, he shall have the authority
to negotiate a settlement with the contractor, but any such settlement shall
be subject to the provisions of § 2-92 of this Code.

§ 33-329. As to such portion of the claim as is denied by the High-
way Commissioner, the contractor may institute a civil action for such
sum as he claims to be entitled to under said contract by the filing of a
petition in the Circuit Court of the City of Richmond for trial by the court
without a jury. The submission of the claim to the Highway Department
within the time and as set out in § 33-828 shall be a condition precedent
to bringing an action under this chapter.

§ 33-330. The provisions of this act shall not apply to those actions
or proceedings pending upon the effective date of this act, but these
provisions may be made applicable to existing contracts by mutual con-
sent of the contracting parties.

§ 33-331. The provisions of this chapter shall be deemed to enter
into and form a part of every contract entered into between the State
Highway Commission and any contractor, and no provision in said con-
tracts shall be valid that is in conflict herewith.