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Sigh, these rage bait style of responses are as bad as the original article. Reuters was not even able to figure out what % was due to contractors as opposed to

Sigh, these rage bait style of responses are as bad as the original article. Reuters was not even able to figure out what % was due to contractors as opposed to Tesla itself. Everything you said says nothing of how they pay their vendors. $2.5mm is not exactly breaking news for construction projects. Most large projects have some percentage of total project value in liens. I know we all want to get upset but its too hard to say either way, the dollar amount is far too small, it maybe involve a large portion of contractors and based on the cost of the development does not seem to be a rampant issue.

abduhl 2y ago
>> Most large projects have some percentage of total project value in liens. I hate to be this guy but please provide a source for this. I’ve been involved in the construction industry for quite a while, almost exclusively on large and mega projects, and “most” of my jobs have not had any percentage of their total project value in liens. One company that refused to pay for work my (then) company performed is SpaceX. Our work did not permit filing a lien.
- infecto 2y ago
  My experience with projects and AP in general. ~$2mm across 70 liens without any split between contractors vs spacex is not that interesting. Did not look like they even accounted for a chain of liens based on the same original unit of work. The report came out in 2024 and the count and $ sum was from 2019, so over 5 years including COVID years. During COVID liens jumped quite a bit and on projects that span multiple years I don't find $2mm over 5 years that shocking. Now SpaceX could totally be stretching their NWC as far as it goes and always paying late on purpose. Really impossible to tell in this style of shock reporting. I would be surprised in your experience that you have never had cases of a GC not paying on his end and those folks throwing a <$100k lien on the project. Or a dispute between the GC and payer.
  - abduhl 2y ago
    There are disputes about payment on lots of projects I've worked on. That wasn't your claim. You claimed that liens were filed and perfected on "most" jobs, and that is not my experience.
    - infecto 2y ago
      And I said that was my experience that liens often crop up and the scale of these were not out of the norm especially on the project size and timeline. After all the project is actively being used and some of these are not purely new construction related. Boo.
csomar 2y ago
It could be, also, that they are refusing to pay because they are not happy with the delivery and looking to fight it further in court. I’d say they have real cash flow issues when they stop paying their employees and electricity bills.

abduhl 2y ago

>> Most large projects have some percentage of total project value in liens. I hate to be this guy but please provide a source for this. I’ve been involved in the construction industry for quite a while, almost exclusively on large and mega projects, and “most” of my jobs have not had any percentage of their total project value in liens. One company that refused to pay for work my (then) company performed is SpaceX. Our work did not permit filing a lien.

infecto 2y ago
My experience with projects and AP in general. ~$2mm across 70 liens without any split between contractors vs spacex is not that interesting. Did not look like they even accounted for a chain of liens based on the same original unit of work. The report came out in 2024 and the count and $ sum was from 2019, so over 5 years including COVID years. During COVID liens jumped quite a bit and on projects that span multiple years I don't find $2mm over 5 years that shocking. Now SpaceX could totally be stretching their NWC as far as it goes and always paying late on purpose. Really impossible to tell in this style of shock reporting. I would be surprised in your experience that you have never had cases of a GC not paying on his end and those folks throwing a <$100k lien on the project. Or a dispute between the GC and payer.
- abduhl 2y ago
  There are disputes about payment on lots of projects I've worked on. That wasn't your claim. You claimed that liens were filed and perfected on "most" jobs, and that is not my experience.
  - infecto 2y ago
    And I said that was my experience that liens often crop up and the scale of these were not out of the norm especially on the project size and timeline. After all the project is actively being used and some of these are not purely new construction related. Boo.

csomar 2y ago

It could be, also, that they are refusing to pay because they are not happy with the delivery and looking to fight it further in court. I’d say they have real cash flow issues when they stop paying their employees and electricity bills.