A Right To Cure?

The most commonly used general conditions (AIA A201 – 2007) provides that an owner may terminate a construction contract for cause upon seven days written notice. The AIA contract does not provide the contractor with an express right to cure. Of course, there must be cause and the AIA contract requires a certification of cause by the initial decision maker but none of this alters the lack of any express right to cure. The question then is whether there exists some implied right to cure in the absence of any contractual provision.

There is no North Carolina case law that holds that there is an implied right to cure in the absence of an express contractual provision.

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