Construction Contracts and AI: Managing Risk from Project Formation Through Litigation

Richard O. McDonald
Richard O. McDonald
Lathrop GPM LLP

Richard McDonald is a partner at Lathrop GPM LLP and a nationally recognized construction attorney, arbitrator, and mediator with more than 40 years of experience representing owners, contractors, design professionals, subcontractors, and suppliers in commercial, industrial, and residential construction matters. His practice encompasses contract negotiations, construction claims, mediation, arbitration, and litigation, and he has represented hundreds of clients in thousands of construction-related disputes.

Jason Kosek
Jason Kosek
Anderson Kill P.C.

Jason Kosek is a shareholder in Anderson Kill's New York office and a member of the firm's Construction, Insurance Recovery, and Commercial Litigation practices. He co-chairs the firm's Data Center Practice Group and its Energy & Renewables Industry Group, and he serves as outside general counsel to construction industry companies through every phase of a project's lifecycle, from contract drafting and negotiation through the disputes that arise after completion.

Live Video-Broadcast: July 30, 2026

2 hour CLE

Tuition: $195.00
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Program Summary

The AI is already on the jobsite. The contract is still silent.

AI-powered tools are no longer experiments — they are embedded throughout the construction lifecycle. Owners, contractors, subcontractors, consultants, and technology providers all now rely on them. Yet most construction agreements never define acceptable AI use, allocate operational responsibilities, or protect project data.

The exposure is already here. An AI-assisted process fails, and the professional standard of care is contested. A technology failure delays the project, and indemnity and risk allocation are tested. A claim arrives, and coverage gaps surface across the insurance program. Litigation follows, and digital evidence, discovery obligations, and expert testimony decide the outcome.

Attendees leave with working tools, not theory. Draft AI governance clauses and flow-down requirements that bind every project tier. Build contract administration guardrails that promote compliance before disputes arise. Then prepare for what comes next: risk allocation, coverage gaps, digital evidence, and emerging AI-related construction disputes.

Key topics to be discussed:

  • AI Contract Ecosystem
    Identify where AI-powered tools enter agreements among owners, contractors, subcontractors, consultants, and technology providers — before disputes arise.
  • AI Governance Clauses
    Draft practical provisions that define acceptable AI use, protect project data, and establish governance frameworks for construction agreements.
  • Flow-Down Requirements
    Build consistent AI requirements that bind every tier of the project team, from the owner down to the technology provider.
  • Operational Implementation
    Administer AI guardrails after signing so contract requirements translate into day-to-day compliance across the project team.
  • Risk and Liability Allocation
    Analyze liability exposure and evolving professional standards of care in AI-assisted construction, and allocate that risk in the contract.
  • Coverage Gaps and Disputes
    Evaluate emerging insurance coverage gaps and prepare for disputes shaped by technology failures, digital evidence, discovery obligations, and expert testimony.

This course is co-sponsored with myLawCLE.

Date / Time: July 30, 2026

  • 1:00 pm – 3:10 pm Eastern
  • 12:00 pm – 2:10 pm Central
  • 11:00 am – 1:10 pm Mountain
  • 10:00 am – 12:10 pm Pacific

Closed-captioning available

Speakers

Richard O. McDonald, Partner | Lathrop GPM LLP

Richard McDonald is a partner at Lathrop GPM LLP and a nationally recognized construction attorney, arbitrator, and mediator with more than 40 years of experience representing owners, contractors, design professionals, subcontractors, and suppliers in commercial, industrial, and residential construction matters. His practice encompasses contract negotiations, construction claims, mediation, arbitration, and litigation, and he has represented hundreds of clients in thousands of construction-related disputes. In addition to his legal practice, Richard regularly serves as an arbitrator and mediator in complex construction disputes, bringing decades of practical experience to alternative dispute resolution. His background includes growing up in a family deeply involved in the construction industry and serving as Acting General Counsel for a national construction company, providing him with a practical understanding of the challenges facing construction clients.

  • Education & Credentials

Richard earned his Juris Doctor, cum laude, from Santa Clara University School of Law and his Bachelor of Arts, with honors, from Stanford University. He has been admitted to practice in California since 1981. In addition to his litigation practice, Richard has served for more than 30 years as a construction arbitrator on the American Arbitration Association’s Construction Industry National Panel of Arbitrators.

  • Recognition & Leadership

Richard is widely recognized for his leadership in construction law and dispute resolution. He has been selected to Northern California Super Lawyers in Construction Law since 2019 and is a Fellow of the Construction Lawyers Society of America. His professional leadership includes serving as Chair of the Judiciary Committee of the Santa Clara County Bar Association for 2023–2024, previously serving as Chair of its Civil Practice Committee, and serving on its Real Estate and Business Law Executive Committee. He is also a member of the Trial Law Institute, the Diversity Law Institute, the Order of Optimus, Barrister, and the American Bar Association Forum on the Construction Industry.

  • Professional Involvement

Richard has been actively involved in the legal and construction communities throughout his career. He has served as an arbitrator and mediator for the American Arbitration Association since 1995, handling more than 100 matters through the AAA and private engagements. His community involvement includes serving as a director of the Home Builders Association, KTEH Public Broadcasting, and participation in the ACE Mentorship Program. He has also contributed to youth athletics as a championship coach for Los Gatos Little League Baseball.

  • Experience

Richard has more than four decades of experience advising clients on virtually every aspect of construction law, including contract negotiations, risk management, claims, litigation, arbitration, and mediation. He has successfully mediated hundreds of construction claims and has tried more than 50 complex real estate and construction cases before judges, juries, and arbitration panels. His representations have included obtaining a favorable result for an owner in a 98-day trial involving more than $20 million in breach of contract and defective construction claims, securing full recovery for a retail shopping center owner in a commercial lease dispute, successfully defending prime contractors and general contractors in multimillion-dollar construction claims, and advising the prime contractor on a multibillion-dollar infrastructure project involving change orders, international suppliers, and subcontractor claims. His experience also includes serving as Acting General Counsel to a national construction company, giving him both in-house and outside counsel perspectives on complex construction projects and disputes.

 

Jason Kosek, Shareholder | Anderson Kill P.C.

Jason Kosek is a shareholder in Anderson Kill’s New York office and a member of the firm’s Construction, Insurance Recovery, and Commercial Litigation practices. He co-chairs the firm’s Data Center Practice Group and its Energy & Renewables Industry Group, and he serves as outside general counsel to construction industry companies through every phase of a project’s lifecycle, from contract drafting and negotiation through the disputes that arise after completion.

  • Education & Credentials

Jason received his J.D. from Fordham University School of Law in 2015 and his B.A. from Hofstra University. He was admitted to the New York bar in 2016 and is admitted to practice before the United States District Court for the Southern District of New York.

  • Recognition & Leadership

Jason has been recognized as a Super Lawyers Rising Star from 2023 through 2025 [confirm recognition years with speaker]. At Anderson Kill, he serves in firm leadership as co-chair of the Data Center Practice Group and the Energy & Renewables Industry Group.

  • Professional Involvement

Jason is a member of the National Stroke Association.

  • Experience

Jason handles the full range of claims arising on complex construction projects, including mechanic’s liens, retainage and payment disputes, schedule delay and disruption claims, design professional malpractice, and construction defect litigation. His clients include owners, developers, general contractors, subcontractors, suppliers, and materialmen, and he counsels data center and energy sector clients on the construction, contractual, and regulatory challenges specific to those industries.

Agenda

SESSION 1 – Preparing Attendees to Draft Flow-Down Provisions and Operational Guardrails for AI Use Across Every Tier of a Project – 1:00pm – 2:00pm ET

As AI-powered tools become embedded throughout the construction lifecycle, attorneys must ensure that contracts establish consistent requirements for owners, contractors, subcontractors, consultants, and technology providers. This session focuses on drafting practical contract provisions and governance frameworks that define acceptable AI use, allocate operational responsibilities, protect project data, and promote compliance across every tier of the project team before disputes arise.

BREAK | 2:00pm – 2:10pm ET

SESSION 2 – Constructing Liability: AI, Insurance, and Litigation in the Next Generation of Building Projects – 2:10pm – 3:10pm ET

This session examines liability, insurance, and litigation issues arising from AI-assisted construction projects, including risk allocation, professional standards of care, coverage gaps, technology failures, digital evidence, discovery obligations, expert testimony, and strategies for preparing for emerging AI-related construction disputes.

Credits

Alaska

Approved for CLE Credits
2 General

Our programs are CLE-eligible through Alaska’s recognition of multi-jurisdictional reciprocity.
Alabama

Pending CLE Approval
2 General

Arkansas

Approved for CLE Credits
2 General

Arizona

Approved for CLE Credits
2 General

California

Approved for CLE Credits
2 General

Colorado

Pending CLE Approval
2 General

Connecticut

Approved for CLE Credits
2 General

District of Columbia

No MCLE Required
2 CLE Hour(s)

Delaware

Pending CLE Approval
2 General

Florida

Pending CLE Approval
2 General

Georgia

Pending CLE Approval
2 General

Hawaii

Approved for CLE Credits
2 General

Iowa

Pending CLE Approval
2 General

Idaho

Pending CLE Approval
2 General

Illinois

Pending CLE Approval
2 General

Indiana

Pending CLE Approval
2 General

Kansas

Pending CLE Approval
2 Substantive

Kentucky

Pending CLE Approval
2 General

Louisiana

Pending CLE Approval
2 General

Massachusetts

No MCLE Required
2 CLE Hour(s)

Maryland

No MCLE Required
2 CLE Hour(s)

Maine

Pending CLE Approval
2 General

Michigan

No MCLE Required
2 CLE Hour(s)

Minnesota

Pending CLE Approval
2 General

Missouri

Approved for CLE Credits
2.4 General

Mississippi

Pending CLE Approval
2 General

Montana

Pending CLE Approval
2 General

North Carolina

Pending CLE Approval
2 General

North Dakota

Approved for CLE Credits
2 General

Our programs are CLE-eligible through North Dakota’s recognition of multi-jurisdictional reciprocity. Section 1, Policy 1.14
Nebraska

Pending CLE Approval
2 General

myLawCLE reports attendance to Nebraska on each attorney’s behalf for all programs. Please do not self-report.
New Hampshire

Approved for CLE Credits
120 General minutes

As of July 1, 2014, the NHMCLE Board no longer provides pre- or post-approval of courses. Attendees must self-determine whether a program is eligible for credit, and self-report their attendance online at www.nhbar.org, based on qualification provisions of Rule 53.
New Jersey

Approved for CLE Credits
2.4 General

Our programs are CLE-eligible through New Jersey’s recognition of multi-jurisdictional reciprocity, except for the courses required under BCLE Reg. 201:2
New Mexico

Approved for CLE Credits
2 General

Nevada

Pending CLE Approval
2 General

New York

Approved for CLE Credits
2 General

Our programs are CLE-eligible through New York’s Approved Jurisdiction Group “B”.
Ohio

Pending CLE Approval
2 General

Oklahoma

Pending CLE Approval
2.5 General

Oregon

Pending CLE Approval
2 General

Pennsylvania

Approved for CLE Credits
2 General

Rhode Island

Pending CLE Approval
2.5 General

South Carolina

Pending CLE Approval
2 General

South Dakota

No MCLE Required
2 CLE Hour(s)

Tennessee

Pending CLE Approval
2 General

Texas

Approved for CLE Credits
2 General

Utah

Pending CLE Approval
2 General

Virginia

Not Eligible
2 General Hours

Vermont

Approved for CLE Credits
2 General

Washington

Approved via Attorney Submission
2 Law & Legal Hours

Receive CLE credit in Washington via attorney submission.
Wisconsin

Pending CLE Approval
2 General

West Virginia

Pending CLE Approval
2.4 General

Wyoming

Pending CLE Approval
2 General

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