Prevention and Resolution of Construction Claims

Abstract

The owner and architect/engineer's roles in the prevention and resolution of construction claims are examined. A carefully written contract is invaluable in the prevention of a claim. Important aspects of construction contracts are presented, including scheduling, submission of shop drawings, payment terms, rates for time and material work and notification of delays and extra work. The owner and architect/engineer must be aware that his or her actions should be avoided whenever possible. Causes of valid construction claims include extra work, project delays and acceleration, lack of management, limited site access and change in work schedule. The importance of record keeping is stressed. Detailed records help to establish facts if a dispute later develops. Records that should be kept include minutes of meetings, correspondence, progress reports, status logs and photographs.