Starting on a large construction project means making major investments in capital, man power, materials, planning, and forward thinking. Its successful completion is your goal, and achieving it without major mishaps makes it all the sweeter.
Risk management should be at the heart of any project, and must be considered every single step of the way. Construction claims are a hassle builders needn't deal with if certain precautionary steps are taken to prevent them in the first place. But even if a claim does occur, being able to prove that you were including risk management in your project from Day 1 will help you to defend yourself litigiously.
-- Make sure all bases are covered, everyone is in agreement, and the language of all project-related documents is clear and unambiguous before any contracts are signed.
All plans should be reviewed by interested parties, including the owner, architect, engineer, and construction management team to make sure that everyone is in agreement about what the procedure should be. There should always be an independent witness to any of these proceedings. Have an attorney review the language of contracts prior to signing.
-- Nothing is more aggravating for all parties involved in a project than not setting clear time scheduling parameters. During the bidding process, an owner should make clear what his time expectations are for each phase of construction so that contractors may know what his demands are up front. In return, a contractor should be able to provide an owner with a detailed analysis of how he intends to complete each and every phase, taking into account variables such as weather.
The contractor should be explicit in outlining exactly how he intends to measure that progress. If both parties are in agreement as to scheduling issues, there will be less chance of claims on either side later.
-- Make sure the building contract contains a provision requiring that any changes in plans or materials be approved by the owner or his authorized agent. There will always be problems and issues that come up during a major project that may require an alteration in course.
There must be a certain degree of flexibility built into any contractual agreement which allows both the owner and contractor some leverage when changes are inevitable. Contractors must provide verifiable evidence and documentation as to why the changes are necessary, and the owner should have the freedom to alter course if circumstances demand it.
The bottom line is: to prevent construction claims, make sure that everything is in writing, pay attention to risk management from Day 1, have all documents reviewed independently, and ensure that all parties are in agreement before the contracts are signed.
Author Resource:-
If you are an attorney handling construction claims, and need a team of professionals to assist you with damages analysis, expert testimonies, and other support services, contact the professionals at Cost Verifiers (http://costverifiers.com). Art Gib is a freelance writer.
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