Construction Claims & Disputes

The typical construction project "problems" found on the Home page are the issues that most often give rise to the formal filing of a construction contract "claim", or give rise to the beginning of what ultimately ends up being a bone fide construction contract dispute. Disputes often reach the point of submission of a formal "claim", also sometimes called a Request for Equitable Adjustment, or REA.

Claims and disputes are so prevalent in construction that many contracts for construction even have a clause or several clauses pertaining specifically to "claims", and occasionally specifically to "disputes". The clauses may cover items such as:

• The definition of a "claim";
• Limitations on the timeframes for submitting and/or reviewing and responding to a claim;
• The cost data/information to be included in support of a claim; and,
• The schedule data to be submitted in support of a claim, if there is a time element to the claim.

It is easily understandable how disagreements, disputes, and the filing of formal claims are so prevalent in construction contracting when you consider all the relationships of all the players required and how complexly those relationships are interwoven with some, or often all, of the relationships of the other players. Disputes and claims occur most often between Owners and Contractors and between Contractors and Sub-contractors, but can arise among/between all participants in and contributors to a construction project.

Either party to a construction contract can file a claim against the other contractual party demanding, as an assertion of a right under the contract, an adjustment in the price of and/or time for performing the work of the contract. Whether you are the party filing a claim, or the party against whom a claim has been filed, The Construction Industry Advisors can likely help. Just call us at 480-363-1365.

Please click here for details of select representative consulting projects completed by Mr. Tidemann relating to construction claims and disputes.