Construction disputes are common occurrences in the construction industry. Construction disputes often arise when one party to the contract claims that another has not fulfilled their obligations under the contract, or where there is a dispute over payments, delays in completion of work, and other issues.
Taking a proactive approach in eliminating or mitigating conflicts before they occur can save time, money and company resources. However, despite all efforts to avoid problems, sometimes they are unavoidable. Knowing that you took all possible steps to avoid construction disputes can give peace of mind if it comes to litigation.
4 steps to consider
Construction disputes can be avoided by taking the following proactive measures:
- Expectations: Set clear and specific expectations for both parties by creating a timeline detailing when certain steps should occur to avoid any confusion about who is responsible for what step.
- Contract reviews: Periodically review your contract carefully to ensure the other party is not in breach. Keep an eye on contract terms that are most likely to result in a quarrel, such as the scope of the work, payment arrangements, changes, project timing and milestones, delay damages, indemnity costs, and consequential losses.
- Expect the unexpected: Proactively identifying potential problems before they happen can help to avoid construction disputes. It can be hard to anticipate events that have yet to happen, but it is important to know where things could go wrong and recognize the signs.
- Communication and flexibility: Being reasonable, flexible and willing to compromise is a great approach to avoiding problems. Keeping channels of communication open helps to create a trusting atmosphere where conflict resolution can take place.
Not all construction conflicts can be avoided, but involving experienced professionals at all stages of project management can go a long way. If all proactive efforts have not been successful in avoiding a construction dispute in Texas then it may be time to seek more detailed information about your options.