Construction Claims What You Need to Know

Written by: Lyle Charles Consulting

Basically everything you really need to know when it comes to construction claims analysis is buried in the contract.

For it is true that the contract governs all relationships, like that between the owner and the contractor. The contract stipulates what everyone is responsible for, what due dates are expected and other parameters to guide the project.

Claims can happen for any one of a number of reasons. That’s why it’s important to either retain a construction claims expert on staff, or hire a third party to handle the claim so you can get back to work.

Claims happen when a contractor fails to perform an obligation written in the contract. These particular types of claims are “breach of contract” claims.

When analyzing these kinds of claims, the owner has to look at the contract and the documents incorporated into the contract. Those “Contract Documents,” establish both parties’ obligations under the contract.

In the end, good documentation can prevent claims in the first place, especially in construction.

Every project manager, construction manager or lawyer will tell you that running a large scale project requires adherence to a structured schedule. It requires strict financial record keeping. And, it’s also extremely important for each party to know what their responsibility is and what is required of them.

So, basically, in construction claims, the contract is the bible and the more everyone adheres to it, the smoother the construction project will go.

Also, the more a construction project is run like a well-managed claim, in terms of documentation, the easier it is to avoid claims.

Bio: Lyle Charles is an expert in steel fabrication and structural steel. Lyle Charles is also an expert witness, and is state certified.