How to resolve disputes with contractors on your construction project?


Every construction project will bring with it the risk of dispute. Disputes can arise for a number of reasons but it’s important that you do everything possible to resolve them as soon as possible so everyone can move forward. We have looked at potential solutions to help you resolve disputes should they arise.

Speak With the Contract Administrator

You should have a contract in place with your contractors and within the contract, a Contract Administrator should be included. This is often the architect but it can be the employer or a surveyor. The contract will also stipulate the powers they have and whether the decisions they make are binding but this could be an efficient and cost-effective way to solve disputes.

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Negotiation

You can negotiate with contractors in a number of ways. It can be done by meeting with them, emailing them or speaking over the phone. Commonly, negotiations are carried out “without prejudice” which means that any admissions or offers made cannot be mentioned in any later proceedings. Negotiations can prove useful but their success and effectiveness will come down to the bargaining power of the parties.

Adjudication

Disputes can often be settled through adjudication and this is a statutory right which means that it doesn’t have to be included in the contract. This is a fast method of solving disputes and the result is a decision that is both enforceable and binding. However, it is subject to any further decisions that are made in court or during adjudication proceedings.

This option can be explored at any time and this can even take place while the project is still moving forward. The adjudicator will need to make their decision within 28 days and they must act impartially although they won’t go into as much detail as a court or arbitrator would. The aim is to achieve a quick decision which means that the contractor can continue with the project.

Arbitration

This is much like court proceedings than adjudication. This is available to those where a dispute has arisen that is genuine and also between parties that a court would entertain and a binding agreement to submit the dispute to arbitration. In this instance, the adjudicator must act fast but can only handle any issues that have been specifically referred to them to decide. In construction disputes, this is the main litigation method although more cases are now being handled by the court.

Litigation

This is where any decision regarding a dispute is handed over to the courts to make a decision. They have the power to request that documents be disclosed and witnesses are called to provide evidence while they can also enforce any decisions made. The complexity of the dispute will determine which court will handle the case while the value of the dispute will also play a part.

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Every dispute is different but it’s important that the right steps are taken to deal with the dispute as it’s important that the right outcome is achieved for all.

Work with Reliable Experts

Disputes can arise for a number of reasons, and you can really now in advance if it will happen or not. The best you can do in the given situation is to try to resolve them as soon as possible. However, to make situation easier, it is important that you work with trustworthy, qualified, and reliable construction professionals who can advise you on every step. If you are struggling to find the right people for your project, Expert Plans is here to help.

Expert Plans platform connects you with up to seven local reliable construction experts in a quick and simple way. And for free! Once you get their details, tell them about your project and start working within minutes. Check out our platform and find the right expert for your project!

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