Submitting a variation claim is not a dispute. A dispute arises when the contractor and the client cannot agree that the variation claim is legitimate, or they cannot agree the quantum of the claim.
Disputes also arises when one of the parties believes that the other party has acted unfairly or they have been prejudiced in some way.
Why construction disputes are bad
Disputes are bad because:
Avoiding construction disputes
To avoid disputes:
But disputes can be avoided if:
Understand your contract document
When disputes are unavoidable the contract document could dictate the procedure to follow. The document will normally also stipulate the country where disputes should be resolved and the law to be followed.
Make sure you understand these procedures before declaring a dispute.
Litigation under foreign law and in another country can be vary complicated and costly.
Want to learn more about construction claims?
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The opinions expressed in the attached articles are those of the writer. It should be noted that projects are varied and different laws and restrictions apply which depend on the location of the contractor and the project. It's important that the reader uses the supplied information taking cognisance of their particular circumstances. The writer assumes no responsibility or liability for any loss of any kind arising from the reader using the information or advice contained herein.
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