3 Most Common Causes of Project Disputes

DISPUTES HAPPEN!  Knowing their causes and sources of contentions could somehow prevent the escalation of issues and problems.

YES, disputes happen. And that’s a reality that should be embraced and be prepared for in any workplace. In construction, the most common causes of disputes include:

Payment and financial issues such as delays in payment, non-payment, or disputes over the amount owed. Contractors, subcontractors, and suppliers may find themselves in disagreements over payment terms, progress payments, change orders, or additional costs. These can escalate quickly and lead to legal actions.

Changes and variations can include design modifications, scope alterations, or unforeseen site conditions. Disputes may arise when parties disagree on the necessity, impact, or cost of these changes.

Quality and performance can include issues such as defective work, deviations from specifications, or failure to meet project requirements or industry standards. Disagreements over the adequacy of workmanship, materials, or compliance with contractual obligations can lead to disputes and claims.

Other than these three, communication breakdowns, scheduling issues, inadequate project management are among the additional sources of disagreements in construction projects.

DON’T LET IT GET TO THE COURTROOM!  Resolve your issues before they become legal battles.  It’s worth it in the long run!

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