Resolving Common Construction Disputes By: Bob Bourg Claims and Disputes Manager Washington State Department of Enterprise Services Engineering and Architectural Services

Project Team E&AS Contractor Design Firm Client

A dispute occurs when the parties to the contract are in disagreement over a requirement of the contract. Disputes are not claims and they happen all the time! Common drivers of a dispute are: Drawings: –Missing information –Conflicting –Priorities of drawing standards –Anticipation of estimating and takeoff standards –Constructability Specifications: –Adherence to specification standards (customization) –Compatibility with related specification sections –Reliance on global statements –Missing information –Order of precedence (specifications and drawings) –Ambiguous or conflicting elements Common Disputes Defined

Cost of Change: –Cost standards vs. estimated costs –Adequate quantification of work: Breakdown of item quantities Labor amounts Hourly labor rates Productivity Material invoices Time and materials (cost plus) Changes to the schedule (added days): Cost and No Cost Attitudes and approaches to the issue Common Disputes Defined (cont.)

General Contractor submission and review: –Requests for Information (RFI’s) –Change Orders (CO’s) –Subcontractor discussion Architect review: –Requests for Information (RFI’s) –Change Orders (CO’s) –Sub-consultant discussion Owner review and oversight Architect and Owner: Review Expectations

Contractor and Architect/Engineer must fulfill their quantitative and objective duties to maintain focus on the real issue and promote clear understanding of their respective positions and differences. The Owner must focus on what is disputed in order to facilitate resolution. Agency and Client become the “Equalizers” earlier rather than later. Dispute Resolution

Bob Bourg Claims and Disputes Manager (360) Questions?