Construction delay claims are the most common type of claim at a construction site. Poor management and complex contracts have replaced a once-basic system. Nowadays, projects are more known for their legal battles rather than their glorious upbringings. This is the reason why risk management strategies have been established at construction sites. And, its importance is on par with the creation of the building itself. Without the implementation of risk management, construction projects become legal war zones.
Proper Contract Development is Crucial
There are several ways that one can approach risk management. For one, the best way to provide clarity is to draft a contract that’s transparent and concise. Prior to the creation of a contract, obtaining good legal advice is recommended to ensure that one’s best interests are properly reflected.
A contract needs to be planned from the outset in order to minimize the need for change orders or change directives. This is a crucial undertaking as the entire construction team will be following these plans accordingly. Studies have shown that changes to construction work lead to decreased productivity and a high risk of construction claims.
Advisors and Consultants Can Keep You On the Right Path
Hiring a reputable team of advisors and consultants is a great way to avoid going litigation or construction mediation cases. It’s vital that one hires a trusted individual that has a good reputation within the industry. There needs to be proper research performed in order to find the right candidate.
Bio: Lyle Charles is the head of Lyle Charles Consulting, a construction consulting firm that has over 40 years of experience in the field.