Define: Construction Dispute

Construction Disputes are disagreements or disputes that arise between a party in the construction industry and another party about a matter related to the construction, such as design problems, delays, cost estimates, or improper work. Construction disputes can often be resolved by seeking mediation from an impartial third party – but if not, there are sometimes other ways to resolve them. 

Disputes in the construction industry are handled differently from other types of disputes. In many cases, a construction dispute may be covered by a project agreement which may include specifications and procedures to follow. However, if there is no contract or the dispute is not covered by the “construction contract,” then disputes are generally handled in small claims court. Small claims courts are meant for people to settle their disputes without lawyers and where the amounts at issue are fairly small.

What is Construction Law?

Construction law is a body of law that governs the construction industry and covers a wide range of topics. These include contracts, claims, and disputes, as well as many other areas. The origins of construction law are sometimes confused with the history of general civil litigation. Construction laws originated when builders began to erect large buildings and works of art using materials brought to the site. This caused problems due to the fact that most contracts are written on paper and cannot be easily transferred to a construction site. Construction law is also used to refer to a particular legal field or body of law that pertains specifically to the construction industry.

What are Construction Contracts?

Construction contracts are agreements made between two parties as a result of the building, renovation, or repair of a building. The most common form of the construction contract is an agreement that is written in ordinary English. It generally includes a description of the work to be done and the compensation to be paid by the contractor. Contracts are often oral and are sometimes recited at different levels. If a contract is written and it is not completed, then the parties can enter into another agreement.

What are Construction Disputes?

Construction disputes are disagreements or disputes that arise between a party in the construction industry and another party about a matter related to the construction, such as design problems, delays, cost estimates, or improper work. Construction disputes can often be resolved by seeking mediation from an impartial third party – but if not, there are sometimes other ways to resolve them. Disputes can be resolved through mediation and arbitration. Construction disputes have different forms of adjudication depending on the issue involved and the rules of the applicable court or forum.

What are Construction Delays?

Construction delays are delays that occur when the contractor does not complete the construction of a project on time or in the right amount of time. Construction delay claims are claims for compensation when a party is delayed in receiving an expected benefit to a construction contract because of weather problems, defective work, or other reasons. Construction delay claims are usually filed through arbitration but may also be filed through litigation.

What are Excusable Delays?

Excusable delays are delays that do not fall under any of the delay categories, such as when the contractor is unable to complete the project due to weather conditions. Excusable delays are fairly common and may be covered by a “waiver of liability” clause in the construction contract if they fall within the standard guidelines.

What is Acceleration of a Construction Contract?

Acceleration of a construction contract means that the contractor is forced to complete the contract sooner than originally planned. This can happen when the defaulting party refuses to comply with the terms of the construction contract. Acceleration occurs when the non-defaulting party decides it is in its best interest to finish a construction project faster than expected in order to make up for the delay it has incurred because of the defaulting party.

What is the Importance of Construction Disputes?

Construction disputes can have a significant impact on individuals and businesses who are involved in a contract. Construction disputes may have a profound effect on the affected contractual parties. The timing of the dispute resolution can also have an impact on the outcome. For example, in some construction disputes, early action is required to secure evidence and preserve testimony. The importance of construction dispute resolution is also evident as it provides a means for achieving a settlement with reduced litigation costs as compared to court adjudication.

Conclusion:

Construction disputes are generally resolved outside of court. Construction disputes are not specifically referred to in legal texts but generally fall under contract law. Construction law (including construction contracts) is a body of law that governs the construction industry and covers a wide range of topics. These include contracts, claims, and disputes, as well as many other areas. The origins of construction law are sometimes confused with the history of general civil litigation.