Bass, Berry & Sims attorney Brian Dobbs authored an article for Construction Executive on the importance of thoughtful and thorough contracts on construction projects. The article outlines what owners, developers, designers and contractors should consider in their negotiations and final agreements to avoid disputes later.
There are a number of factors that can lead to legal disputes regarding a project, but the most common involve issues related to price, time and scope. Although these are the basic elements of every construction contract, many agreements do not address them sufficiently or at all. Another common cause of disputes is project changes. Many of these disputes can be avoided by requiring that all changes be properly documented in writing.
In the event disputes arise, contracts should include provisions concerning how those disputes will be resolved and, if they cannot be resolved, whether such disputes will be subject to litigation or binding arbitration. "While it is not always possible to avoid disputes, thoughtful contract drafting can reduce the likelihood of disputes, establish party expectations and give the parties more control over disputes when they arise."
The full article, "Top Considerations for Negotiating Construction Contracts," was published January 30, 2018, by Construction Executive and is available online.