Building Disputes Happen – a Proper Contract Is Your Best Defence

Disputes happen. Whether it be in a commercial agreement, or on a building site, conflict can occur. Building disputes can stem from a variety of issues, from variations made during construction without prior approval, to a superintendent under the contract acting improperly.

When a building dispute does arise, people often jump to the last resort and threaten legal proceedings. Often, however, there is a contract in place between the parties, which outlines the procedure for resolving building disputes.

Looking to the contract first, and understanding what might be achieved through the terms and procedure it sets out, can save a lot of time and money – and, often, relationships. For this to happen, both parties must have a thorough understanding of the contract.

From Dispute to Resolution in 3 Steps

The building contract identifies what steps must be taken to attempt to resolve a building dispute. While contracts vary, the first step usually requires one party to provide a written notice to the other, giving formal notification of a dispute and describing the particulars.

The next step usually entails an in-person meeting between the parties’ representatives to discuss and try to resolve the issues at hand. If this process does not resolve a dispute, the parties are at liberty to take further action, such as litigation. Often, parties are required to go through this process anyway, before they can take further action.

• One party informs the other of the dispute and its particulars.
• The parties’ representatives meet in person to try to resolve the dispute.
• Further action, such as litigation, may be taken.

The contract also sets out procedures to handle different circumstances.

For instance, one party may be in breach of the contract. In such a situation, that party may be served with a Show Cause Notice, where they are required to explain the breach and how it will be rectified. Failure to do so likely will see the contract terminated and a dispute for damages initiated.

Tell Us About Your Building Dispute Today

Building contracts can be powerful tools in resolving disputes, saving relationships and enabling projects to finish on time and within budget. If a building dispute cannot be resolved in this way, you should seek immediate legal advice to protect your interests.

The proper legal advice can ensure that you remain in compliance with all the terms and obligations set out in your contract and help you make the most of the resources available. Highly knowledgeable and friendly construction lawyers are just a phone call away at Gavel & Page.