Whenever you and another party have a contract, there is a risk of one person breaching it. Whether they fail to deliver an item on time or you don't receive the services you paid for, a breach of contract can have a real impact on your business.
If there is anything you want, it's to avoid a construction project dispute. A dispute can cost you time and money, and it could hurt the outcome of the project.
You hired a contractor to come and install a new bathroom as an addition to your home. You made it clear that the latest you wanted it to be installed and finished was two months from the date you signed the contract. They said it would only take a few days to add the bathroom, so you were confident that you would have a new one in your home in no time at all.
You've been waiting for your latest real estate renovation to be completed long past the end date on your contract. It has been at least two weeks since the date the construction team was supposed to finish the last phase of work, and you expected the finished product a week ago.
How to handle a contract dispute during a construction project can be a big problem. For one thing, you may not be able to move forward with your work until the issue is resolved. Also, it could end up costing you more money to deal with the dispute if you end up having to file or defend a lawsuit.
Construction projects often turn into contract disputes.
Developers and construction companies in North Carolina and around the country sign an extensive array of contracts when preparing for an upcoming project. However, disputes can still arise, especially if cost overruns, project delays or other problems threaten to delay a project. If these disputes lead to litigation, the construction project may be delayed even further and the parties may face greater expenses. Therefore, resolving construction disputes and devising contractual provisions to deal with problems are often major priorities.
Construction disputes in North Carolina and around the country are most often rooted in changes made to a project after work has begun, according to an international consulting firm. HKA's latest CRUX Insight report, which was published on Nov. 29, is based on an analysis of 700 construction projects with combined budgets of about $1 trillion. The firm noticed that disagreements between contractors and their clients over design-related issues have now become as common as contract disputes.
A well-drafted construction contract in North Carolina will include the price for the work and the terms of payment. Foreseeable risks should also be addressed to protect both parties. It's important for everyone involved in the agreement to understand exactly what they are committing themselves to because once it's signed, the contract usually cannot be changed.
Few things can derail home remodeling projects or grind commercial development projects to a halt like construction contract disputes. When these disputes arise, time is wasted, which means money is wasted. To get the best results when dealing with a construction contract dispute, you should protect your interests.