Disputes involving a California construction project can be complex. They can cost your company time and money, and it’s smart to know how to handle these types of situations from the very beginning. You understand how important it is to work for a practical, timely solution for the benefit of your construction company and your relationships with your clients.
Disputes can easily lead to litigation, which is not only expensive for both parties, but it can also impact other aspects of your company’s operations. There are certain methods you can employ to help you handle disputes, but it’s smart to remember that it’s always in your rights to shield the interests of your company.
Common causes of construction disputes
There are many reasons why construction disputes arise. While many of these reasons may be completely out of your control, when you know why they happen, you may sometimes be able to avoid them. Some of the most common causes for these types of issues include:
- Perceived failure to fulfill the terms of the contract
- Delays in fulfilling the contract
- Failure to understand the terms of the contract
- Unsubstantiated claims made by one party about the actions of the other
It’s not automatic that disputes will lead to litigation. However, it’s smart to take an issue seriously and try to keep it from escalating further.
What can you do?
There are a few options you have regarding resolving construction disputes. The ultimate goal will be to prevent your company from experiencing financial loss and protect its (and your) reputation. You may have other goals as well, and some of the possible methods for resolving these issues include:
- Negotiation may allow you and the other party to come to a reasonable understanding without the need for continued legal measures.
- Expert determination means that you can bring in an expert who understands the specific issue at hand. He or she can help parties understand what happened, who is to blame and how to fix it.
- Mediation is a method of dispute resolution that can help parties solve their problems with the help of a neutral third-party mediator. This can help avoid litigation.
If you are facing a construction dispute, you will find significant benefit in working with an experienced lawyer from the very beginning of the process. With the financial and legal interests of your business at stake, this can help you understand the most beneficial and practical way forward while protecting your company.