|
December 8, 2003
Importance of Clarity and Specificity
This week’s cases illustrate the importance of being clear and precise when preparing, negotiating and settling change orders. Both owners and contractors should have a checklist that includes, as a minimum, the following: Proposals and scope of work should be explicit and accurately priced. This facilitates and expedites acceptance, and agreement, by owners.Owners should be immediately advised, in writing, when changes may affect schedule. Time changes should be reflected in signed change orders.If disputed items exist, they should be separated out from undisputed issues for separate resolution. This facilitates settlement of both disputed and undisputed items, and limits exposure.Where possible, even if inconvenient, actual costs for disputed items should be separately tracked. Numerous disputes cascade into litigation merely because factual issues were not documented or timely addressed.
Subscribers: click here for the full story
Non-Subscribers: click here to subscribe
|
