In construction contract negotiations, much more goes on than just the conversation between the owner and contractor (and subcontractor). Attorneys John Marshall Cook and Randall Allen took on the roles of owner and contractor, respectively, to play out the questions that commonly arise in contract negotiations. Using a mock negotiation format for the construction of a fictitious cereal plant, Cook and Allen offered a witty and realistic look at what each party says and thinks, giving participants off-the-record commentary to explain the do’s and don’ts of commercial contract negotiation.
Topics included risk shifting and sharing, managing risk, payment provisions, design risk, indemnification and insurance, delay and time extension provisions, liquidated and consequential damages, termination and warranty provisions, differing site clauses and dispute provisions. Cook and Allen gave candid responses about what owners and contractors (and their attorneys) can and can’t live with in commercial contracting.
The main message they offered was to be willing to have some flexibility on issues that aren’t deal breakers and to “stick to your guns” on those that will break the deal. Further, know what’s important to your counterpart, they agreed.
To order an audio CD of the presentation, visit http://www.constructionclaims.com/products/audio_seminars/1417-1.html.
E-Mail This Article
Printer-Friendly Version