Rapid adjudication of payment disputes can literally save a
construction contractor's business. But before you can
adjudicate a pay dispute, one has to exist.
There are two common situations where despite appearances, no
pay dispute exists.
First, the work scope may change as a result of directions or
site instructions from the principal but the contract price will
not necessarily change as a result. If the contractor does not
claim a price variation within the time and in the way that the
contract prescribes, it may lose its right to be paid anything at
all for the extra work. In order to be adjudicated, a payment right
has to be disputed; in order to be disputed, a payment right has to
exist under the contract. If there is no payment right under the
contract because the contractor did not claim payment on time or
properly, there will be nothing to adjudicate.
