Like other areas of the economy, the construction industry is
experiencing volatility and rapid price increases in just about
every aspect of its business. This has resulted in a growing use of
and adaptation of material price increase clauses in construction
contracts. In their webinar, Osler's Richard Wong, partner and
Construction and Infrastructure chair, Andrew Wong, partner,
Commercial, and guest Arif Ghaffur, quantity surveyor and managing
editor of Construction Economist, discuss the impact
cost fluctuations have had on the construction industry, and the
steps being taken to help manage escalating costs.
Some price fluctuations have been dramatic and have disrupted
the entire project development cycle. Building owners are
responding by deferring projects and self-procuring. In some cases,
they are staging projects in phases to help defer costs. If the
project is a revenue-generator in a growth area, cost overruns are
generally not enough to derail the
