Modes Of Dispute Resolution In The Construction Sector

Introduction

Disputes are a common feature of the construction sector and can potentially have far-reaching impact on the project in the form of costs, delayed completion and opportunity costs.

Construction disputes are primarily technical in nature. They may arise during the execution of the project or post the project's completion. More often than not, if the dispute is not resolved quickly and efficiently it has a cascading effect on the project and leads to inefficiencies like cost overrun and time overrun for the owner and cash flow issues for the contractor. The most common causes of disputes in construction projects are ²

• Omission and errors in the contract documents; Differing and unexpected site conditions;