Architects and engineers (A/Es) are pivotal in crafting contract documents for construction projects. However, a common issue arises regarding dispute resolution. While A/Es may mandate arbitration with project owners, they often favor court hearings in contracts with prime contractors. This inconsistency poses challenges for owners when disputes involve both parties. Owners must decide whether to pursue one party exclusively, both parties separately, or one after the other, each option incurring significant costs and risks. This practice, favoring A/E interests, limits their liability and requires owner vigilance. Owners should reject arbitration clauses without consolidation or joinder options to ensure the ability to address claims against both A/E and contractor in the same arbitration. A proactive approach involves drafting dispute resolution clauses allowing consolidation or joinder, providing the sole right to choose between arbitration and court. Such clauses offer a fair and efficient resolution for all parties involved in construction projects. For expert assistance, contact Burkhalter Law for effective navigation of these matters.
Burkhalter Law – Contract Clash: Building Bridges, Not Barriers, to Resolve Construction Disputes
Burkhalter Intern2024-04-10T15:11:01+00:00April 10th, 2024|Construction, Construction Litigation, Contracts|Comments Off on Burkhalter Law – Contract Clash: Building Bridges, Not Barriers, to Resolve Construction Disputes