Construction claim management involves the process of identifying, analyzing, and resolving disputes or claims that arise during a construction project. A claim in construction typically refers to any demand or assertion by one party (e.g., contractor, subcontractor, or owner) seeking compensation, extension of time, or other relief due to a change or issue encountered during the project.
PPME has the right resources to assist you with your claim management. Here are the key components of PPME follows to effectively help clients win their claims in construction projects.
Identification of Claims:
The first step is recognizing potential issues or events that could lead to claims. This includes variations in scope, design changes, delays, disruptions, site conditions, or contractual disagreements.
Documentation and Analysis:
Once a potential claim is identified, detailed documentation is crucial. This involves gathering records, correspondence, drawings, schedules, and any relevant data to support or refute the claim. Thorough analysis is then conducted to assess the impact of the event on the project’s time, cost, and performance.
Notification and Communication:
Timely notification of a claim is essential according to contract requirements. Proper communication channels are established between the parties involved to discuss the claim and attempt to resolve it efficiently.
Evaluation and Negotiation:
Claim specialists evaluate the merits of the claim, considering contractual obligations, project documentation, industry standards, and legal aspects. Negotiation between the parties aims to reach a fair and amicable resolution.
Dispute Resolution:
If negotiations fail, formal dispute resolution methods such as mediation, arbitration, or litigation may be pursued to resolve the claim.
Effective construction claim management requires strong project management skills, knowledge of contract administration, understanding of construction law, and the ability to navigate complex project dynamics. It aims to minimize disputes, maintain project progress, and protect the interests of all parties involved in the construction process.
