Introduction:

Construction projects often involve complex processes, multiple stakeholders, and tight deadlines, which can lead to disputes and claims. Managing and resolving construction claims effectively is essential for ensuring the smooth progress of a project, minimizing financial and reputational damage, and maintaining healthy professional relationships. This 5-day course provides participants with an in-depth understanding of the causes of construction claims and disputes, how to manage them, and the strategies for avoiding, mitigating, and resolving them. Through case studies, interactive discussions, and practical exercises, participants will gain the knowledge and skills necessary to handle construction claims and disputes confidently and effectively.

Objectives:

By the end of this course, participants will:

1. Understand the types and causes of construction claims and disputes.
2. Learn how to prevent construction claims by setting up proper contracts, documentation, and communication channels.
3. Develop skills to manage construction claims and disputes effectively.
4. Gain knowledge of different methods of dispute resolution, including negotiation, mediation, arbitration, and litigation.
5. Understand the role of contracts, legal frameworks, and project documentation in managing claims.
6. Learn how to evaluate and quantify claims, including delays, cost overruns, and scope changes.
7. Explore real-world case studies to understand common challenges and best practices in construction claims and disputes management.

Who Should Attend:

This course is designed for professionals in the construction industry who are involved in contract management, claims management, dispute resolution, and project oversight, including:

• Construction Managers and Project Managers
• Engineers and Architects
• Contractors and Subcontractors
• Legal and Claims Consultants
• Project Administrators and Estimators
• Contract Managers and Procurement Officers
• Dispute Resolution Professionals

Course Outline:

Day 1: Introduction to Construction Claims and Disputes

• Session 1: Overview of Construction Claims and Disputes
  • What Are Construction Claims? Definition, Types, and Causes
  • Key Players in Construction Disputes: Contractors, Subcontractors, Clients, Consultants, and Regulators
  • The Impact of Claims and Disputes on Project Performance, Costs, and Schedule
• Session 2: Causes of Construction Claims
  • Delays: Causes, Impacts, and Methods of Managing Delays
  • Changes in Scope: Variations, Change Orders, and Unforeseen Conditions
  • Breach of Contract, Non-compliance, and Poor Communication
  • Cost Overruns and Mismanagement of Resources
• Session 3: Preventing Claims and Disputes
  • Effective Contract Management: Clear Terms, Conditions, and Clauses
  • Importance of Accurate Documentation: Progress Reports, Communication Logs, and Approvals
  • Setting Up a Strong Dispute Prevention Strategy: Communication, Planning, and Monitoring
• Activity: Group Discussion – Identifying Common Causes of Claims in Construction Projects

Day 2: Managing Construction Claims

• Session 1: Understanding Construction Contracts
  • Key Elements of a Construction Contract: Scope, Time, Cost, and Quality
  • Common Contract Types: Lump Sum, Unit Rate, Time and Materials, and Cost Plus
  • Clauses Related to Claims: Delay Clauses, Force Majeure, Extensions of Time, and Liquidated Damages
• Session 2: Process of Making and Managing Claims
  • The Process of Raising a Claim: Notification, Documentation, and Submission
  • Preparing a Valid Claim: Necessary Information, Supporting Evidence, and Proper Documentation
  • Methods of Assessing and Quantifying Claims: Time Impacts, Cost Impacts, and Mitigation Measures
• Session 3: Evaluating and Responding to Claims
  • How to Respond to Claims: Reviewing Claims, Validity, and Impact on the Project
  • Negotiating Settlements and Alternative Solutions
  • Resolving Claims Through Direct Discussions and Alternative Dispute Resolution (ADR)
• Activity: Role Play – Drafting a Response to a Delay Claim

Day 3: Delay Claims and Dispute Resolution Methods

• Session 1: Delay Claims and Their Impact
  • Types of Delays: Excusable, Non-excusable, Compensable, and Concurrent Delays
  • Analyzing Delay Events: The Critical Path Method (CPM) and Time Impact Analysis (TIA)
  • Common Defenses to Delay Claims: Concurrent Delays, Force Majeure, and Contractor’s Fault
• Session 2: Methods of Dispute Resolution
  • Negotiation: Techniques for Effective Negotiation and Settling Disputes
  • Mediation: How Mediation Works and When to Use It
  • Arbitration: The Role of Arbitrators, Advantages, and Disadvantages of Arbitration
  • Litigation: The Legal Process, Court Involvement, and Managing Disputes in Court
• Session 3: Selecting the Right Dispute Resolution Method
  • Factors to Consider When Choosing a Dispute Resolution Method: Cost, Time, Complexity, and Relationship
  • Hybrid Dispute Resolution Methods: Mediation-Arbitration (Med-Arb) and Others
  • Enforcing Settlement Agreements and Awards
• Activity: Case Study – Resolving a Construction Dispute Using Mediation

Day 4: Quantification and Documentation of Claims

• Session 1: Quantifying Claims and Cost Estimation
  • How to Quantify Delays and Additional Costs Due to Claims
  • Using Project Management Software to Track Progress, Costs, and Delays
  • Preparing Cost Estimates for Additional Work or Scope Changes
• Session 2: Documentation in Claim Management
  • The Importance of Documentation: Time Records, Work Orders, Inspection Reports, and Communications
  • Creating an Effective Claims Management System: Record-Keeping, File Management, and Reporting
  • Best Practices for Document Control and Tracking Claim-Related Information
• Session 3: Preparing and Submitting a Claim Package
  • Key Elements of a Claim Package: Summary, Supporting Documents, and Quantified Impacts
  • The Role of Expert Witnesses and Consultants in Claims Preparation
  • Submitting a Claim to the Client, Contractor, or Legal Authorities
• Activity: Workshop – Preparing a Claim Package for a Hypothetical Project

Day 5: Real-World Case Studies and Best Practices

• Session 1: Analyzing Construction Claim Case Studies
  • Review of Real-World Construction Claims and Disputes
  • Lessons Learned from High-Profile Construction Disputes
  • What Worked, What Didn’t, and How It Could Have Been Prevented
• Session 2: Best Practices for Minimizing Claims
  • Building Strong Relationships Between Stakeholders: Communication, Trust, and Transparency
  • Risk Management in Construction Projects: Identifying, Mitigating, and Monitoring Risks
  • Contract Clauses That Protect Against Claims and Disputes: Clear Scope, Payment Terms, and Deadlines
• Session 3: The Future of Construction Claims and Disputes Management
  • Emerging Trends in Construction Claims: Digital Tools, AI, and Automated Processes
  • Building a Claims Management Culture in Construction Teams
  • Training and Empowering Staff to Handle Claims and Disputes Effectively
• Activity: Final Group Project – Creating a Comprehensive Claims Management Plan for a Project

Course Delivery:

• Interactive Lectures: Presentations on construction claims, contract management, dispute resolution techniques, and real-world case studies.
• Hands-on Exercises: Practical activities that simulate construction claims and dispute resolution scenarios.
• Case Studies: Real-world examples that allow participants to analyze construction claims and understand the best ways to handle them.
• Group Discussions: Collaborative sessions to brainstorm strategies for managing and mitigating claims.
• Role Play and Workshops: Opportunities for participants to apply their learning by drafting responses to claims, creating documentation, and conducting negotiations.