Common Causes of Construction Claims
Date: 12 March 2025
Construction claims frequently arise from a variety of factors that can disrupt project workflows and financial estimates. Recognizing these common causes is essential for owners, contractors, and project managers, as it allows them to identify potential issues early and implement proactive measures to mitigate risks. One of the primary contributors to claims is ambiguity in contract terms, which can lead to varying interpretations of responsibilities and expectations among stakeholders. Additionally, unforeseen site conditions, such as concealed geological obstacles or environmental concerns, can significantly impact project timelines and budgets, resulting in claims for additional time and resources.
Incomplete design or design errors and omission are significant cause of delays and disruptions resulting in generating claims. When project design documents lack clarity or critical details, it can lead to confusion and rework, ultimately causing delays and/or disruptions.
Changes in project scope, often initiated by owner’s requests or shifts in regulatory requirements, further complicate the landscape and can lead to disputes over compensation and necessary schedule adjustments. Moreover, delays related to late material deliveries or inefficiencies arising from coordination conflicts between subcontractors can escalate into significant claims.
By understanding these common causes, stakeholders can foster stronger communication, enhance planning processes, and establish clearer contractual agreements to mitigate the risk of disputes, ultimately contributing to a more collaborative and efficient construction environment.