Construction Disputes can arise in a number of scenarios
Including (but not limited to) the following:-
- A disagreement between the contractor and sub-contractor as to the extent of work to be carried out;
- A dispute as to the quality of work performed;
- A disagreement about the agreed payment terms / breached payment terms;
- Latent defects;
- Defective or incomplete works;
- Delayed works;
- Guarantees and warranties.
The starting point is often to consider the extent of the contract.
If the contract is not in an agreed written and signed format, consideration will need to be given to verbal and written communications (to include emails, WhatsApp and text messages if appropriate). Care must be taken to consider whether and how the terms of a contract might have been varied as works have been completed and instructions altered.
The next steps once advice has been provided:
Once advice has been provided, you will be guided as to making contact with your opponent and / or whether you first need to gather further information and evidence.
There is a specific Pre Action Protocol for Construction and Engineering Disputes which should be followed before proceedings are issued. A letter of claim must be sent, detailing (if relevant) the sum sought with an appropriate breakdown.
The Defendant should acknowledge receipt within 14 days and provide a written response within 28 days of the letter of claim, unless an extension has been agreed. This should include any proposed counter-claim. Thereafter, the Claimant has 21 days to respond to any counter-claim.
Within 21 days of the above, the parties should usually meet (whether themselves or via legal representatives) to consider the key issues in dispute, whether those issues can be resolved without litigation and, if not, what next steps need to be taken to progress to Court.
An alternative route to Court proceedings is to engage in arbitration.
The process of arbitration is usually set out in the terms of the contract between the parties. In essence, one party will serve the other with an arbitration notice which sets the process in motion to a set timeframe, during which both parties will detail their position and select an arbitrator to make a binding decision. Arbitration is usually fast-paced and involves a significant financial outlay at an early stage as a result.
If you find yourself involved in a construction dispute, please contact our Dispute Resolution team to discuss the way forward.
Have you ever wanted to just ask a lawyer if they can help you, without worrying about what it may cost to contact them? If so, call HSR Law Solicitors and together we can work out what your next steps might be… in confidence, at no cost and with no obligation. Complete our simple form with your name and contact number and we will call you back to discuss how we can help.
Alternatively, contact Katie Williams, Richard Allwood or Odette Tovey directly: our Dispute Resolution specialists.
