Why Do We Have Claims

Exhibit 18-1

Claims and disputes flowchart.

Resolve any issues as soon as possible

Negotiate in good faith

Resolve any issues as soon as possible

4. The CM/GC may have a different interpretation of the contract than the owner.

5. The owner does not accept cost of change orders.

6. Site conditions differ from what was originally noted.

7. Changes are made to the approved schedule.

8. The schedule is accelerated and with that, the costs increase.

9. Materials are substituted without approval.

10. The municipality requests changes that may involve a change order by the CM/GC. The owner's position may be that the CM/GC is responsible of any requests initiated by the municipality.

11. Accidents occur, which affects the schedule and thus adds additional costs.

12. There is a lack of trades people or a material shortage.

13. There are jurisdictional disputes between union trades.

14. Additional safety regulations may be required after the project starts.

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Project Management Made Easy

Project Management Made Easy

What you need to know about… Project Management Made Easy! Project management consists of more than just a large building project and can encompass small projects as well. No matter what the size of your project, you need to have some sort of project management. How you manage your project has everything to do with its outcome.

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