Contractors: When it Comes Down to Delays and Disputes, Documentation is your Best Friend

Author, Josh Hill, Surety Account Executive, Rancho Mesa Insurance Services, Inc.

Every contractor knows that project delays and disputes are just a part of life in the industry. The question is, how does one go about improving their chances of achieving the outcome they desire when this occurs and the answer is, documentation.

Construction contractors face project delays and disruptions on jobsites of every size, but their ability to successfully defend their position in negotiations, mediation, arbitration, or litigation depends largely on the quality of the records they create and maintain throughout the project. By implementing disciplined processes for tracking schedules, documenting impacts, preserving project correspondence, and recording productivity losses as they occur, contractors can transform routine project data into compelling evidence when disputes arise.

There are several software platforms available to manage and monitor your projects, and each is designed for different types and sizes of users. For example, if you are a small to mid-sized contractor, a useful and affordable platform such as Microsoft Planner & Project is a great option. It is easy for most Microsoft users to learn and provides Gantt charts, dependencies, baselines and critical path scheduling. These inputs provide critical data for yourself and your attorney to utilize when defending your position as it pertains to delays and disputes. If you are a general contractor working on large complex projects, then the gold standard platform would be Oracle Primavera P6. This is a sophisticated platform that monitors critical path method scheduling with tremendous detail and analysis data points for Time Impact Analysis which is routinely relied upon during the dispute process.

Regardless of what software system is utilized, contractors should make it standard practice to utilize some type of platform to maintain baseline schedules, progress updates, documentation of changes, and historical scheduling data. It is also advisable to involve their attorney early so that they can address disputes before it becomes a serious matter and potentially a more costly process. If used effectively, monitoring software will greatly improve your attorney’s position and the documentation provided through these systems will help get the best outcome possible.

For more information about how to protect your company during a dispute or delay, contact Shay Kulkarni at Skulkarni@pecklaw.com or (619) 202-0175 or Josh Hill at Jhill@ranchomesa.com or (619) 798-2819.