Deconstructing Your Contract: Common Sources of Disputes in Construction Contracts

Speaker(s): Howard Krupa
Category(s): Architecture, Construction, Engineering, Property, Renovation
Credits: BOMI: 1 OAA: 1

This in depth talk will focus on how contract disputes may arise and the best way to avoid them. Areas covered will be Allocating risk to the appropriate party, Understanding liquidated damage provisions – when will they be enforced? Can “pay when paid” clauses be relied upon? The Supreme Court of Canada’s Bhasin Decision will be considered – how will the implied term of a duty of honesty impact construction contracts at the drafting and negotiation stages?

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One of the reasons why Parties fail to appoint a Mediator at the outset of the Project may be the "fear of uncertainty". Many times both or either of the Parties are uncertain about the outcome of risks allocated on them under the Contract, which resultantly deters them in agreeing on a Mediator. Delay in proceeding with the mandated ADR provisions may be perceived as a breathing time for the liable Party.