Construction contracts are among the most difficult agreements to draft or review and negotiate.
At every stage, building is fraught with substantial risk – timely regulatory approvals, cost containment and price certainty, financing contingencies, building deadlines, and a host of other risks. If these risks materialize, as is common, the bargained for exchange among the parties and their expectations are radically unsettled.
Construction contracts are a careful allocation of risks, a compromise between flexibility and price/cost certainty, and establish procedures for resolving disputes short of costly litigation.
This program provides a practical guide to drafting the most important provisions of construction contracts.
Part 2 topics include:
- Insurance and indemnification provisions of construction contracts
- Role of subcontractors and mechanics and materialmen liens
- Anticipating disputes between property owners and builders, and building in cost-effective dispute resolution
- Role and limitations of different type of damages