Model for Understanding, Preventing, and Resolving Project Disputes
This article has a reply.
VIEW THE REPLYPublication: Journal of Construction Engineering and Management
Volume 127, Issue 3
Abstract
Based on the comparative analysis of 24 construction disputes, this paper presents a process model that explains the development of disputes. The model examines the combined effect of project uncertainty, contract, working relations, and problem solving effectiveness on the development of disputes. The model develops a classification of problem situations, and identifies the problem-solving requirements and the potential for dispute in each situation. The model indicates that the prevention of complex, high cost disputes depends more on the planning and problem solving ability of the project organization, and less on the contractual terms. The paper identifies the following actions that can reduce the number and severity of claims: reduction of project uncertainty, reduction of contractual problems, reduction of opportunistic behavior, increased the project organization's problem-solving ability, and use of alternative dispute resolution methods to reduce resolution costs.
Get full access to this article
View all available purchase options and get full access to this article.
References
1.
ASCE Technical Committee. ( 1987). “Avoiding and resolving disputes in underground construction.” Rep. on Contracting Practices of the Underground Technol. Res. Council, New York.
2.
Ashley, D., Dunlop, J., and Parker, M. ( 1989). “Impact of risk allocation and equity in construction contracts: An overview of indemnity, consequential damages, differing site conditions and delay clauses.” Source Document 44, Construction Industry Institute, Austin, Tex.
3.
Ballard, G., and Howell, G. (1998). “Shielding production: Essential step in production control.”J. Const. Engrg. and Mgmt., ASCE, 124(1), 11–17.
4.
Birrell, G. S. ( 1981). “The informal organization which manages the construction process.” Proc., 3rd Symp. on Org. and Mgmt. of Constr., CIB-W65, Conseil International de Batiment pour la Recherche, l'Etude et la Documentation.
5.
Brett, J., Goldberg, S., and Ury, W. ( 1990). “Designing systems for resolving disputes in organizations.” Am. Psychologist, 45(2).
6.
Diekmann, J. E., and Nelson, M. C. (1985). “Construction claims: Frequency and severity.”J. Constr. Engrg. and Mgmt., ASCE, 111(1), 74–81.
7.
Galbraith, J. ( 1973). Designing complex organizations, Addison-Wesley, Reading, Mass.
8.
Halligan, D. W., Hester, W. T., and Thomas, H. R. (1987). “Managing unforeseen site conditions.”J. Constr. Engrg. and Mgmt., ASCE, 113(2), 273–287.
9.
Ibbs, C. W., and Ashley, D. B. (1987). “Impact of various construction contract clauses.”J. Constr. Engrg. and Mgmt., ASCE, 113(3), 501–521.
10.
Kashiwagi, K., Rubin, R. A., and Harris, M. R. (1988). “Construction law and practice in Japan.”J. Constr. Engrg. and Mgmt., ASCE, 114(1), 104–113.
11.
Keating, M., and Shaw, M. ( 1990). “Compared to what? Defining terms in court-related ADR programs.” Negotiations J., (July).
12.
Laufer, A. ( 1991). “Coping with uncertainty in project planning: A diagnostic approach.” The Australian Proj. Mgr., 11(3), 11–15.
13.
MacNeil, I. R. ( 1974). “The many futures of contracts.” Southern California Law Rev., 47, 691.
14.
Nam, C. H., and Tatum, C. B. (1992). “Noncontractual methods of integration.”J. Constr. Engrg. and Mgmt., ASCE, 118(2), 385–398.
15.
Semple, C., Hartman, F. T., and Jergeas, G. (1994). “Construction claims and disputes: Causes and cost/time overruns.”J. Constr. Engrg. and Mgmt., ASCE, 120(4), 785–795.
16.
Vlatas, D. A. (1986). “Owner and contractor review to reduce claims.”J. Constr. Engrg. and Mgmt., ASCE, 112(1), 104–111.
17.
Vorster, M. ( 1993). “Dispute prevention and resolution.” Source Document 95, Construction Industry Institute, Austin, Tex.
18.
Williamson, O. ( 1979). “Transaction cost economics: The governance of contractual relations.” The J. Law and Economics, 22 (October).
19.
Zander, A. ( 1982). Making groups effective, Jossey-Bass, San Francisco.
Information & Authors
Information
Published In
History
Received: Sep 17, 1998
Published online: Jun 1, 2001
Published in print: Jun 2001
Authors
Metrics & Citations
Metrics
Citations
Download citation
If you have the appropriate software installed, you can download article citation data to the citation manager of your choice. Simply select your manager software from the list below and click Download.