HomeSituationsProjects & contractsA live project under strain
TN/SIT/24
Edition 2027 · effective 1 January 2027
Projects & contracts · A live project under strain
The project must keep moving. The people delivering it have stopped trusting each other.
Delay, variation and payment disputes compound quickly on live projects. Dispute boards and Standing Neutrals resolve issues as they arise, while work continues.
§ 01What it looks like
Recognise it early. The earliest moment is the cheapest.
What you notice first
Small, and easy to explain away.
- Variations are disputed
- Programmes are rejected
- Site meetings become hostile
- Notices and claims pile up
What waiting can cost
Usually more than the original issue.
- Completion date
- Cash flow through the supply chain
- Public or investor confidence
The most common cause of construction disputes, year after year: failure to properly administer the contract.Arcadis Global Construction Disputes Report, via Pinsent Masons · 2018 ↗
§ 02The Neutral route
Usually: Dispute Board.
Real-time resolution by people who know the project prevents small issues becoming large claims.
Dispute Board
The board recommends or decides, as the contract sets.
Also used · Depends on the activated roleStanding Neutral
The parties decide. The Standing Neutral is available, informed and activated by rule.
Also used · AdvisoryNeutral Evaluation
You decide. The evaluator advises.
§ 03The steps
What a good process looks like.
- Check whether the contract provides a dispute boardBefore anything else01
- If not, agree a Standing Neutral nowThe moment independence enters02
- Refer the first issue earlyWhere the work is done03
- Keep records contemporaneousSo it holds04
§ 04Prepare and avoid
What to bring. What to leave out.
(Bring)
01
Contract and programme
02
Variation and claims log
03
Correspondence
04
Cash-flow position
(Avoid)
✕
Saving all claims for the end
§ 05Your version
Every situation is different. Describe yours.
§ 06Related