On engagements wherein we work as the Claims Expert, Holloway Consulting is most often asked to assist our client in the identification, preparation and/or defense of Construction Claims. This page provides an overview of some of Holloway Consulting’s observations on Construction Claims involving the Owner’s Implied Warranty.
CONSTRUCTION CLAIMS
Although rarely stated as such in the contract documents, the owner most often has a broad set of contractual responsibilities for Implied Warranty. The owner’s failure to adequately execute these responsibilities can result in a recoverable Construction Claim from the contractor.
IMPLIED WARRANTY
Several implied warranties in construction contracts have been recognized. For example:
a. Neither party to a contract will do anything to prevent performance thereof by the other party, or that will hinder or delay the other party in its performance.
b. The plans and specifications are sufficient and adequate for the purpose intended.
c. On multi-prime projects, the owner (or A/E) will coordinate the activities of the respective contractors so as to avoid disruptions of the work.
For a variety of reasons, the once clear demarkation between owner/engineer and contractor regarding design and construction responsibilities is no longer as clear. A contractor who adheres to the plans and specifications but is unable to achieve the contractual end result will allege that the design was defective and/or deficient. The owner and engineer, on the other hand, will claim that the contractor agreed to achieve certain performance criteria and that failure to do so constituted contractual non-conformance. One and/or the other may be correct depending on whether the specifications were one of design or performance.
Construction Claims posts associated with Implied Warranty . . . Read More Here . . . about the shift to Performance Specifications
The Holloway Consulting Group, LLC
Construction Claims Experts
12081 W. Alameda Pkwy., #450
Lakewood, CO 80228-2701
Denver Phone: (303) 984-1941
International Toll Free: (888) 545-0666
Fax: (303) 716-0432
Email: steve.holloway@disputesinconstruction.com
Blog: disputesinconstruction.com
Web: hcgexperts.com
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