Contractual disputes are much more common than you would imagine. Studies show that up to one third of projects end up involved in some form of dispute.
There are many reasons this may happen but commonly it can be down to behaviour, uncertainty or most likely contractual problems.
Now most people take the approach that ignorance is bliss and disputes will not happen to them.
Then when the shit hits the fan they get in touch with a specialist – or in simple terms, a REACTIVE approach.
The funny thing is though, most disputes can be avoided or at worst, be settled quickly, effectively and fairly.
Its really simple too, just follow these key steps:
- Prepare clear and well-defined project documents
- Use simple, unmodified contracts which all parties can administer
- Agree realistic timescales
- Maintain clear lines of communication and keep records
- Pay in accordance with the contract
Or in simple terms, run your project properly!
No in all seriousness, you should set every project up on the basis you are going to end up in dispute even if you are convinced it won’t.
Remember, complacency breeds failure.