Construction contract

Problems occurred during a property development over the installation of a key facility, which did not operate to the satisfaction of the employer. The employer refused to pay.  The main contractor argued that the facility had been installed according to the terms of the contract and refused to do more on site. There was also an argument about whether or not the contractual terms were varied and, if so, at whose request.

The matter could have been contested with claim and counterclaim, which would have involved court proceedings over legal rights and losses and the associated cost, time and reputational risk to both parties of a prolonged unresolved dispute. The mediator helped the parties to focus on the real commercial and contractual issues so that the facility could become operative as quickly as possible and the development completed, together with addressing the consequences of an unclear contract, a complex project and the difficulties in assessing loss.