Abstract
There is high frequency of disputes arising from construction contract claims. Even with the most expert understanding of construction contract and the most reasonable risk-allocation system, claims will continue to present problems if they are poorly managed in practice. The significantly increasing number of construction claims indicates the need for the implementation of an effective construction claim management. This research aimed at surveying the most common problems experienced by Malaysian contractors in construction project. The paper presents the survey results and main findings, which indicate that the lack of site staff awareness to proactively detect claims, inaccessibility or unavailability of relevant documents, and conflicts arising during owner/contractor negotiation are all critical problems associated with the process of claim management. The problems observed from this research could be used to solve or improve the contractors' claim management system.
Highlights
Construction claims are found in almost every construction project
Avoiding litigation and arbitration in claim settlement is a good practice that the successful contractors must keep in mind [3]
This research aimed to explore the problems related to the process of claim from contractor’s point of view by analyzing common procedure categories, distributed into six stages
Summary
Construction claims are found in almost every construction project. They have significant effect to project cost and time [1]. There are 6 stages of claim process It starts with identification followed by notification, examination, documentation, presentation and negotiation of claims [6]. Construction claim identification involves timely and accurate recognition of a change It is the first and critically important step followed by notification to the other party of a potential problem. It plays a very important role in the settlement of claims. If an agreement cannot be reached and either party believes his position is correct, he should propose an alternative dispute resolution method. If this fails, the remaining choice is to take the matter to court
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