Dispute Resolution and Claim Management Procedures Discussion

Dispute Resolution and Claim Management Procedures Discussion

THE CASE: You are the on-site construction manager for a General Contractor. You have completed the rough grading work and have started to excavate for the building’s foundation. As your excavating subcontractor reaches the bottom of the excavation he encounters large, deep foundations of a former building that were not shown on the drawings but were noted in the Project Manual as possibly existing. The General Contractor has requested a change order for additional cost to remove the foundations because of their unusual size and depth. The Architect claims that the Project Manual indicates the possibility of existing foundations and therefore no additional cost will be granted. In an effort to stay on schedule the contractor proceeds with removing the existing foundations under protest and files a claim for the additional cost


1. Discuss the proper communication process to be taken By the GC upon being verbally notified of the excavating subcontractor’s encounter with the existing foundations.

2. Describe the proper documentation that is required in reporting and recording this issue- starting with the initial notification of the problem through the work to remove the foundations.

3. Discuss the procedures you would take for Dispute Resolution and Claim Management of this issue.

****please discus the 3 questions in one page

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