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Get that construction contract right to avoid litigation

The owner of the property has a vision of what the finished product will look like. The general contractor tries to keep those expectations realistic while being accommodating. If it was just these two parties, things might go smoothly, but it rarely is just two parties involved in a construction contract.

Most of these contracts include subcontractors, architects, engineers and others. Negotiating a construction contract requires bringing everyone involved to a consensus about how the project will progress. 

It's about more than just a consensus

Disputes surrounding construction contracts are on the rise and getting increasingly complex. The number of parties involved could contribute to this phenomenon, but it doesn't have to. No one likes to quibble over the details of a contract when all they want to do is get to work, but it's crucial. Missing a step by omitting something or missing mistakes could prove costly and time consuming if litigation arises from them.

The time and money spent up front could prevent that from happening. The better the mood of all parties during the negotiations, the better off everyone could be. Once everyone is satisfied with the final product, you and the others can execute it and break ground on the project. Otherwise, you could face months or years of litigation during which time everyone loses money, and construction could come to a complete halt.

Of course, it's nearly impossible to cover every contingency in a contract, but hitting the highlights regarding common mistakes and concerns in construction contracts could make a difference when the parties disagree. Moreover, if the language of the contract allows everyone to understand his or her rights and obligations regarding the project, no reason for disputes should exist.

The world will never be perfect

Of course, Florida business people know that would only happen in a perfect world. Disputes are bound to arise, especially with so many differing personalities involved. However, with an appropriately drafted and executed contract, litigation may not be necessary. If a review of the contract fails to resolve the issue, alternative dispute resolution methods might.

If the parties agree to use mediation, arbitration or both before going to court, avoiding litigation may be within reach. Of course, none of this could happen without taking the time to negotiate and draft a thoroughly vetted contract that protects your rights and outlines your legal options if something goes wrong.

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