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- W2037452937 abstract "In construction, much has been said and written about the causes of disputes. It has been recognized that construction projects are often intrinsically hazardous and complicated. Hence, it is not surprising that problems, such as, for example, time/cost overruns, poor workmanship, and delayed payment, often arise. For these reasons, disputes are regarded as inevitable and need to be managed by construction professionals. In construction contracts, the classic forms of alternative dispute resolution (ADR) methods, such as negotiation, adjudication, mediation, and arbitration, are commonly included. Although no single method is suitable for every situation, it is often recommended that the methods be used proactively and creatively, all with a view toward reducing the cost, time, and scope of dispute resolution. The construction industry is leading the way in adopting a wide range of ADR methods. The study of dispute resolution still covers a large spectrum of research topics for the academic community and for industry. Recognizing that a satisfactory dispute resolution process is always associated with project success, the Journal of Legal Affairs and Dispute Resolution in Engineering and Construction has produced this special issue to provide an assessment of the latest approaches to resolving contractual disputes and to sharing good practices to cope with the challenges of saving time and money, optimizing work delivery, reaching an understanding on claims, and preserving ongoing business relationships. The truly timeless motto Prevention is better than cure is always applicable in dispute resolution. One should understand the nature of the dispute cycle and realize how to break this cycle by taking measures to prevent or address potential disputes from a project’s outset. Unlike the common ADR methods, Dispute Board (DB) is one of the best ways of preventing dispute escalation. Although DB is not a new concept, the industry should consider widely adopting it. In the context of a construction contract, a DB, which is established at the start of the contract, is composed of one or three independent and impartial persons with expertise in the project areas. Its primary function is to assist contracting parties in avoiding disputes and to speedily handle/resolve disputes before they escalate to arbitration. Nowadays, DB is inserted in standard International Federation of Consulting Engineers (FIDIC) contracts (namely, a Dispute Adjudication Board), but FIDIC is not widely used domestically in most countries. For example, the New Zealand construction industry is now studying the possibility of incorporating DB into the common form of standard contracts. However, one of the key concerns is the lack of qualified professionals who could serve as DB members. Another dispute avoidance model that is similar to DB is Project Alliances. Most alliance projects are controlled by the alliance board that makes governance decisions to deal with daily management issues and serves to prevent disputes. These decisions would ideally facilitate overcoming fragmentation and moving toward collaboration. For instance, the use of an alliance model encourages cooperative relationships instead of a legalistic approach. Alliance contracting is typically designed to align parties’ interests, avoid a blame culture, accept collective responsibility for risk, and avoid win–lose scenarios. With these practices, contracting parties may strengthen and sustain their long-term business relationships. Such relationships always emerge as a concern among engineers (or surveyors) in the handling of disputes. Relationships are one of the intangible assets of construction organizations, especially under the conditions of intense competition prevalent in the engineering and construction market, posing significant challenges with respect to ceding market share to competitors and maintaining acceptable profit margins. A solid relationship acts as a catalyst for actively creating and developing collaborative relationships, which results in better opportunities for future business. Interestingly, current debates revolve around the use of building information modeling (BIM) in dispute resolution. Expanding the BIM application to dispute resolution or prevention will be a new trend in engineering and construction. Nowadays, BIM represents one of the most promising developments in engineering and construction. It signifies a new way of doing business for the industry, changing the approach to designing, pricing, constructing, and maintaining buildings. Currently, there is widespread debate over the contractual challenges of BIM applications. These can be generally classified as intellectual property, design responsibility, discrepancies in contract documents, and liability for defects. Disputes will definitely follow if these are not properly addressed or prevented. Construction academics and practitioners must develop good practices and solutions, such as handbooks or guidelines, to overcome these contractual challenges so that they do not develop into disputes. BIM application requires a collaborative working environment to support effective knowledge and information flow among contracting parties. The concept of integrated project delivery (IPD) is expected to inspire the global engineering and construction market to develop a proper framework for regulating BIM application, to promote collaboration, and to prevent disputes associated with this application. That said, almost all disputes are stemmed from or handled by the people involved. To resolve them, the use of appropriate skills is still vital for effective communication and for fostering productive discussions that will lead to the creation of a positive basis for dispute resolution. Timeless skills, such as trying to understand the other side’s point of view, setting realistic goals for reaching an agreement, and controlling one’s emotions, are always helpful. By equipping oneself with the right skills, one stands a better chance of resolving disputes amicably in the early stages, saving scarce public or project resources through the avoidance of the next tier of dispute resolution." @default.
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- W2037452937 date "2016-02-01" @default.
- W2037452937 modified "2023-09-27" @default.
- W2037452937 title "A Timeless Motto for Dispute Resolution: “Prevention Is Better Than Cure”" @default.
- W2037452937 doi "https://doi.org/10.1061/(asce)la.1943-4170.0000169" @default.
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