Construction Consulting and Loan Oversight Services

Get Your Paperwork in Order

Get Your Paperwork In Order

In case you haven’t noticed, there isn’t always peace on the battlefield between owners and contractors; as well as generals, subs, and suppliers. Everybody seems to have their own agenda when a dispute arises. If the dispute ripens into a lawsuit, the “he said-she said” syndrome goes into full gear. Promises and conversations that you thought were clear and honorable suddenly disappear from the other side’s memory bank. Or, they selectively remember parts of conversations. And, the best intentions of having a contract, addendum, or change order signed make little difference unless it actually has happened.

No one would be surprised to learn that it’s almost impossible to get someone to sign an agreement or confirm an understanding after a dispute arises. The same rule applies at the end of the job where everyone seems to be running out of money. So, when is the best time to secure the signature on a contract, addendum, change order, confirming memo, field directive, or confirmation of a site meeting or telephone call? In the very beginning! Don’t get me wrong. I believe in the sanctity of human nature as well as anyone else. However, I am a trial lawyer who sees the ugly side of that same human nature. People will do the honorable thing in the beginning, but this proportionally reduces itself as time goes on. Why? You don’t have to be a psychologist to figure this one out. In the beginning of a project, clients are both anxious and excited. They really want to move forward with the project and are willing to bend, compromise, and make admissions as to the nature of an understanding in order to get the project going. Nice try later on in the project. It’s also great training for future events. If the client is accustomed to abiding by the contract terms and signing agreements and understandings in the beginning, they will simply assume this will carry forward throughout the project. Keep it loose in the beginning and they will look at you like a space cadet when you suddenly lay down the law and insist upon strict compliance upon the first change order three-quarters through the project. Make your lawyer happy – get your paperwork in order.

(Written by unknown attorney)

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