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Preventing and resolving general contractor disputes

General contractor disputes usually arise because of a lack of communication at the beginning of the project. If a dispute occurs, it is likely that one party made an assumption or misinterpreted the intentions of another. This leads to misunderstandings that eventually leads to tension.

As a person working with contractors, you should develop processes that prevent the occurrence of disputes. While prevention tactics can be successful to a high degree, an unforeseeable dispute could still arise. In this situation, strong resolution techniques need to be implemented. The following are some tips for preventing and resolving general contractor disputes.

Preventing a dispute with a contractor

One of the key ways to prevent a dispute with a contractor is to ensure that the contract is not only comprehensive but that it is clearly understood by both parties. The contract can dictate ways that certain issues will be dealt with, which can make it easier to decide on what action to take in certain eventualities.

Resolving a dispute with a contractor

If a dispute does arise, the terms laid out in the contract may also help to resolve the issue. Well-written contracts include dispute resolution clauses. You may, for example, want to include a clause that states all disputes must go through mediation or arbitration to determine a way forward. You may also want to state that litigation is only an option when the parties cannot find any other way to move forward.

If you are concerned about the potential costs of being involved in a dispute when hiring a general contractor, you should invest time in prevention methods and make sure that you address any dispute directly.

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