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How force majeure contract clauses can plan for the unexpected

July 31, 2017 By Andrew Smith

Anyone in the construction business can attest to the fact that it’s an industry that defines the phrase “stuff happens.” And most of the time, there is someone to blame.

Inconsistencies between versions of the plans and specifications; late ordering of long-lead-time specialty items; failure on the part of a subcontractor to adequately allocate resources; mathematical mistakes in the original estimate — all of these can lead to delays in the schedule and higher costs. These are also the result of human error, so each step in the decision-making process that led to the mistake can be evaluated and corrected for the future.

But then there are those events no one could have anticipated, and these happenings fall under the category of force majeure — bringing a whole new set of contract-related questions that all parties must address.

Keep reading this article at: http://www.constructiondive.com/news/the-dotted-line-how-force-majeure-contract-clauses-can-plan-for-the-unexpe/446722/

Filed Under: Contracting Tips Tagged With: contract administration, contract clauses, delays, force majeure, risk, unanticipated, unexpected

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