How to Develop a Construction Contract Playbook
Construction contracts are often challenging documents to use for managing construction projects, being lengthy, convoluted, and confusing. As a result, construction teams may not understand the requirements placed on them as an owner or contractor or the requirements of the other party. Project teams often refer to the contract as a document that was put in a drawer or on a shelf and rarely used. As a result, project teams may fail to follow the terms of the contract which can result in issues and disputes, putting the organization in danger of not adhering to the contract. Developing a construction contract playbook can help project teams understand the key requirements of the contract by organizing key elements in a user-friendly structure and using plain language that project team members can quickly understand. The playbook compiles the key stipulations of the contract such as the cost, schedule, requirements of each party, payment terms, change processes, notice provisions, and other elements that each member of the project management team should understand. Having a playbook of the contract can increase a project team’s compliance with the contract terms, help protect against claims, and even improve project performance