The Differing Site Conditions clause is one of the oldest clauses used in construction contracts, having been created by the U.S. Federal government in 1926. It is generally accepted that the object of the clause is to transfer the risk of latent site conditions to the owner, and thus enticing contractors to lessen the cost of their contingency during bidding time. The clause promises that if the contractor encounters a 'materially different' condition during the work execution, the owner would have to compensate the contractor for the resulting cost and/or time. Essentially DSC clause helps to manage the contractor's construction risk. It shifts the construction risk, arising out of unknown physical conditions, to the owner.
For nearly 90 years this standard clause has been used widely in both public as well as private contracts. Most practitioners in the construction industry 'think' they know what the clause means and how it operates. But, in the words of one of the mid-20th century 'deans' of construction law, Max E. Greenberg, 'It isn't necessarily so!' The Courts and Boards of Contract Appeals, over the years, have been slowly changing the interpretation of risk allocation under the clause. A series of Court and Board cases have increased the contractor's risk concerning differing site conditions.
This construction risk management webinar by expert speaker James G. Zack, Jr. will give you a clear and accurate picture of the evolving Differing Site Conditions clause and how it really operates. Know what conditions are and are not covered by the Differing Site Conditions clause; what must be proven to prevail on a Differing Site Condition claim; and what contractual requirements must be complied with in full. This webinar will also help you become familiar with a number of Court and Board of Contract Appeals' decisions which are changing the 'traditional' risk allocation under the Differing Site Conditions clause.
You will gain a solid understanding on the Differing Site Conditions clause. You will understand how the typical essence of this 90-year-old clause is being eroded by Court and Board decisions, making construction risk management increasingly difficult for contractors.
Who Should Attend
James G. Zack Jr.
James G. Zack Jr. is the Executive Director of the Navigant Construction Forum – the construction industry’s global resource for thought leadership and best practices on avoidance and resolution of construction project disputes globally. Formerly, Executive Director, Corporate Claims Management for Fluor Co... More info