One of the oldest clauses used in construction contracts is the Differing Site Conditions clause, which was created by the U.S. Federal government in 1926. It is widely accepted that the objective of the clause is to transfer the risk of latent site conditions to the owner, thereby enticing contractors to lower the contingency cost at the time of bid. The clause promises that if the contractor comes across a “materially different” condition during the enforcement of the work, the owner will compensate the contractor for the resulting time and/or cost. This standard clause have been used widely in both private and public contracts for almost 90 years. 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 ain’t necessarily so!” Over the years, the Courts and Boards of Contract Appeals 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.
In this webinar, expert speakers Steven A. Collins and James G. Zack, Jr., CCM, CFCC, FAACE, FFP, FRICS, PMP will provide you with a thorough discussion of the Differing Site Conditions clause and how the typical understanding of this 90 year old clause is being eroded by Court and Board decisions.
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Steven A. Collins
Mr. Collins is a Director in Navigant's Global Construction Practice and works out of Navigant’s Boston office. Mr. Collins possess more than 28 years of diverse construction and consulting experience. His broad range of construction experience encompasses direct management of large complex projects as well as di... More info
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