The Differing Site Conditions clause created by the U.S. Federal government in 1926 is one of the oldest clauses the construction industry has been using. The object of the clause is to transfer the risk of latent site conditions to the owner, thus tempting contractors reduce their contingency cost at the time of bid.
The clause promises that the owner will reimburse the contractor of the cost and/or time incurred, if the contractor comes across a "materially different" condition during the execution of the work. This standard clause has been used extensively in both private and public contracts for around 90 years. Most professionals in the construction industry think they fully understand differing site conditions and how it operates. But it is not necessarily so!
This is because, over the years, the Courts and Boards of Contract Appeals have been slowing 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 session by our expert speaker, James G. Zack, Jr., a recognized expert in mitigation, analysis and resolution or defense of construction claims, will provide you with a thorough understanding 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.
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