What types of disputes arise in construction contracts?

When two parties enter into a contract for a construction project in Colorado, it is important to be aware of the potential for disputes. Such disputes can arise from a variety of issues, including delays or changes in the project timelines, failure to complete the project according to specifications, disagreements over pricing and payment, and issues with subcontractors or suppliers. When it comes to issues of delays in timeline, parties may disagree over who caused the delay and whether the project’s timeline should be extended. Similarly, if changes are made to the project timeline or specifications, disputes may occur over who is responsible for the change, who should pay for the additional costs, and whether the new timeline is feasible. Disagreements over payment can also be a source of contention. In Colorado, construction contracts typically require the owner to make payment when a certain milestone is reached, such as when certain portions of the project are complete. If either party believes that the work does not meet the requirements of the contract, they may dispute the payment. Disputes may also arise between the main contractor and its subcontractors or suppliers. These disputes typically involve issues such as timely payment, quality of work, and materials. Finally, disputes may arise from a breach of contract. If either party fails to fulfill its obligations under the contract, disputes may arise over who is responsible for the breach, how to remedy the breach, and potential damages.

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