How is the value of a contract determined in a construction dispute?

The value of a contract is determined in a construction dispute to determine who is responsible for the costs associated with the job. This is done by looking at the amount spent and any potential losses or damages suffered by either party. The contract itself is usually the starting point for determining the value of the contract, as it outlines key information that gives insight into the value of the job. A contract’s value includes the price of materials, labor, and any other services that are included in the contract. In Florida, a “Good Faith Estimate of Value” can be used to establish the initial value of the contract. This document must include the estimated total contract price and a breakdown of the estimated costs of materials, labor, and services that are included in the contract. When there is a dispute, the court must also consider any additional costs associated with the project such as delays, defective materials, or additional services that may have been needed to complete the job. The court will analyze these costs and take them into consideration when determining the final value of the contract. Lastly, in the event of a dispute, the parties may also consider alternative dispute resolution such as mediation or arbitration. This is a less expensive and more timely way of resolving any disputes, as the parties can openly discuss each issue and come up with a solution that is beneficial to both parties. Ultimately, the value of a contract in a construction dispute is determined by the contract itself, any additional costs incurred, and any resolution that is reached through alternative dispute resolution.

How is the value of a contract determined in a construction dispute?

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