What is a construction claim and how is it processed?
A construction claim is a formal request for payment for additional costs incurred in a construction project. It can be filed by a contractor, subcontractor, or any other person involved in the project against the owner of the project. In Washington, a construction claim must be filed through the Office of Administrative Hearings (OAH) within the Washington State Department of Labor and Industries. One must complete and file the appropriate claim form to start the process. The form must be signed by the claimant and witnessed by either a notary public or someone 18 years or older. The form must also be accompanied by an estimate of the cost of the additional work of the project. The claim form will be reviewed by the OAH and a notice will be issued to the respondent of the claim. If the respondent wishes to dispute the claim, a hearing will be scheduled. At the hearing, both parties will present their case and each will be given the opportunity to cross-examine witnesses and present evidence. The Administrative Law Judge will decide the outcome based on the testimony and evidence presented. Ultimately, the Administrative Law Judge will issue a decision on the claim, which can be appealed or confirmed by either party. If confirmed, the judge will issue an order for payment of the additional costs and the executed order will be forwarded to the claimant or the respondent.
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