A common technique and desire during contract negotiations is to limit to the best of their ability each parties’ respective liability. The result is to hopefully create a compromise in which everyone is a little liable. But in certain negotiations one side may possess more bargaining power than the other, in these situations one-sided contracts may arise. This post will explore a common effect of one-sided contracts.
Even if the one-sided contract is born out of an honest attempt to protect a business, it can inadvertently bring about litigation. The result is that attempts to limit litigation may actually bring it about.
Contractors, like most people, assume that they will have the attendant permits, supplies, plans and other tools necessary to accomplish their task. When those assumptions go unmet, the contractor gets delayed and loses money.
The contractor, regardless of the contract, will sue when that occurs. Those are honest and basic assumptions involving construction litigation and no contract will prevent a contractor from suing. A better contract is one that allocates risk among all the parties to encourage cooperation to avoid litigation and to quickly and efficiently solve unexpected problems.
If you are engaged in a complex construction dispute then you may want to speak to an attorney. As you can see, even honest attempts to protect yourself can lead to litigation. An attorney can help you bridge those communication gaps to push past those unclear moments and clear up the dispute. An attorney can bring an outside perspective that can critique the situation and explain how this dispute arose and how you can quickly and efficiently extricate your business from it.