Factors influencing decisions on delay claims in construction contracts for indian scenario

Abstract

Construction industry in India is second largest industry in the economy, next to agriculture. Currently, infrastructure development construction projects occupy a key position. In any construction project contract time and cost overruns are common, which gives rise to claims leading to disputes. These disputes if not handled properly tend to consume time and money of all parties to the contract. To resolve the dispute in optimum time, it is essential to understand the root cause of disputes as early as possible. Hence there is a need of analyzing the disputes scientifically. The present study reveals from the study of arbitration awards that the causes for delay claims can be grouped in domains and the probable decisions to the disputes can be traced through the probing questions considered by decision makers. This paper attempts to identify questions related to disputes for Indian scenario through literature, arbitration awards, court cases and discussions with professionals.