Top Construction Claims Facts

$42.8 million USD

was the average value of a construction project dispute
in North America in 2022.

Source: Arcadis, 2023

18.8 months

was the average value of a construction project dispute
in North America in 2022.

Source: Arcadis, 2023

9 out of 10

construction mega projects worldwide experience cost
overruns with an average escalation of 28%.

Source: The Institute on Municipal Finance and Governance, 2015

39%

of Canadian infrastructure projects are over budget and 
behind schedule in their first 12 months.

Source: EY, 2017

32.24%

of joint construction ventures worldwide experienced 
disputes in 2016.

Source: Arcadis, 2017

Errors and omissions in the contract document, owner/ contractor/ subcontractor failing to understand and/or comply with its contractual obligations, and poorly drafted or unsubstantiated claims

were the overall most common causes for disputes.

Source: Arcadis, 2023

Risk management

was the most effective claim avoidance technique.

Source: Arcadis, 2023

Owner or contractors’ willingness to compromise, accurate and timely schedules and reviews by project staff or third parties, and contractor transparency of cost data in support of claimed damages

were the most important factors in the mitigation/early resolution of disputes.

Source: Arcadis, 2023

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