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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