How To Resolve Construction Disputes in Tennessee
With the vast number of people and processes involved, disputes are common in Tennessee’s construction industry. Disputes can arise between different parties for various reasons. Whether it’s a disagreement over delays, scope of work, payment, construction defects, or breach of contract, it is crucial to know how to resolve construction disputes in Tennessee. While construction disputes may sometimes require going to court, there are other practical and legal options available that can help parties reach a resolution more efficiently. In this article, we look at some of the common causes of construction disputes in Tennessee and steps you can take to resolve disputes.
Common Causes of Construction Disputes in Tennessee
Construction disputes arise for a variety of reasons, including the following;
- Payment issues (underpayment, non-payment, or delayed payments)
- Poor communication
- Contractual issues, such as ambiguous contract terms and disagreements over contractual obligations
- Construction delays
- Scope of work disagreements
- Missed deadlines
- Differing objectives
- Disagreements over quality standards
Regardless of the reason for a contract dispute, it is crucial to address the issue promptly. If left unaddressed, disputes can delay project completion, increase costs, ruin business relationships, and result in legal action.
How To Resolve Construction Disputes
When a construction dispute arises, it is vital to take prompt steps to resolve it. First, review the contract. If the contract contains a dispute resolution clause, you must handle the dispute as specified in the contract. If the contract does not outline how disputes are to be handled, the following are the most common methods used to resolve construction disputes in Tennessee that you can try:
Negotiation
In many cases, construction disputes can be resolved through negotiations. Negotiation involves the conflicting parties engaging in discussions to reach a mutually agreeable solution. This option is the least expensive and easiest, and could yield the fastest productive results. If disputing parties don’t reach an agreement, at least they will leave the negotiations knowing they stand. Negotiation sets the stage for further dispute resolution methods.
Mediation
If informal negotiation does not work, you can try mediation. A mediator can remove the bias. They can help you and the other party talk and reach a mutually agreeable solution. The mediator will not make the decision, but will instead guide the conversation, clarify misunderstandings, and suggest possible compromises. You are in control of the outcome.
Arbitration
Arbitration also involves using a third party or panel. However, with arbitration, which is a more formal process than mediation, the arbitrator or panel of arbitrators decides the outcome of the dispute. In a construction dispute, arbitrators are usually experts in construction law with a good understanding of the complexity of such disputes. Arbitrators listen to both sides of the story and then make a binding decision.
File a Lawsuit in Court
If all of the above options fail, filing a lawsuit in a Tennessee court may be necessary. Litigation is the most complex, lengthy, and costly option. If you must file a lawsuit, involving an experienced construction attorney who understands Tennessee law is best.
Contact Us for Legal Help
If you’re involved in a construction dispute in Tennessee, contact our Knoxville construction law attorney at Reynolds, Atkins, Brezina & Stewart, PLLC for help navigating the issue and protecting your rights.
