Construction Disputes

Construction disputes are notoriously complex and can significantly impact project timelines, costs, and relationships within the construction industry. At My Commercial Lawyers, our team of solicitors and barristers are equipped to handle these disputes from start to finish, providing comprehensive legal support to ensure that your projects proceed with minimal disruption.

Partnership Disputes in Construction Industry

Partnership disputes in the construction industry often stem from disagreements between business partners regarding the management, operation, and financial aspects of their ventures. Common causes include:

• Miscommunication: Adequate communication can lead to a better understanding of project direction, responsibilities, and resource allocation.
• Financial Disagreements: Conflicts may arise over financial contributions, profit sharing, and expenditure management.
• Operational Disputes: Disagreements about the day-to-day management and operational decisions can cause significant friction.
• Breach of Agreement: Instances where one partner is perceived to have breached the partnership agreement, either through non-performance or misconduct, can often lead to disputes.

Resolving partnership disputes typically requires a combination of negotiation, mediation, and legal intervention to realign the interests of the parties involved and restore cooperative management.

Shareholder Disputes in Construction Companies

Shareholder disputes in construction companies can disrupt operations and affect the overall success of projects. These disputes often involve:

• Control Issues: Disagreements over who controls the company and decision-making processes.
• Profit Distribution: Conflicts regarding the allocation of profits and dividends.
• Breach of Fiduciary Duties: Allegations that directors or other shareholders have failed to act in the best interests of the company.
• Minority Shareholder Oppression: Situations where minority shareholders feel their rights are being ignored or oppressed by majority shareholders.

Addressing shareholder disputes typically involves legal remedies, including court actions to resolve issues of control, compensation claims for breaches of duty, and mechanisms to protect minority shareholders.

Role of Solicitors and Barristers

In the UK, solicitors and barristers play distinct but complementary roles in resolving construction disputes. Solicitors are usually the first point of contact for clients facing construction disputes. Their responsibilities include:

• Advisory Role: Providing initial legal advice and outlining the available options and strategies for dispute resolution.
• Negotiation: Engaging in negotiations with the opposing party to seek an amicable settlement.
• Documentation: Preparing and reviewing legal documents, including contracts, agreements, and court submissions.
• Mediation and Arbitration: Representing clients in mediation and arbitration proceedings to resolve disputes without the necessity of court proceedings

Barristers, on the other hand, are typically engaged for their expertise in advocacy and detailed legal argumentation. Their roles include:

• Court Representation: Representing clients in court, presenting evidence, and making legal arguments.
• Expert Opinion: Providing specialist legal opinions on complex matters related to construction law.
• Strategic Advice: Offering strategic advice on the likelihood of success in litigation and other legal proceedings.

By working together, solicitors and barristers ensure that clients receive comprehensive legal support, from initial advice and negotiation to representation in court if necessary.

Our Services

We act for a wide range of participants in the construction industry, including owners, employers, contractors, subcontractors, developers, designers, engineers, lenders, investors, and insurers. Our services include:

• Advising on Construction Contracts: We provide guidance on the terms of construction contracts, including those produced by the Joint Contracts Tribunal and the Institution of Civil Engineers.
• Payment Disputes: We handle disputes related to payments under construction contracts.
• Defective Works and Remedial Works: We manage disputes concerning defective works and the necessary remedial actions.
• Final Accounts and Delays: We address issues related to final accounts, delays, and extension of time claims.
• Adjudication, Arbitration, and ADR: We represent clients in adjudication, arbitration, and other forms of alternative dispute resolution.
• Professional Negligence: We handle claims of professional negligence within construction projects.
• Insolvency Issues: We manage contractor and employer insolvency cases.
• Retention of Title Claims: We assist with retention of title claims to protect our clients’ interests.

Construction disputes, particularly partnership and shareholder disputes, can significantly impact the progress and success of construction projects. Solicitors and barristers play crucial roles in resolving these disputes, ensuring that projects can proceed with minimal disruption. For those involved in the construction industry, having access to experienced legal professionals is essential for navigating the complexities of dispute resolution and maintaining the stability of their ventures.