CONTENTS -- FOREWORD -- ACKNOWLEDGEMENT -- PREFACE -- 1. INTRODUCTION -- 1-1. Claims Background -- 1-2. Definition of a Claim -- 1-3. Purpose of Book -- 1-4. Public Contracts (Heavy Construction) -- 1-5. Private Contracts (Commercial and Residential) -- 1-6. Beyond the Contract-Principles of Construction Law -- 1-7. Policies and Procedures for Administration -- 1-7a. Necessity of Procedures for Administrative Relief -- 1-7b. Basic Procedures for Claims and Change Order Administration -- 1-7c. Active Claims Policy -- 1-7d. Active Claims Program -- 1-7e. Procedural Roadblocks and How to Overcome Them -- 1-8. Review of Chapters -- 1-9. Owners, Designers, and Their Representatives -- 2. IDENTIFICATION AND NOTIFICATION -- 2-1. Claims Consciousness -- 2-2. Early Identification -- 2-3. Identification of Claims and Change Orders -- 2-3a. Importance of Identification -- 2-3b. First Requirement of Identification-Knowledge of Contract Documents -- 2-3c. Frame of Reference -- 2-3d. Communications -- 2-3e. Second Requirement of Identification-Familiarity with Legal Concepts and Rights -- 2-3f. The Changes Clause -- 2-3g. Warning Signs of Claim Situations -- 2-4. Notification of Claims and Change Orders -- 2-5. Notification-Time Requirements -- 2-5a. Federal Clauses -- 2-5b. Private Clauses -- 2-6. Late Notice -- 2-7. Failure to Notify -- 2-8. Notification-Problems of Owners -- 2-9. Federal Contracts and the Contract Disputes Act -- 2-9a. Request for Final Decision, Claims Certification -- 2-9b. Notice Requirements for Appeal of Decision -- 2-9c. Failure to Request Decision or Certify Claim -- 2-9d. Appeal of Board Decision -- 2-9e. Additional Notes on Claims Certification -- 2-10. Conclusion -- 3. DIFFERING SITE CONDITIONS -- 3-1. Introduction -- 3-2. Differing Site Conditions Clause -- 3-3. Type One Conditions-Examples -- 3-4. Type Two Conditions-Examples.

3-5. Man-Made Conditions-Previous Construction -- 3-6. Forces of Nature -- 3-7. Site Investigation -- 3-7a. Duty to Investigate: Reasonable Investigation -- 3-7b. Disclaimers for Differing Site Conditions -- 3-7c. Representations of Conditions Must Be Specifically Incorporated in Specifications -- 3-7d. Inadequate Investigation -- 3-7e. Site Investigation Requirements -- 3-8. Summary and Checklist -- 4. INTERPRETATION AND REQUIREMENTS OF CONTRACT SPECIFICATIONS -- 4-1. Introduction -- 4-2. Rules of Contract Interpretation -- 4-2a. Background -- 4-2b. Reasonableness -- 4-2c. Read the Contract as a Whole -- 4-2d. Language -- 4-2e. Custom or Usage -- 4-2f. Parol Evidence Rule -- 4-2g. "Against the Drafter" -- 4-2h. Conduct -- 4-3. Defective Specifications -- 4-3a. Introduction -- 4-3b. Suitability of Designated Methods or Materials -- 4-3c. Possibility and Practicality -- 4-3d. Cardinal Changes -- 4-3e. Disclosure of Knowledge -- 4-3f. Cost and Notification Aspects -- 4-4. Duty to Seek Clarification -- 4-4a. Obligation to Notify Owner of Errors or Discrepancies -- 4-4b. Zone of Reasonableness -- 4-4c. Two-Step Test -- 4-4d. "Not Part of Contract" -- 4-5. Duty to Inform -- 4-6. Duty to Proceed -- 4-7. Inspection: Duty to Inspect -- 4-7a. Improper Rejection -- 4-7b. Improper Acceptance -- 4-8. Conclusion -- 5. DELAYS AND ACCELERATIONS -- 5-1. Introduction -- 5-2. Delays-Excusability and Compensability -- 5-3. Noncompensable Delays -- 5-4. Nonexcusable Delays -- 5-5. Compensable Time Extensions -- 5-6. Compensable Delays -- 5-7. Unreasonable Delays -- 5-8. Delays-Site Access -- 5-9. Concurrent Delays -- 5-10. Proving Delay and Delay Costs -- 5-10a. Disruption, Loss of Efficiency, and Loss of Learning Curve -- 5-10b. Out-of-Sequence Work -- 5-10c. Ripple Effect -- 5-10d. Delays Due to Differing Site Conditions -- 5-11. No Damage for Delay Clauses.

5-12. Three Types of Acceleration -- 5-13. Constructive Acceleration -- 5-13a. Directive Not Required -- 5-13b. Notice, Request for Time Extension -- 5-13c. Explicit Denial of Time Extension Not Required -- 5-13d. Identification -- 5-14. Proving Delays, Time Extensions, and Acceleration -- 5-15. Acceleration Costs -- 5-16. Conclusion -- 6. RECORDS AND DOCUMENTATION -- 6-1. Introduction -- 6-2. Types of Records -- 6-3. Time Cards -- 6-4. Cost Account System -- 6-5. Production Rates -- 6-6. Material Receipts -- 6-7. Schedules -- 6-8. Cash Flows -- 6-9. Correspondence and Transmittal Logs -- 6-10. Computer (Cost) Reports -- 6-11. Daily Reports -- 6-12. Photographs -- 6-13. Special Forms for Claims and Change Order Records -- 6-14. Monthly Claims Review -- 6-15. Conclusion -- 7. USE OF PROJECT SCHEDULES AND THE CRITICAL PATH METHOD IN CLAIMS -- 7-1. Introduction -- 7-1a. Description of CPM -- 7-1b. Obstacles to Use of CPM for Construction Scheduling -- 7-2. Use of CPM in Claims Analysis -- 7-3. Pitfalls to Avoid in CPM Claims Analysis -- 7-4. Construction of As-Planned Schedule -- 7-4a. Essential Elements in Constructing the Schedule -- 7-4b. Additional Considerations of Schedule Preparation -- 7-5. Float -- 7-6. Float-Early Completion -- 7-7. Concurrent Delay -- 7-8. Voluntary versus Constructive Acceleration -- 7-9. Schedule Analysis Techniques for Claims Support -- 7-9a. Impacted As-Planned Analysis -- 7-9b. Fragnet (Windows, Chronological Impact) -- 7-9c. Time Impact Analysis -- 7-9d. Collapsed As-Built ("But For") -- 7-9e. Comparison Chart of CPM Analysis Methods -- 7-9f. Other Methods -- 7-10. Scheduling Expert's Analysis -- 7-11. Conclusion -- 8. SUBCONTRACTORS AND SUPPLIERS -- 8-1. Introduction -- 8-2. General Contractor's Performance -- 8-3. Contractor-Subcontractor Relationship -- 8-4. Subcontractor-Owner Claims -- 8-5. Suppliers.

8-5a. Delays, Drawing Approvals -- 8-5b. Supplier Purchase Orders -- 8-5c. Proprietary Specifications-Contractor's Right to Substitute -- 8-5d. Supplier Schedules -- 8-6. Documentation of General Contractor Subcontractor/Supplier Transactions -- 8-7. Other Contractor-Subcontractor Issues -- 8-7a. Severin Doctrine -- 8-7b. Miller Act -- 8-7c. Sponsoring Subcontractor Claims -- 8-8. Subcontractor-Specific Claims Publications -- 8-9. AGC/ASA/ASC Standard Form Contract -- 8-10. Conclusion -- 9. PRICING -- 9-1. Introduction -- 9-2. The Two Types of Pricing -- 9-2a. Description of Forward Pricing and Postpricing -- 9-2b. Forward Pricing Is Typically Preferred -- 9-2c. Dealing with Risk in Forward Pricing -- 9-2d. Postpricing -- 9-3. Total Cost -- 9-3a. Total Cost and Modified Total Cost -- 9-3b. Last Resort -- 9-3c. Four Conditions for Total Cost Claim -- 9-4. Cost Analysis -- 9-4a. Actual Cost -- 9-4b. Reasonable Costs Developed from Existing Job Data -- 9-4c. Estimating Reasonable Cost -- 9-5. The Proposal-Request for Equitable Adjustment -- 9-5a. General Pricing Philosophy -- 9-5b. Pricing Elements and Details -- 9-5c. Production Rates -- 9-5d. Overhead and Profit -- 9-6. Use of Forms -- 9-7. Material Quantities and Prices -- 9-8. Impact and Inefficiency Costs -- 9-8a. How Impact Costs Are Incurred -- 9-8b. Specific, Identifiable Extra Work -- 9-8c. Pricing Inefficiency and Loss of Productivity -- 9-8d. Material and Equipment Costs -- 9-9. Other Issues of Claims Pricing -- 9-9a. Interest Costs -- 9-9b. Legal Fees, Change Orders, and Claim Preparation Costs -- 9-9c. Use of Expert Opinions -- 9-9d. Critical Path Method Submissions for Payment Purposes -- 9-9e. Federal Cost Principles -- 9-10. Conclusion -- 10. NEGOTIATIONS -- 10-1. Introduction -- 10-2. Preparation and Knowledge -- 10-3. Forward Pricing Claims -- 10-4. Preparation for Negotiation Meeting.

10-5. Tactics-Control of the Meeting -- 10-6. Tactics-Large Claims -- 10-7. Other Negotiation Tactics -- 10-8. Other Negotiation Considerations -- 10-9. Authority to Negotiate -- 10-10. Conclusion -- 11. DISPUTES AVOIDANCE, RESOLUTION, AND ALTERNATIVE DISPUTE RESOLUTION -- 11-1. Introduction -- 11-2. Disputes Avoidance -- 11-3. Partnering -- 11-3a. Partnering Defined -- 11-3b. History of Partnering -- 11-3c. Elements of Success -- 11-3d. Obstacles to Partnering -- 11-3e. Results of Partnering -- 11-4. Dispute Review Boards -- 11-4a. Dispute Review Boards Defined -- 11-4b. DRB Procedures -- 11-4c. DRB Costs -- 11-4d. DRB Effectiveness and Success -- 11-4e. International Applications -- 11-4f. Other Considerations of DRB Procedures -- 11-4g. DRB Summary -- 11-5. Escrow Bid Documents -- 11-6. Geotechnical Design Summary Report -- 11-7. Arbitration -- 11-8. Mediation -- 11-9. Other ADR Methods -- 11-9a. Minitrials -- 11-9b. MedArb -- 11 -9c. Summary Trials before the Boards of Contract Appeals -- 11-9d. Hybrids of Mediation -- 11-10. Alternative Dispute Resolution Act and the Federal ADR Experience -- 11-11. Formal Administrative and Judicial Dispute Resolution -- 11-11a. Federal Contracts -- 11-11 b. Private Contracts and State and Local Public Contracts -- 11-11c. Mechanics' Liens -- 11-12. Conclusion -- 12. TERMINATION -- 12-1. Introduction -- 12-2. Federal Clauses -- 12-2a. Termination for Default -- 12-2b. Termination for Convenience -- 12-2c. Notice of Termination -- 12-3. Private Clauses -- 12-3a. Termination for Cause -- 12-3b. Suspension for Convenience -- 12-3c. Termination by Contractor -- 12-4. Conclusion -- 13. CONCLUSION -- 13-1. The Claims, Changes, and Dispute Resolution Process -- 13-2. Roles of Construction Team -- 13-2a. Contractor's Role -- 13-2b. Designer's Role -- 13-2c. Owner's and Owner's Representatives'Roles.

13-3. Role of Alternative Dispute Resolution.