Adequacy of contract provision in managing construction failure

Abstract

In managing construction failure, normally efforts are made to identify the possible cause of failure and seek for the possible solution of the problems faced. Currently, there is no clear guideline available either within existing contract documents or legislations that can be used as a guide to resolve construction failure cases. Hence, this study has been undertaken to identify the limitations of current contract provisions which related to construction failure. It is conducted to evaluate the adequacy of contractual provisions in contract documents. The methodology adopted for this study includes literature research, interviews and questionnaire surveys with selected professionals in construction industry and legal sector. The findings of the study show that the limitations in current contractual provisions are eminent. It is also found that there is a need for consideration of inclusion of new provisions to be implemented into contract document. Despite there may be a difference of ideas between the respondents from construction industry and legal sector regarding to limitations of law and contract to solve construction failure cases. This study also made some proposal of important items that should be considered for improving current contract provisions.