Prolongation Cost Claims

How Can Experts Assist You In Prolongation Cost Claims

Resolve prolongation costs claims issues

Construction projects are not easy to complete on time. Delays in construction projects are the most recurring problems most of the projects see. Often, the delay gives birth to many associated problems, causing a dispute among the involved parties. One big issue is cost prolongation. The conflicts among the parties get complicated and require the services of construction experts. Prolongation costs are claimed at times when the owner feels unsatisfied with the extra charges. This article will discuss how these experts can help the parties overcome this issue. Read to learn more.

Effective ways experts use to resolve prolongation cost claims issues:

Project owners and contractors often fail to resolve the conflicting issues among them. The situation leads to the need for construction experts who can use their skills and knowledge to end the problem. This is when the involved parties consult the services of a delay expert to assess the situation.  These experts analyze and evaluate the entire process and design strategies to solve the conflict. Following are the ways an expert can help the parties in prolongation cost claims.

1. Identification of unusual events:

A construction project will always have a proper plan in place. No project can be initiated without a project plan. At times when any unusual activity happens, that would be out of the box. The expert will first look for such exclusive activities since they are the triggers of the dispute. Once these happenings are identified, the extra costs incurred can be justified.

Actions out of the plan can pave the way for prolongation costs, and the expert will focus on these. The costs for the associated problems can also be calculated once the first step is completed. The owner can have a fresh and flawless report, having all the reasons for cost prolongation mentioned.

2. Spot the delay points:

What caused the delay in the project? The expert will always look for the issues where the project activities took more time than usual. This step brings effectiveness to the process of prolongation cost claims. Also, experts use this way to ensure timely solutions for the problems.

 Once spotted the delay points, the experts can focus on the project continuity. Moreover, they can also sort out the extra costs and expenses incurred due to these delay points. Since the project owners claim the cost prolongation, the experts can provide them with a detailed report of expenditures and costs.

3. Analysis of the costs:

Project owners often claim that they have been deceived in terms of the expenses for the materials. The contractors often charge higher rates than the markets. Upon realizing the fact, the owner claims prolongation cost and opt for the services of construction specialists.

The expert thoroughly analyzes the direct and indirect costs and compare them to the industry average rates. If higher, the expert passes the judgment, and the contractor may be liable for any extra expenses incurred during the construction process. The reason why project owners hire these experts because they are skilled and experienced. They can solve complex issues using their industrial expertise.

4. Exclusion of extra costs:

Contractors, sometimes, include additional expenses and charge the project owner. These costs normally include the labor costs. These costs are not included in the process because these are expenses that occur at one point. The strategy which the experts use is that they exclude such charges since they are one-time charges.

Once these costs are excluded, the specialist will prepare a fresh report, including the new charges and expenses. The owner of the project can get great help from this new report. The most prominent advantage of this is the assistance in the cost prolongation claim.

5. Analysis of overhead costs:

Overhead costs carry great importance in construction projects. These costs play a vital role when determining the prolongation costs claims. The parties who make a claim often include overhead costs in the prolongation amount.

A delay expert’s role is unmatchable here since they have the knowledge and experience of how things will proceed. Parties consult these experts to resolve the issue by analyzing the entire process. After a thorough assessment of the costs and expenses, they make a new report. The report includes the updated prices, helping the claimer to see where the costs are prolonged.

Why hire the specialists?

Construction projects often produce conflicts which the involved parties can’t solve. The issues are sometimes so complicated that these problems are hard to understand without technical knowledge and skills. Both the parties opt for the services of construction consultants in Dubai who can help them overcome the conflicts. If you are planning on a construction project soon, you must hire one. They ensure smooth and timely completion of the projects, no matter how large.

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