As per the ICC’s records and publications, the worldwide number of arbitration cases has increased over the past few years and notably for those related to construction projects. Moreover, it would be safe to say that this trend will continue for the years to come.
A quick analysis is that both industrial contractors and owners have gotten more deficient at managing their projects; however, it would be unfair to limit the comprehension of this trend to such a reductive interpretation. In fairness, commercial disputes have been ever-present in construction projects, long before the number of registered arbitration cases allowed us to measure their growth. Yet, the consequences of disputes in construction projects remain the same: delays, costs overruns and consequential damages for stakeholders (state or private entities), contractors and third parties.
This article was originally published by Association Française du Contract Management in Issue N° 4 of Le Journal Du Contract Management (June 2019).