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Disputes Arising from Construction Contracts

Companies that become construction investors may become parties to various disputes related to the construction of real estate. These are difficult disputes, as experts in construction, project documentation, etc. are required. and here you can not do without the help of an experienced lawyer.

General characteristics of disputes arising from construction contracts

In Belarus, disputes related to construction contracts are quite common. They can occur for various reasons, such as delayed deadlines, poor-quality fulfillment of obligations, changes in the terms of the contract, inconsistency in payment, and many others.

One of the main problems faced by customers and contractors is the lack of transparency and accuracy in the formulation of contract terms. Construction contracts are often not drawn up in a sufficiently clear form, which can lead to different interpretations and, as a result, to disputes.

Disputes may also arise due to violations of deadlines or poor-quality fulfillment of obligations. In such cases, customers may require the elimination of deficiencies or additional work, which can lead to lengthy lawsuits.

An economic court is often used in Belarus to resolve such disputes, and the parties can also turn to experts and consultants for out-of-court conflict resolution.

In general, disputes related to construction contracts in Belarus require a competent and professional approach to resolve them. They can have serious consequences for customers and contractors and therefore require careful analysis and resolution.

Disputes over the quality of construction work

The quality of the builders’ work is not always obvious when signing the act of acceptance of completed works. Disadvantages can manifest over time. In this case, you can make a claim for the elimination of deficiencies in the quality of the construction work performed. The contractor is obliged to eliminate the defects at his own expense during the warranty period. Disputes arise when the contractor does not agree to eliminate deficiencies. In this case, he must prove that the defects are not related to the quality of his work, but are caused by improper operation by the customer or improper repairs on the part of the customer, etc.

What can be demanded from the contractor during the warranty period

You can request from the contractor:

  • Eliminate the disadvantages of construction for free and set a reasonable time.
  • Reduce the payment for work performed with defects.
  • To reimburse the costs to the customer for the elimination of defects, if such a right of the customer is prescribed in the contract.

Disputes about the recovery of the cost of construction work

1. Disputes about the payment of project documentation

Disputes over the cost may arise in relation to payment for the development of project documentation, when the customer made an advance payment for the development of documentation, and then it turned out that he did not need the finished documentation. In this case, the contractor may charge the full cost for the work performed.

2. Disputes about non-payment due to the quality of construction work

Disputes about the recovery of the cost of construction work arise when the customer does not want to pay for the completed construction work due to claims about their quality. The quality of construction work can be determined by a court-appointed or pre-trial examination.

Pre-trial examination

The pre-trial examination is carried out at the expense of the party to the contract that considers the examination necessary. In order to conduct a forensic examination, the cost of the examination must be deposited into the court’s deposit account. Usually, the money is contributed by the party that requires expertise. The examination period is one month.

Examination of the application of prices

Disputes about the recovery of the cost of construction work may arise when incorrect prices are used in calculations, increasing or decreasing coefficients that are not agreed upon by the parties in the contract. In this case, the court may appoint an expert examination of the application of prices.

Pre-trial procedure for settlement of a dispute arising from a construction contract

When the contract says that the parties use Belarusian legislation to resolve disputes, it is necessary to use the pre-trial dispute resolution procedure. This procedure may be prescribed in the contract.

This may be a mandatory claim procedure. In this case, the party to the contract that has not fulfilled its obligations must send a claim demanding that they be fulfilled.

Another pre-trial dispute settlement procedure may be prescribed in the contract. In this case, before going to court, it is necessary to use this method of conflict resolution.

How disputes from construction contracts are resolved

By default, the pre—trial dispute resolution procedure is a claim procedure.

Step 1. Sending a claim to the debtor

In the claim, you need to request a refund, make a calculation of this amount and write the refund period, bank account details for crediting when it comes to collecting the amount of money. When it comes to fulfilling another obligation, you need to set a deadline for its fulfillment and list the actions that need to be performed within this period.

Step 2. Prepare documents for applying to the court if there is no response to the claim or the claim has been refused

You can apply to the court within the limitation period. The total limitation period is three years. When a warranty period is established in the construction contract, the limitation period begins from the date of the statement of defects in the work performed.

The customer may submit claims related to defects in the result of construction work when defects are detected within the warranty period. Another deadline for submitting claims may be set in the contract. The deadline for detecting defects in construction is five years.

Step 3. Appeal to the court

If the debtor has not responded to the claim within a month after receiving it and has not fulfilled the obligation, you can apply to the court.

As a rule, they apply to the economic court at the location of the debtor. The location can be seen in the agreement on which the disagreement arose.

Step 4. Participation in the case review

When a statement of claim is filed with the court, representatives of each party to the dispute participate in the consideration of the case. Our lawyers are not only preparing a package of documents for the court. We provide legal representation, present evidence to the court and represent your interests at the court hearing.

Step 5. Execution of a court order

After receiving a court order in favor of the client, it is necessary to send it to the system of enforcement authorities or to recover money from the debtor’s bank account. We will advise you on all issues related to the execution of the court decision made in your favor and will take over the issues of recovery under the enforcement document.

How we can be useful in resolving disputes arising from construction contracts

Our lawyers and attorneys are experienced specialists in the field of construction law and speak English. We can:

  • Advise you on the fulfillment of obligations under contracts in the field of construction;
  • Prepare and send a claim to the party to the construction contract in case of a dispute;
  • Analyze your contracts in the field of construction and, if necessary, develop documents for changing contracts;
  • Prepare documents for referral to the court to resolve the dispute;
  • Represent your interests in court.

Contact us

If you have any questions in the field of disputes arising from construction contracts — we will be happy to help you! Our many years of experience in the field of construction dispute resolution will help you in resolving any disputes.
Phone and email communication options are available for your convenience:

  • +375293664477 (WhatsApp/Telegram/Viber);
  • info@ambylegal.by.
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