INTRODUCTION TO CONSTRUCTION LAW

Construction law deals with matters relating to building construction, engineering, housing and planning, infrastructure and engineering. It governs disputes between the parties involved in the construction process i.e. the builder and the homeowner. Construction law covers contentious and non-contentious work.

Non contentious work involves preparation and negotiation of contracts and other procurement which are done before construction begins. On the other hand, contentious work includes dispute resolution through settlements, arbitration, third party mediation and in extreme cases, litigation and adjudication. A construction job becomes contentious when something goes wrong. In this situation, the contracts drawn at the procurement stage set out how these disputes are to be dealt with. Construction lawyers collaborate with professionals in project finance and property development in order to see that projects get completed.

The parties involved in a construction project are;

The owner: The owner is responsible for providing the site for the project and arranging for financing. The owner is to ensure that the project complies with all state and federal laws designed to guarantee the public’s safety.

Design professionals:

Most owners hire design professionals to prepare the plans and specifications for the implementation of the project. In most situations, the lead design professional is an architect.

Site Evaluation Consultants:

Before the project commences, the owner normally engages the services of consultants to investigate site development issues.

The Construction Team:

The owner engages the services of a contractor to carry out and complete the project. The contractor usually engages sub-contractors to complete separate parts of the works.

Construction Lenders:

Most owners do not have enough capital to finance the project from start to finish. Hence they obtain loans from construction lenders. One of the risks construction lenders face is that the security for the loan is usually the land or building under construction.

Construction Lawyer:

The construction lawyer negotiates and draft agreements and also ensures due-diligence. They communicate with the parties in order to ensure that everything is running within the contract.

IMPORTANCE OF A CONSTRUCTION CONTRACT:

A construction contract provides protection for the parties involved in the project.

It outlines the duties and obligations which the parties have agreed to and also provides for penalties if they fail to carry such duties out.

A good construction contract helps to prevent contract disputes.

It outlines how the project will be carried out

It helps to ensure that the project will run properly and also diminishes the risk of potential fatal problems

KEY TAKEAWAYS:

Construction law is the aspect of law that regulates building construction, engineering, housing and planning, infrastructure and engineering. In every building or construction project, it is paramount that a construction contract be drafted as this allocates the parties risks and also details how the project is to be carried out from its inception to the end. It is pertinent for a legal practitioner who is well vested in the area of construction law to advise the home owner on the relevant steps to take.

In need of a well-seasoned construction lawyer to assist you with legal advice or contract drafting? Contact Cardinal Counsel s on 09052628465.

WRITTEN BY

EZIMORA BENITA /CHIZITERE OLUHARA

Intern-2022

Legal Department