North America

International Perspectives on Unforeseen Site Conditions

One of the recurring problems for construction and engineering projects is “the unexpected”, particularly when adverse site conditions are encountered.  Who bears the risk of adverse site conditions?  Is the employer legally responsible for the accuracy of information provided to the contractor regarding conditions on site?  These are universal issues, and this paper considers aspects of their legal treatment in the United States, England, Australia and the Arabian Gulf.

Direct vs. Consequential Damages in the United States

Although there is no clear demarcation between direct and consequential damages in the U.S., the distinction is critical to the outcome of many construction cases as waiver provisions are commonly integrated to construction contracts. In particular loss of profits and certain financing costs are the subject of conflicting determinations with consequent unpredictability.
Introduction