J.S. Held was engaged in a dispute between an employer and their design-build contractor on a metro rail project, where the employer terminated the design-build contractor. The dispute was about the value of the work at the point of termination, amounting to around £250M. The dispute was heard in an ICC arbitration, where the lead expert provided evidence.
We were engaged on behalf of the employer to provide an independent opinion on the level of progress of the architectural design as of the date of termination. We also provided an independent opinion on the level of effort concerning alleged instructed design changes.
The design documentation relevant to the claims was not provided. To carry out our independent assessment, we collated and identified the relevant drawing revisions for the period in dispute (i.e., drawings issued closest to the date of termination) and documents and drawings issued before and after instructed changes from the project’s common design environment. All information gathered and relied upon was disclosed to the claimant so their experts could provide their independent assessment.
Our progress assessment was carried out in phases. This involved a baseline assessment of the design compared to the contract requirements. We then adjusted the baseline to account for instructed changes and evaluated the extent to which these had or had not been incorporated at the date of termination. Additionally, we adjusted the percentage of completion to account for any deficiencies in the technical aspects of the design and applied a margin for error.
The level of effort assessment considered categories of documents and tasks that commonly occur during a building project. We then assessed the number of hours for each category and task. Our analysis was based on factual evidence and documents that were exhibited in the pleadings and design information from the project’s common design environment. The output from our assessments assisted the quantum experts in the valuation of the claim.
Antony Davis
Senior Consultant
Construction Advisory Practice
+44 20 4576 0179
[email protected]
Joan Kennedy
Senior Consultant
Construction Advisory Practice
+44 20 4576 0173
[email protected]
Philip Veall
Associate Director
Construction Advisory Practice
+44 20 4576 0176
[email protected]
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