TIP 4 # 5 Document Control Tweaks for better Construction Disputes & Claims Control
Five Simple Document Control Tweaks for Improved Construction Disputes & Claims Control
Current Practice
The main requirement vital in order for an effective handling of any Construction Disputes and Claims is the ability to extract from the documents available in the document control system a comprehensive understanding of the contractual history and timeline of events leading to the disputes and claims.
However this is not the case presently by virtue that the current practise are not conducive to the handling of disputes and claims as and when they arises. With over 30 years of experience in the industry, I have time and time again witnessed numerous situations where inadequate and missing document control procedures have hindered the disputes and claims process.
All that is required to improve the situation tremendously is JUST 5 Simple Tweaks or Tips. Permit me to explain.
Most current document are filed based on categorizing documents by type, such as — • Incoming correspondence • Outgoing correspondence • Drawings • Change orders • Minutes of meetings • Reports, etc. And within each category, further subcategories are created. Over time, at the mid or tail end of the contract, the number of files and folders can run into tens and perhaps hundreds.
This current system of categorizing documents by type and filing them separately often leads to a disjointed historical trail of documents which results in an unnecessary difficulty and loss of time when trying to establish a historical understanding of a dispute or claim situation. Imagine flipping through multiple folders and files just to have a smooth understanding of the events and correspondence pertaining to the disputes and claims as they unfold.
To address this issue, I will share five simple tweaks and tips (if you may) to complement and enhance your document control system and streamline construction disputes and claims handling.
Tip 1: The need to have a Master File system.
To ensure easy access and a comprehensive understanding of the contractual history, establish separate master file depositories for the main contract and each sub-contract. These master files should contain the original correspondence, drawings, reports, and other contractual documents, all filed in one folder and in one place. Centralizing these documents would minimizes the time spent searching through scattered folders and files. In addition the following salient points to be adopted :-
- The master file should only contain original correspondence, drawings, reports, and contractual documents.
- File everything in the master file, except for perhaps the drawings (if voluminous), to be filed separately with the required cross-referencing in place.
Tip 2: File everything in Chronological Order (A must)
Arrange all documents within the respective master file chronologically to reflect the project timeline. This arrangement provides a clear understanding of the sequence of events and establishes a historical record. To enhance the process, make sure the following salient steps are in place as well.
- Organize documents within the master file in chronological order to understand the project’s sequence of events.
- File documents in the master file folder chronologically according to the document issuance date.
- Date stamp each document upon receipt to track down document issuance accurately
Tip 3: Creation of a Digital Repository
Establish a centralized digital repository as the primary storage location for all project-related documents. This repository should be easily accessible to authorized parties involved in the disputes and claims process. Use a secure cloud-based platform or a dedicated server for centralized document storage and management (if possible).
- Implement a digital repository for centralized document storage.
- Set user permissions and access control to ensure confidentiality and prevent unauthorized access
Tip 4: Clear Date & Naming Conventions
Simplify document organization within the master file system by using one main folder and subcategorizing these based on months and years.
To facilitate digital filing and depository, use the Year/Month/Date format for file names (e.g., 2023/01/25 or 2023/11/03) to take advantage of Windows’ automatic chronological filing. The final naming convention to use in my opinion would be Date (in the order mentioned above) followed by reference and then subject matter, all in accordance to as stated in the relevant correspondence, drawings and reports etc. To reiterate :-
- Organize documents within a master file folder using subcategorization based on months and years.
- For digital filing, adopt the Year/Month/Date format for file names to facilitate automatic chronological filing by windows.
Tip 5: Updating Recipient Signatures and Cross-checking before filing.
There have been numerous cases when things turn sour, whereby parties to a dispute have denied receipts of documents and or instructions by virtue of “fowl scratch” signatures.
In order to prevent such future denial from occurring, it would be a good practice to , regularly update the signatures of the usual recipients from the other contracting stakeholders and cross-check the recipient signatures against the signature updates to ensure accurate record-keeping. Verify that the correspondence aligns with the information recorded in the system. This practice will enhances the reliability and integrity of the document control process and prevent any attempt of denial when it counts.
Implementing these five simple document control tweaks will significantly improve your construction dispute and claims management processes. By addressing the current disjointed filing system and adopting these simple and effective tips, you can establish a well-organized and easily accessible document control system. This will enable efficient navigation through complexities, leading to quicker resolutions and minimized disruptions.
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