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(CDR-974) When an Owner's Hard-Line Claims Negotiations are Also a Breach of Contract

Primary Author: Mr Christopher J Brasco Esq Watt Tieder Hoffar & Fitzgerald
Co-author(s): Mr Adam M Tuckman Watt Tieder Hoffar & Fitzgerald LLP; Mr Thomas F Peters PE CFCC Navigant Consulting, Inc.

Audience Focus: Intermediate
Application Type: Experience-Based
Venue: 2012 AACE International Annual Meeting, San Antonio, TX, USA

Abstract: This paper will explore the boundaries separating an owner's negotiation posture from a breach of the duty of good faith and fair dealing. The reader will gain a fuller understanding of the owner's responsibilities in the changes process so that they can more effectively administer the contract change order process. In particular, this paper will focus on the evolving legal requirements defining the owner's duty of good faith and fair dealing when handling contract changes. It will also inform the reader of the implication of a public owner's actions in its varying capacities ranging from public representative to contracting party. Thereafter, the authors' will present possible consequences of an owner's breach of his or her duty of good faith and fair dealing. The presentation of this topic will relate practical experiences with the administration of contract changes, how the process can be best administered in the interest of all concerned, and the negative consequences of a breach of the duty of good faith and fair dealing.