Contracts & Commercial Agreements

Before you sign: nine clauses that decide construction disputes

When construction disputes arise, they are usually decided by a handful of clauses that nobody read closely at signing.

Reviewed November 2026 · 6 min read

When a construction or fit-out project goes wrong, the outcome usually turns on a small number of clauses. Reviewing them before you sign costs a fraction of arguing about them later.

1. Scope and specifications

What exactly is included — and excluded? Vague scope is the root of most variation disputes.

2. Payment terms

Milestones or monthly valuations, certification steps, timing, and what happens if the certifier does not act.

3. Variations

Who can instruct changes, in what form, and how they are valued. Insist that instructions are in writing.

4. Extensions of time

Which events entitle you to more time, and what notice you must give to claim it.

5. Notices and time bars

Short notice periods can bar valid claims. List every deadline and who must receive notices.

6. Delay damages

The daily rate, any cap, and whether delays caused by the employer stop them running.

7. Retention and securities

How much is retained, when it is released, and whether a bank guarantee can replace it.

8. Suspension and termination

Your right to suspend work for non-payment, and the grounds and consequences of termination for both sides.

9. Dispute resolution

Negotiation steps, courts or arbitration, the seat and the language. Make sure the clause works for the size of disputes you are likely to have.

A practical approach

You will not win every point in negotiation. Focus on the clauses that move the most risk — payment, variations, notices and termination — and keep a clear record of what was agreed.

Send us the file. We'll tell you where you stand.

Share a short summary and the other party's name. After a conflict check, we review your documents and set out the route, the timeline and the fee — in writing.