Billion-dollar arguments

In good times or bad, wherever there is a building site, there is almost certain to be an argument about payment. Very low margins, long payment chains and “risk dumping” on subcontractors are common causes, but the complexity inherent in even the simplest building projects can lead to conflict. So perhaps it’s no surprise to hear of the rise of the “mega-dispute” where the sum contested is in excess of US$1bn– the natural consequence of the rise of the global mega-project, with firms from many countries working together to deliver massive infrastructure schemes. Whether conflicts are resolved swiftly or escalate into protracted court battles is down to specialists in dispute resolution, a dynamic and evolving field – and probably the most stable job in construction. In this article for Modus, the magazine of the RICS, I investigated why construction remains such a contentious industry and whether alternative approaches to dispute resolution could help.

Author: Katie Puckett

I am an experienced journalist, copywriter and editor who has covered the built environment for nearly 20 years. I’ve interviewed thousands of senior executives, politicians and experts in many fields and travelled to report on stories throughout Europe, the US, the Gulf states and India. My articles have appeared in many business and professional titles including Building, Estates Gazette, Inside Housing, the Bartlett Review, Insurance Times and Lloyd’s Market. I am co-author, with architect Bill Gething, of Design for Climate Change, published by RIBA, and I launched and edit The Possible, a thought leadership magazine for global engineering firm WSP. I'm also co-founder of Wordmule, an editorial studio that specialises in buildings and cities.