4.1 The parties involved here are owners of the large federation houses, a city suburb, and a reputed builder ’Barry burns.’
4.2 Causes of the dispute were
(i)Nonpayment of additional charges along with progress payments.
(ii)The builder was not able to approach the owner directly.
(iii) The builder thought for relief under the arbitration process.
(iv) The architect is given approval authority on the owner’s behalf.
(v) Additional work was beyond the scope of the project.
(vi) the builder did not receive the final progress payment.
4.3 The dispute could be minimized if the progress payment was paid correctly to the builder also if the owner had a better relationship with the architect trustworthy for the activities being done under his presence. The dispute could be minimized if the builder could give a chance to get communicated with the owner effectively. The builder could file a complaint to NCAT or local court so they can quickly settle the issue (Fenna et al., 2012).
4.4 (I) If arbitration is mandatory, the right to approach the court by the builder is waived.
(ii) Only very few chances for appeals.
(ii) It does not entertain many provisions of the judgment.
4.5 Open statement for negotiation
4.5.1 It was a great pleasure working on such a good project. I was glad to associate with you as the architectural plan and details were
astonishing. As some of the works were out of the scope, we had to progress the work in crucial times and ensure timely delivery. You could please help in getting my additional bills paid as some works beyond the scope. We can go for proper negotiation if needed, please.
4.5.2 It is highly visible that you have agreed to negotiate, I would like to acknowledge your kind thoughts of getting my charges paid in time.
4.5.3 Hi, I understand that you have gone through all the works, quality of materials used in construction, and finishes of structural elements. It is highly visible that the architect has designed an excellent structure for federation house owners. I was overwhelmed to work under such a prestigious project.
4.5.4 nonverbal means of communication involves (I) Direct meeting (ii) Telephone (iii) video calls(iv) body language (v) voice.
4.6 The next step is to record all details with proper date, nature, and contact information of the parties along with the decision made in an appropriate format as agreement. Copies of all letters sent, and emails are required to file along (Totaro et al., 2010)
4.7 This misconception can be cleared with the help of drawings and daily project monitoring reports. The drawings of the work completed will be along with a recording of day to day activities done on the site. The project coordinator can collect the daily report of work done, and it can be shown to the owner by the builder. So, he can make sure about the old scope, and new activities are undertaken along with the old scope to determine the variations with the help of daily work reports and drawings.
Three techniques, in brief, are (I) Physical site visit (ii) checking daily work report (iii) differentiating old scope and new scope with the help of graphs.
Sub: - Regarding the resolution of claiming the liquidated damages
Hi, this mail is to inform you that the client of the renovation project is about to demand the claim for liquidated damages. As the project delayed, and the date of completion is approaching. Skirting s have to paint as this includes in the main scope of the project. You could assign more resources to complete the project on time. Any additional charges, if required, will be negotiated accordingly in this project or the next projects. Please acknowledge the mail and reply with a possible solution at the earliest.
Sub: - painting issue resolved
This letter is to bring to your notice that the painting work will finish as soon as possible. We have discussed the damages that may cause if the project is not delivered in time, and has agreed to assign more resources for the work and finish it fast as the completion date is approaching.
Record of these resolutions along with the decision made in proper format as agreement. Copies of all letters sent, and emails are required to file along. Correspondence shall be recorded in an appropriate form and kept along with the agreement. Records may be saved as photographs and voice messages, as it is vital to manage the operational cost of construction (Clift, 2010).
Clift, Noel Rhys (3 May 2010). "The Phenomenon of Mediation: Judicial Perspectives and an Eye on the Future". SSRN 1599420.
Fenna, Alan (2012). "Putting the 'Australian Settlement' in Perspective". Labour History (102): 99–118.
Totaro, Gianna., "Avoid court at all costs" The Australian Financial Review 14 November 2008. (19 April 2010)
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