CONTENTS About the Editors... .. . About the Contributors . . NOUS eae ere te eree cee eect dete ete oes eteterc re ot eneiee Chapter 1 TYPES OF CLAIMS... . Glenn H. Haese Timothy J. Dragetin $101 Introduction . . $1.02 — Contractor Claims . [A] Scope Changes . : {B] Acceleration, Delay, and Disruption Claims {C] Payment Claims... {D}_ Termination Claims . $1.03 Owner Claims . . [A] Delay Claims - ae 1B] Cost of Corrective Work . [C] Termination Claims (D] Tort Claims DAMAGES . §1.04 Overview of Damages. $1.05 Damage Methodologies . $1.06 Contractor's Damages. [A] Damages for Delay [B] Disruption Damages . [C} Acceleration Damages - [D] Damages for Differing Site Conditions [E] Damages for Changes in Scope . TF] Pass-Through Claims [G] Damages for Termination $1.07 Owner'sDamages... 2.2... [A] Liquidated Damages Claims . [B] Delay Damages : {C] Damages for Termin $1.08 Claims for Lost Profits... .PROVING AND PRICING CONSTRUCTION CLAIMS Chapter 11 USING THE EICHLEAY FORMULA FOR HOME OFFICE OVERHEAD CLAIMS ...... ee 353 Chapter 12 CLAIMS FOR LOST PROFITS «0.2.06. 0 00sec eee eee 39 Chapter 13 CHALLENGING COST CLAIMS ........... Cee ais Chapter 14 CLAIMS AGAINST THE GOVERNMENT... 0.00000 eee 433, Chapter 15 INTERNATIONAL ARBITRATION ......... os 463 Chapter 16 MEDIATIONSTRATEGIEG( eae 489 Chapter 17 DAUBERT AND KUMHO TIRE: THE FUTURE OF THE EXPERT WIINESS Penne ann anne anne tees 507 Table of Cases. . . Sey Index... 0.0. a 561,CONTENTS: §3.07 General Considerations jn Pricing the Disruption Claim . . 81 IA) Emerging Issues in Quantying Damages oe [B] Incremental Costs . . 82 IC} Loss of Efficiency . 83 {1} Total Cost Method . aa . 84 [2] Modified Total Cost Method 85 [3] Measured Mile Approach 86 [4] “Should Cost Estimates” 88 [5] Industry Standards and Handbooks 89 {6] Time and Motion Studies. . . . - 90 (7] Expert Opinion... . 90 {8] Jury Verdict Method 93 §3.08 Defenses eee 94 §3.09 Conclusion 95 Chapter 4 ACCELERATION CLAIMS ......-.----5 pees see 7 Stephen B. Hurlbut Simon J. Santiago Paul W. Pocalyko $4.01 § 402 § 4.03 §4.04 § 405 $4.06 Overview of Acceleration . . Acceleration-in-Fact . Voluntary Acceleration... 2. . Actual of Ditected Acceleration . . . Constructive Acceleration Proving Acceleration . . . i TA] Elements of an Acceleration Claim. . 1B] Actual Acceleration Claim Elements . . {1] Acceleration Orders... . 2. « {2] Reasonable Attempts to Accelerate. [3] Acceleration Costs : {C) Construction Acceleration Claim Elements . [1] Excusable and Nonexcusable Delays fa] Excusable Delays... . . fb] Nonexcusable Delays (2} Notice to Owner... . [3] Acceleration Orders. . . . as [4] Owner's Refusal to Grant Time Extension. [5] Acceleration Efforts and Costs . . . 1D} _ Effect of No Damages for Delay Clauses . TE] Demonstrating Acceleration of a Project Ul] Project Schedules. .... 2... ae [2] Use of CPM Techniques to Demonstrate Acceleration... . 120 {a] Reasonable As-Planned CPM (b] As-Built CPM . oe {fe} The As-Built Reflecting All Delays. - [d] Adjusted CPM-Establishing Projet Completion Absent Owner and Excusable Delays... 00.0. cee 123PROVING AND PRICING CONSTRUCTION CLAIMS Chapter 2 DECAY CLAIMS: ote a 28 Bruce W. Ficken Thomas D, Pertita §2.01 Inoduction..........0.00- [aL ATTORNEY'S PERSPECTIVE ON ENTITLEMENT . . 32 $2.02 Delays and Cause of Delay . 32 §2.03 Excusable and Nonexcusable Delay 33 $2.04 Compensable and Noncompensabie Delay. . 34 §2.05 Concurrent Delay 2... 36 §2.06 Burden of Proof and Apportionment in Delay Cases 37 §2.07 Apportionment in Liquidated Damages Cases . . 40 §2.08 Computing the Delay . . ; 43 $2.09 Contractor's Right to Finish Early. 46 Sa ‘$ PERSPECTIVE ON ENTITLEMENT . 48 The Scheduling Consultant . . 48 The As-Planned Schedule 48 Schedule Updating . . . . 49 Recognizing and Incorporating Dae 50) Understanding Concurrent Delay . - 50 Preparing Proof of Delay - 51 Advantages of Time Impact Analysis. . 54 ATTORNEY'S PERSPECTIVE ON QUANTUM 55 §2.17 PricingtheClaim .......... 55 $2.18 Increased Material and Labor Costs, .357 §2.19 Costs of Idle Construction Equipment. . 39 §2.20 Home Office Overhead : - 39 §2.21 __ Prejudgment Interest and Financing Costs . - 62 §2.22 LossofProfils .... 2... 0... eee - 62 CONSULTANT'S PERSPECTIVE ON QUANTUM, - 63 §2.23 General Conditions Costs... . = 63 §2.24 Equipment Costs . . : . 64 § 225. Unabsorbed Home Office Overhead _ - 65 Chapter 3 DISRUPTION CLAIMS ........ Pee . OT Donald G. Gavin Samuel K. Robison William D. Guernier §301 — Imroduction........ $3.02 Delay versus Disruption. $3.03 Types of Disruption. . . TA] Noncompensable Disruption [B]__ Compensable Disruption , $3.04 Effects of Disruption . . . $3.05 Nature of Disruption Damages . . . 33.06 Considerations in Proving Cause and Effect of Disruptions 21 80 xiiCONTENTS [1] Contractor’s Reliance on Indications Was Reasonable... , . . 157 (0) The Conditions Encountered Were Ressonably Unforeseeable. . . 159 § 5.04 Type ll Condon erage at i6l [A] Conditions Were Unknown. 162 [B] Conditions Were Unusual... . . - 163 $5.05 Disclaimers and Exculpatory Provisions . . 164 $5.06 Notice Provisions . . 165 $5.07 Commercial Impracticabiity and Frustration of Purpose and Termination for Convemenes seats ae - 166 $5.08 No Contract Provision Covering Differing Site Conditions . . 187 [A] Breach of Warranty... eel? {B] Implied Warranty of Accuracy of Representations... . . . 167 {C] Implied Warranty of Adequate Plans and ete: 168 (D] Elements of a Breach of Warranty . 169 [5] Definition of Misrepresentation . 172 {F] Elements of Misrepresentation 17 iH) Froud in the Inducement . . . 174 $5.09 Proving Damages .......- : 174 {A] Impact of Differing Site Condition 174 1B] Impacted Productivity ....... . 175 {C] Computation of Productivity Damages ..-.....-.+.... 175 {D] The Causal Connection _ . et) [E] Selecting the Productivity Benchmark Without an eo Unimpscted Petiodn ee ene ee {F] Other Approaches to Proving Damages : 178 [G] Other Costs to Consider... : 179 Chapter 6 (CHANGE IN SCOPE CLAIMS. 0... 0. cee eee ee eee 181 David J, Hatem Wayne H. Kalayjian $601 Introduction... . . op gc ee ee 183 §602 TheChanges Clause... 183 S608 Nees 184 §6.04 Types of Change Claims : 184 {A] Owner-Directed Changes . . 185 [B} Constructive Changes . . . . 186 [C} Differing Site Conditions . . 187 (D] Defective and Deficient Contract Documents 1a), Cardinal Changes... . 188 Acceleration... . , 188 Suspension of Work 188 Implied Warranties and 189 $6.05 ents of Proof. . 190 §6.06 Pricing the Change Order . . 192 $6.07 — Recoverable Costs 194 wwPROVING AND PRICING CONSTRUCTION CLAIMS §4.07 {Fl {G] Proof of Acceleration . . . {11 Documentary Evidence . . . ce 1g Minutes, Correspondence, and Log [a] Notes, Mé Books . . [b] Detailed Job Cost Information, Estimates, and Budgets... , fe} Change Orders [d] Design Changes fe] Photographs . . [2] Expert Testimony . . Acceleration Provisions . . Proving Damages . [a] [B] (c) (D] [E} Chapter 5 PROVING DIFFERING SITE CONDITIONS CLAIMS ........ Andrew W. Stephenson ‘Margaret A. Hackbarth Bryan R. Phillips Amee A. Shah Thomas D, Fertitta §5.01 § 5.02 $5.03 Introduction Contractual Clauses. [A] _ History and Development of Typical Contractual Language... . . (1) Standard Form Agreements... (2] Federal Government Contracts. [B} ‘Acceleration Damages . Legally Recognizable Measures of Damages [1] Total Cost Approach [2] Modified Totat Cost Approach [3] Discrete Cost Approaches......... [4] Industry Standards and Handbooks [5] Measured Mile Approach . . . . [6] Quantum Meruit Recovery . . . Reasonableness of Damages Figures. Profit and Overhead Calculations ‘Mitigation and Cost Savings . . Type 1 Conditions . [A] {B) {c] {[D} 1133) {f IG} List) What Is an indication? Condition Existed Prior to Contract Formation . Condition Is Physical... Condition Is at the Site. . . : ‘Contract Documents Must Have Made an Indication . . Contract Document versus Information? . fering Site Conditions Clauses . . Did the Contract Indication Differ Matecially from the Actual Contractor's Interpretation of the Contract Was Reasonable xiv 124 125 126 126 127 127 127 128 128 130 130 131 131 132 132 132 133 133 133 134 134 139 139 139 140 141 143 144 144 145 147 148 148 151 154 156,CONTENTS $7.31 Contractor's Recovery When It Isin Default ......... REE § 7.32 Recoveries by Parties Not in Privity with the Owner. Hoss Chapter 8 CLAIMS AGAINST CONSTRUCTION MANAGERS, DESIGN PROFESSIONALS, GENERAL CONTRACTORS, AND DESIGN-BUILDERS ...... ae ‘ m1 Kyle E. Hart Thomas D. Fertitia SC0l Inooeion CLAIMS AGAINST CONSTRUCTION MANAGER . . §8.02 Role of Construction Manager... . . §8.03 Construction Manager's Breach of Contract . [A] Construction Manager's Duties... . . {B) Warranties 0... ... ae {C]_ Expert Testimony ID] Remedies (E] Breach of Contract Defenses... (1) Limitation of Liability and Exculpatory Clauses . [2] No Damage for Delay Clauses [3] Limitation of Consequential Damages or Ligue Damages Clauses . [4) Statutes of Limitations or Repose . §8.04 — Tort Actions Against the Construction Manager $8.05 Strict Liability Actions ........ 7 CLAIMS AGAINST DESIGN PROFESSIONAL . §8.06 Role of Design Professional... . . §8.07 Design Professional's Duties . . §8.08 Warranties... ... 2 §8.09 Other Statutory Duties §8.10 Expert Testimony Be §8.11 Breach of Contract Defenses . . [A] No Duty Owed . {B] Limitation of Liability and Exculpatory Clauses {C] No Damage forDelay Clauses... . . « : [D] Statutes of Limitations or Repose . . . {£] Indemnity. . §8.12 Tort Actions Against the Design Professional . $813 Strict Liability Actions ........0. 0+. CLAIMS AGAINST GENERAL CONTRACTOR §8.14 — General Contractor’s Duties. . §8.15 Waranties............. {A) Express Warranties {B] Implied Warranties [C] UCC Warranties . $8.16 Expert Testimony , ae 88.17 Breach of Contract Defenses... .PROVING AND PRICING CONSTRUCTION CLAIMS Chapter 7 TERMINATION CLAIMS .........-6..005 prec ee eeee 197 David Buoncristiani Douglas F. Coppi fer COR cee TERMINATIONS FOR CONVENIENCE .. . $7.02 Termination for Convenience . §7.03 Federal Compensation Scheme . . . §7.04 Danger of Unit Price Settlements... . . . §7.05 Termination Clauses in Private Contracts. TERMINATIONS FOR DEFAULT ......... § 7.06 Nonbreaching Party's Options... . . : §7.01 Difference Between Termination and Rescission . . §7.08 Legal Prerequisites to Termination or Rescission . §7.09 Procedures for Termination Pursuant to Contractual Provisions . 87.10 Procedures for Rescission . : §7.11 Deciding Whether to Continue, Terminate, of Rescind... TERMINATIONS FOR DEFAULT FROM OWNER’S VIEWPOINT §7.12 Owner’s Basic Damage Remedy . [A] Before Work Begins . . [B]_ During the Project ce {C] AtProject’s Conclusion . . . . a $7.13 Owner's Extended Duration and Overhead Costs _ $7.14 Owner's Loss of Use . $7.15 Owner's Lost Profits ee §7.16 Owner's Liquidated Damages. . |. §7.17 Special Liquidated Damages Issues. §7.18 Recovering Both Liquidated and Actual Damages . §7.19 Damages Continue to Accrue after Termination . $7.20 Extracontractual Damages . . sere §7.21 — Rescission and Restitution . oo {A] When Rescission Is Favorable to Owner... [B] When Rescission Is Not Beneficial . : 26 §7.22 Owner's Recovery When It Defaults... . . a ‘TERMINATIONS FOR DEFAULT FROM CONTRACTOR'S VIEWPOINT ||| 227 §7.23 Contractor's Basic Damage Remedy aay [A] Before Work Begins . 1 27 {B] During the Project ao . 220 §7.24 Importance of Maintaining Good Records. - . 20 Loss Contracts Rennes Contractor's Remedy upon Full Completion of the Contract»... | | 231 Other Damages Available to Contractor .. 0.2... - 232 Offsets Against the Contractor . ong Rescission and Restitution. ‘ . Bd IA} When Rescission Is Favorable to Contractor . 235 [B] _When Rescission Is Not Favorable to the Contractor - i235 § 7.30 How Restitution Is Measured for Contractors... . . ‘ + 236CONTENTS (3) Construction Manager“ At-Risk” [4] Multiple-Prime Contracts [B} Contract Provisions i 183) 2) 3} Consequential Damages « [4] Milestone Completion Dates. - [5] “No Damage for Delay” Clauses . . . [6] Notice and Record Keeping . . (7) Allocating Float Time... . . {C] Parmering .. 2... = $9.04 Risk Management Duting Construction §9.05 Preparing and Prosecuting the Claim . : $9.06 Access to Project Records ........... $9.07 Proving the Fact and Extent of Delay ELEMENTS OF LIABILITY . .. $9.08 Proving Liability for the Delay « §9.09 Legal Considerations... .. . [A] Who ls Liable for Delay? . - {B] Extent of Available Recovery « {C]__Collectibility . ELEMENTS OF DAMAGES . : $9.10 Ascertaining and Proving Damages. $9.11 Liquidated Damages... 2... $9.12 Direct Damages... ... . oe $9.13 Consequential Damages . . , §9.14 Dispute Resolution . [A] Litigation. . . [B} Arbitration . . [C] Mediation . . [D] Other Forms of ADR $9.15 Conclusion ...... 2.2... Chapter 10 RECOVERING EQUIPMENT COSTS AND PRICING EQUIPMENT USAGE Ges eee eget een 325 Steven Weber William O. Seiferth Robert Mt, Fitegerald $10.01 Introduction... . . « ee eee ee a07 ‘TYPES OF EQUIPMENT . 327 § 10.02 — Contracior-Owned 327 § 10.03 Rental Equipment - . + 329 $10.04 Small Tools... . . . 329 LEGAL BASIS FOR EQUIPMENT . 330 §10.05 Delay .. » 330 § 1006 Equipment Standby Costs . 330 $10.07 Recovery of Unanticipated Damage to Equipment . 332 xixPROVING AND PRICING CONSTRUCTION CLAIMS $8.18 §8.19 CLAIMS AGAINST DESIGN-BUILDER . $8.20 Design-Builder’s Duties . $8.21 Warranties fA] Express Warranties | [B] Implied Warranties $8.22 Expert Testimony... 2... §8.23 Breach of Contract Defenses . . 1A} _ Inadequate Notice : [B] Limitation of Liability and Exculpatory Clauses. {C] Statutes of Limitation and Repose : {D] Impossibility or Impracticability §8.24 Tort Actions Against the Design Builder §8.25 Strict Liability Actions DAMAGES.......... §826 Damagesto Owner... . §827 — Liquidated Damages . . §8.28 Cost of Correcting Defects $8.29 Cost to Complete the Project . §8.30 — Financing-Related Damages . . . §831 Acquisition and Development Costs 9832) lot Profs : $8.33 Additional Jobsite Costs. $834 Additional Professional Services . $8.35 Attorneys’ Fees . . $8.36 Depreciation . : $837 Loss of Professional Reputation»... s = Chapter 9 OWNER’S DELAY CLAIMS [A] Inadequate Plans or Specifications Furnished bo Owner . [B] Substantial Performance . [C] Lack of Proper Notice . . . [D] Acceptance by Owner . . . [E} Limitation of Liability and Exculpatory Clauses... {F] Impossibility or Impracticability [G] Statues of Limitation or Repose ‘Tort Actions Against the General Contractor Strict Liability Actions . . . . . Stephen B, Shapiro Bryan R. Phillips Michael J. Harris: $9.01 Introduction . RISK MANAGEMENT §9.02 Risk Allocation . . $9.03 Risk Allocation Strategies [A] Project Delivery Systems. (1) Design-Bid-Build . (2) Design-Build xviii + 269 - 270 270 ace ss 272 - 272 ee eer) 2. 274 Bees eae tas -. 274 .. 276 . 276 ese eater ean Reeaeeaeee REeseeaeene 2. 2B -. 2B . 278 279 . + 280 eee eee .. 281 ena + 283 .. 284 «+ 284 + 285 ~. 285 +. 285 - 286 286 287CONTENTS [B) The Capital Electric and Savoy Construction Cases. . IC] Appeals of Capital Electric and Savoy Construction $11.11 State Court and Other Non-Federal Claims cone a375) 375 aa]. Chapter 12 CLAIMS FOR LOST PROFITS ............04- ee 378 John R. Heisse 11 Gene Lash James Farrell §12.01 The Elements of Claims for Lost Profits... 0.00. .005 381 [A] Foreseeability ... . . : {B) Causation [C] Certainty of Proof . [1] New Business Rule. (D] Mitigation of Damages. . § 12.02 Contract Damages : [A] General Damages. {1] Liguidated Damages . - : {2] Contractual Right to Terminate Work. IB] Specific/Consequential Damages : [i] Indirect Losses [2] Future Lost Work {3] _ Rules for Federal Contracts {C]_Privity of Contract... .. [1] Owner's Claims (2] Contractor's Claims . {3] Promissory Estoppel . §12.03 Tort Damages . i [A] Differences from Contract Damages (B] TypeofDamages ......, fC] Economic Loss Rule . . $12.04 Examples of Calculations of Lost Profits Chapter 13 CHALLENGING COST CLAIMS ...... 06.0 ee eee eee vee 4S Patrick Loftus Dana Ask David Duffus 813101 Inoduotion ate eee § 13.02 Overstatement of Contractor Costs . {A} Proper Billing .... {B] Contractor Efficiency e {C] _ Reasonableness of Matcrial Costs and Credit for Deductive Al7 418 418 419 Changes tee 420 {D] _ Reasonableness of Labor Costs . 422 {B} _ Reasonableness of Equipment Cos : +. 4B (F] _ Reasonableness of Office and Administrative Costs . 424 oatPROVING AND PRICING CONSTRUCTION CLAIMS § 10.08 Recovery of Extraordinary Equipment Acquisition Costs . . § 10.09 Determining Additional Usage Recording Additional Hours . 333 - 333 § 10.10 Productivity of Equipment and Quanity of Work... . 334 §10.11 Additional Contract Time ore 334 $10.12 Correlation to Manhours . . « 336 § 10.13 Modified Total Usage . 336 $10.14 Standby Time... . 339 PRICING EQUIPMENT COSTS 339 § 10.15 Establishing a Pricing Structure in the Contract = 339 [A] The Associated General Contractors of America Contractors’ (Rguipmen Com (ule ees - 340 [B] United States Army Corps of Engineer's Construction Equipment Ownership and Operating Expense Schedules... 0.14.04 [C] Associated Equipment Distributors (AED) Green Book [D] Rental Rate Blue Book for Construction Equipment. . [E] Cost Reference Guide for Construction "Equipment eee OF] State Equipment Reference Guides . : $10.16 Comparison of Manuals $10.17 Comparison of Equipment Rates . ACTUALCOSTS ........ $10.18 Proof of Actual Costs . $10.19 Accounting Methods to Detecmine Actual Costs 1020; Pauipniet Cons eee eer $10.21 Using Equipment Rate Manuals to Determine Actual Costs Without a Contractual Agreement . oe fae $10.22 Conclusion . . ee Chapter 11 USING THE EICHLEAY FORMULA FOR HOME OFFICE OVERHEAD CLAIMS ...........-. era aa Paut W. Pocalyko Jan Hooper Michael Libor Michael Peters § 1101 Introduction... . . §11.02 The Zichleay Formula § 11.03 Background . $11.04 Assumptions - oe § 11.05 Exclusive Means for Caleulating Unabsorbed Ovethead | $11.06 Prerequisites for Using the Formula . . [A] Compensable Delay... .. [B] Reduction in income Stream {C}__ Inability to Mitigate Damages §11.07 Eichleay Modifications. . . , § 11.08 Change Orders §11.09 Early Completio: $11.10 Questioning the Bichleay Formula in Berley | TA] The Comell and Guy James Cases... . 355 356 363 37 373 xCONTENTS Chapter 15 INTERNATIONAL CONSTRUCTION ARBITRATION ........ 463 Anthony J. Morgan Andrew Grantham Joseph Huse S501 | Intoduetion vee a + 465 § 15.02 International Construction Contracts and At 465 § 15.03 Types of International Arbitration . . . . - 467 [A] Institutional Arbitration . . - 467 (1) ICC Arbitration . - 467 {a} Terms of Reference... .. : - 468 fb] ProceduralRules .........0. 469 [ce] Conservatory and Interim Measures. + 469 {a} Scrutiny. oe 469 Te] Costs 2... 470 (2) AAA Arbitration . . 470 (3] LCIA Arbitration . . fe an fa] No Seruny othe Awad ae 412 (b] Costs 472 [4] _ICSID Arbitration . . 413 {B] Ad Hoc Arbitration . . 414 § 15.04 Drafting the Arbitration Agreement 415 $15.05 International Arbitration in Practice . 416 [A] Commencement ofthe Arbitration and Constitution of the Tribunal 2... eae . 416 (B] Pleadings and Hearings. | 471 {C] TheAward ..... o) 478 $15.06 The Use of Experts + 478 [A] Matters for the Expens . . 478 {1] Introduction . -. 478 [2] Factors That Influence the Style of the Report -. 479 (B] Language Difficulties... 20.2.0... -. 479 [4] Simplicity Versus Complexity ................ 479 [5] Matters for Cross-Examination ................ 480 (B} Programming Expert eens -. 480 I] Introduction . ++ 480 [2] Types of Clai : . 481 [3] Methods of Delay Analysis ea aa2 [al Impaded Pian or nterent Approach « cee. 483 [b] Global Approach . : fee aaa fe} Collapsed As-Built Approach + 483 fd] Windows Approach... . . . + 483 fe] “Snapshot™ OF Tine mga Approach w 484 [Cl The Damages Expert... . » 484 (11 Introduction «484 [2] What Type of Damages Expert Is Required? + 485 {3] Liaison with the Programme Expert s 486PROVING AND PRICING CONSTRUCTION CLAIMS, Ic) Reasonablenes of Prost Margin. . 425 (H] BidErors ...... + 425 § 13.03 Accounting and Other Experts... 2... oe - 426 [A] _ Examination of the Contractor's Books and Records » 427 [B] _ Issues Regarding Record Collection . . + 428 [C] _ Investigating Contractor Relationships with Subcontractors or Material Suppliers... 0.0... ee eee eee ee . 429 {D] Understanding Project Schedules and Contract Requirements... 430 $13.04 Other Considerations—Owner Involvement in Cost-Plus Contracting .. 431 Chapter 14 CLAIMS AGAINST THE GOVERNMENT. ...... Peter M. D'Ambrosio Joseph A, Barsalona Thomas D. Fertitta $14.01 _ Incorporation of Law and Regulations into the Contract . 435 41402) Clonee Ones a + 436 $14.03 Constructive Changes. . . » 436 $14.04 Equitable Adjustments . . . 437 $14.05 Authority of Government Personnel » 438 § 14.06 Government Warranties . ae . 439 § 14.07 Contractor Warranties se » 440 § 14.08 Variation in Estimated Quanity Clase : . a4 § 14.09 Contractor's Mistake . 7 . 442 §14.10 Miller Act Bonds... . , af . 442 $14.11 Inspection, Acceptance, and Latent Defects... . 443 §14.12 Notice and Time Limitations . . 444 $14.13 Contractually Imposed Schedule Requirements . 445 IA] Time Impact Analysis. - . 447 $14.14 Pricing the Claim... . . 449 [A] CostPrinciples ... 2... . 449 [B] Actual Cost of Changes. . . 451 IC] Burden of Proof . 452 [D] Change Order Accounting . 453, (E] Overhead Costs and the Eichleay Formula. 454 (F] Idle Labor and Equipment Pricing (G) Profit . : $14.15 Contract Disputes Act. . . $14.16 Appeals... $14.17 Subcontract or Claims a $14.18 Alternative Dispute Resolution . . . $14.19 Truth in Negotiations . . . §14.20 False Claims and Fraud. . oe § 14.21 Goverment Claim Collection Methods. . rodCONTENTS $1702 Bvoltion ofthe Sundards Governing Admissibility of Expert Team ee [A] The General Acceptance Test. (B] The Daubert Decision . {C] The Debate . ap [D] _ Kumho Tire Resolves the Debate. | . : $17.03 The Expert Witness in Construction Disputes A After Kiunho Tire [A] Scheduling Experts. [3] Damages Experts U] Case Addressing Cost Experts (2) Considerations in Using CosyDameges and Other Financial Eee ee [a] Peer Review... , {b] Publication... . [el] Testing of Key Assumptions... : [a] Necessity to Analyze the Available Documents . fe] Is the Anal Commonly Used by Damage Expats [C]_ Other instructive Cases on Expert Witnesses $17.04 Statistics Related to the Exclusion of Experts. §17.05 Conclusion... 2.2... Table of Cases... . Index...... 509 » 509 . 510 » 3 . 512 . 513 . 514 cy . 517 520 520 520 321 521 521 522 + 925PROVING AND PRICING CONSTRUCTION CLAIMS 1D] Which Areas May Require Special Attention byt the Damages Expert eae Af U] Foreign Exchange Rates (2] Direct Costs... ee (B]_ Head Office Overheads oss sss Chapter 16 MEDIATION STRATEGIES Douglas F. Coppi Val S. McWhorter, Esq. Randall W. Wulff, Esq. $1601 Introduction... 60.0. eee $16.02 What Is Mediation? . . $16.03 Agreement to Mediate... . [A] Strategies to “Getto the Table” [B]_ The Mediation Agreement . [1] Preparedness . (2) Duration . (3] Location . . [4] Procedures . [a] _ Position Paper . fb] Preventation . fc] Caucuses... § 16.04 Selecting a Mediator. § 16.05 Preparation for the Mediation/Presentation [A] Document Review . B) ‘Witness/Presenter Preparation . {C] Rehearsals . . . . Ae {D] Use of Consultants [E] Use of Project Personnel . § 16.06 Characteristics of the Presentation [A] Be Concise [B] _ Show Support for Your Position [C] Know Your Audience . , § 16.07 Make the Most of Caucuses [A] Limit the Core Group . . . (B] Be Realistic in Negotiation. $16.08 Success Is inthe Resolution... 2... Chapter 17 DAUBERT AND KUMHO TIRE: THE FUTURE OF THE EXPERT WITNESS ........ Sooo aor ane snes ‘Frederic R. Miller Andrew D. Ness Todd J. Wagnon §17.01 Introduction . xxiv = 509