Explain construction claims and how they are used during construction?
What will be an ideal response?
Whenever an owner changes contract requirements for the scope of work contractors are able to file claims if they do not agree with performing the work for the amount proposed by the owner. If owners and contractors are able to mutually agree on the amount of compensation for a change then this process is formalized in a change order. If no agreement is reached on an adequate amount for a changed condition, or for delays, contractors could file a claim against the owner. In some circumstances, contractors would file for damages in their claims. Under normal circumstances, claims are filed to cover additional costs incurred by the contractor that they were not compensated for by the owner or owners will file a claim for damages to compensate for work not completed by the contractor.
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