Kegler Brown Construction Newsletter March 1, 2003
A 1995 study of public sector partnering by the Construction Industry Institute has concluded that partnering works well in Ohio. That study concluded that claims costs on traditional public projects average 7.7% of project budget.
In contrast, the study found that public construction projects that utilize partnering experience legal claims averaging only .01% of project budget. If those figures are even close to being accurate, this would emphasize the great value of partnering (and other alternative dispute resolution techniques) that help avoid protracted and expensive construction claims.
More and more owners in Ohio are utilizing partnering and other creative dispute resolution techniques to avoid those claims. The Ohio School Facilities Commission who is managing Ohio's ambitious school building program is, particularly fond of partnering and other alternative dispute resolution techniques. OSFC believes that those strategies have kept their claims costs at a minimal level to date despite the huge volume of work that is currently being prosecuted.