Summary: | In an effort to save taxpayer dollars and ease an overburdened
administrative and judicial court system, this report presents evidence to encourage
the use of alternate dispute resolution (ADR) in construction contracting within the
Naval Facilities Engineering Command. Information is presented detailing the
primary factors that contribute to this expensive and overburdened system,
including: costs associated with litigation, contractual document formation,
experience level ofjunior project managers, and adversarial relationships that tend
to develop between government agencies and construction contractors.
Research on court cases and associated cost data was limited by
geographical region, specifically, the Southern Division, Naval Facilities
Engineering Command, Charleston, South Carolina. Also included is related
information from the Department of Defense administrative hearing agency, the
Armed Services Board of Contract Appeals.
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