In the construction industry, scope creep is an issue where the project continues to grow and become more complicated. It often relates to budgets and deadlines. A construction company may start missing key deadlines, or the budget may grow out of control due to changes in the project.
In some cases, this happens because there is no detailed plan to begin with or because there are unexpected changes once the project begins. Say that a construction company is hired to renovate a property, and it seems like a fairly straightforward job. But once they begin the demolition process, they discover that there are structural issues and old water damage. Suddenly, significant structural repairs become necessary, and the budget for the project spirals out of control.
Miscommunication can lead to legal issues
Communication problems can also lead to scope creep. Sometimes it is miscommunication, where the client and the construction company owner are never on the same page about what either one expects. They both feel like they are working on fundamentally different projects.
In some cases, clients also do not understand how their requests are changing the project. Maybe the property owner is very hands-on and keeps requesting revisions or alterations. But then, when they get the bill, they are shocked by how much the project costs and how it appears to have gone over budget. Or all of the changes add a significant amount of additional work, so the project is not done by the deadline.
In cases like these, disputes can sometimes occur, potentially leading to litigation between construction companies, subcontractors, clients and other entities involved in the project. For those who find themselves in this position, it is important to know what legal steps to take.
