Experience Matters

On behalf of the operator of a chemical storage facility, evaluated a claim associated with delays and cost overruns caused by scope changes and hurricane impacts. Operator alleged that the cost of the facility significantly increased as a result of owner-caused changes and impacts from Hurricanes Katrina and Rita, and that the owner agreed to compensate the operator for the hurricane impacts. The owner alleged that the operator mismanaged the project and that the delays and cost increases were primarily caused by other problems not related to the hurricanes.

On behalf of a Japanese EPC contractor, prepared a claim, developed a document database, and analyzed costs and schedules for a $450 million fertilizer plant. Prepared a $100 million claim against the owner, which was abandoned as a result of the Gulf War. Successfully negotiated one Turkish and two Korean subcontractors’ claims against the Japanese prime contractor.

On behalf of an owner, performed an assessment of a Change Order Request for Labor Productivity Impacts and Extended General Conditions Cost. The assessment revealed that the contractor did not follow the MCAA instructions on the use of MCAA’s Labor Factors found in MCAA Management Methods Manual Bulletin No. PD2 (Revised 2011). The assessment also identified that the claim for General Conditions Cost was not supported by any schedule analysis and was a total cost claim even though there were numerous executed change orders, which included a 14 percent markup for supervision, quality control, and safety.

On behalf of an EPC contractor, evaluated the causes of cost overruns that it incurred during a project to upgrade the coker in a refinery. Although the work was performed under a reimbursable contract, the owner decided not to pay part of the costs due to an alleged agreement to cap the project management costs and fee.

Performed claims analysis, construction oversight, contract administration, and expert testimony for a surety involved in the mechanical installations on a prison project.

On behalf of a major U.S. oil company, analyzed an owner’s damages resulting from the delayed installation of an oil production facility due to defects in the fabrication of shackles. Identified the owner’s direct costs and time-related costs from its job cost project files. Analyzed the owner’s project CPM schedules to identify critical path delays associated with the work to replace the defective mooring shackles.

On behalf of a prime contractor, provided technical, scheduling, loss of productivity, and damages analyses in regard to a $30 million dispute related to the engineering and construction of a high-grade gold processing facility. Prepared the prime contractor's claim, reviewed and prepared a pass-through claim for the mechanical subcontractor, and evaluated the owner's counterclaim. Evaluated the status of design at contract award, the quality of owner-supplied equipment, the accuracy of the contractors' bid estimates, and the responsibility and impact of numerous design and construction changes as well as other issues. Evaluated and apportioned responsibility for delay, disruption, and damages among multiple parties. Quantified disruption resulting from cold-weather work, overtime, crowding, shift work, and the cumulative impact of changes. The parties settled prior to court proceedings.

Provided claims prevention training seminars for a mineral processing engineering firm in Denver, Tucson, and Mexico City. Recommended clauses to resolve potential inconsistencies, ambiguities, and conflicts. Prepared clauses for cost and schedule control procedures.

The project centered on the contract to design and build a 663 MW sub-critical pulverized coal-fired plant addition to an existing brownfield facility. This was a full EPC contract involving multiple stakeholders including a joint venture between the major contracting entities and power island suppliers. Managed a team engaged to provide risk management and claims avoidance advisory and training services to the on-site project teams. Services also included claims avoidance management both on a term and “as required” basis to facilitate early settlement of project problems and avoid lengthy disputes. The project was completed with no major claims or dispute issues.

Provided claims analysis and cost and schedule analyses. Prepared a rebuttal report regarding insurance claims related to defective flue gas desulfurization systems on four coal-fired power plant projects.