Starting a construction project is a major undertaking that requires careful planning before work begins. Whether you are building, renovating, or expanding a property, early decisions can affect your budget, timeline, and legal responsibilities. Asking the right questions before construction starts can help identify potential problems, clarify expectations, and establish a stronger foundation for a successful project from the beginning.
What Is the Full Scope of the Construction Project?
Before hiring contractors or beginning physical work, clearly define what the project is expected to accomplish. A detailed project scope should identify the work to be performed, materials to be used, major specifications, and the expected finished result. Without a clear scope, disagreements can arise when the parties have different expectations about what is included.
Consider whether the plans, drawings, specifications, and other project documents accurately describe the intended work. If important details are missing, ask questions before signing contracts or authorizing construction. Clarifying expectations early is generally easier than trying to resolve disagreements after work is underway.
What Work Is Included and Excluded?
Ask exactly which tasks are included in the contractor’s responsibilities and which are not. For example, a project may involve structural work but exclude landscaping, certain utility connections, interior finishes, or other improvements.
Understanding exclusions is just as important as understanding inclusions. An item that seems obvious to a property owner may not be part of the contractor’s contractual obligations. Written clarification can reduce the possibility of unexpected costs and disputes later.
What Is the Realistic Project Budget?
Budgeting should go beyond the contractor’s initial estimate. Construction costs can include labor, materials, permits, design services, inspections, equipment, financing expenses, and other charges. A realistic budget should account for both anticipated expenses and potential changes during construction.
Ask how the estimate was prepared and which costs are fixed versus subject to change. You should also determine whether allowances have been included for items that have not yet been selected or finalized. An allowance that appears reasonable initially can increase if the eventual materials or finishes cost more than anticipated.
How Will Unexpected Costs Be Handled?
No construction project is completely immune to unexpected conditions. Existing structural problems, material shortages, design changes, site conditions, or other issues can affect the final cost.
Before work begins, ask how additional expenses will be approved and documented. Determine whether the contractor must obtain written authorization before performing extra work. A clear change-order process can help prevent disputes about whether additional work was requested and who is responsible for paying for it.
Who Are the Parties Responsible for the Project?
Construction projects often involve multiple participants, including property owners, contractors, subcontractors, architects, engineers, suppliers, lenders, and inspectors. Understanding each party’s role can help prevent confusion about who is responsible for specific decisions and obligations.
Ask who will manage the project on a day-to-day basis and who has authority to approve changes. If multiple companies or professionals are involved, determine how communication will occur and who is responsible for coordinating their work.
Has the Contractor Been Properly Evaluated?
Before entering into a construction agreement, investigate the contractor’s qualifications and experience. Ask about relevant projects, licensing requirements, insurance coverage, references, and experience with projects of similar size and complexity.
It is also useful to determine who will actually perform the work. If the contractor intends to rely heavily on subcontractors, ask how those subcontractors will be selected and supervised. Knowing who is responsible for various portions of the project can make accountability clearer if problems arise.
What Does the Construction Contract Say?
A written construction contract is one of the most important documents in a project. It should clearly describe the parties’ rights and responsibilities rather than relying on verbal promises or informal understandings.
Review provisions covering the scope of work, price, payment schedule, project schedule, change orders, warranties, termination, dispute resolution, insurance, and responsibility for delays. Each provision can affect the parties if circumstances change during construction.
A construction contract should also address what happens when one party fails to perform. Understanding these provisions before signing can help everyone recognize their responsibilities and available options if a disagreement develops.
Are the Payment Terms Clear?
Payment provisions should explain how much is owed, when payments are due, and what documentation may be required before payment. Depending on the project, payments may be tied to milestones or completion of specified portions of the work.
Ask whether retainage applies, how disputed amounts will be handled, and what circumstances could justify withholding payment. Property owners should also understand the potential consequences of failing to pay amounts that are properly due.
What Permits and Approvals Are Required?
Construction projects may require permits, inspections, zoning approvals, or other governmental requirements before and during construction. Failing to obtain required approvals can result in delays, additional expenses, or other complications.
Ask which party is responsible for securing each permit and approval. Do not assume that someone else is handling every requirement simply because they are involved in the project.
How Will Inspections Be Managed?
Inspections can occur at various stages depending on the type and location of construction. Ask when inspections are expected, who schedules them, and what happens if work does not pass an inspection.
Understanding inspection requirements in advance can help prevent avoidable scheduling problems. It can also clarify who is responsible for correcting deficiencies and covering associated costs when work does not satisfy applicable requirements.
What Is the Project Timeline?
A construction schedule should establish realistic expectations for when work will begin and when significant milestones should be completed. Ask for a projected completion date and identify important deadlines that could affect the project.
However, construction schedules can change because of weather, material availability, design modifications, labor shortages, permitting issues, site conditions, or other events. The contract should explain how delays will be handled and when a delay may justify additional time or costs.
What Happens If the Project Is Delayed?
Ask how the parties will communicate delays and whether the contractor must provide notice when an anticipated completion date changes. It is also important to understand whether delays can result in additional expenses.
Some contracts contain provisions addressing specific causes of delay and circumstances beyond a party’s control. Carefully review these provisions so you understand the circumstances in which the project schedule may be extended.
How Will Changes to the Project Be Handled?
Construction projects frequently evolve after work begins. A property owner may decide to change a material, modify a design, add work, or remove part of the original scope. Even a seemingly minor change can affect labor, materials, cost, and timing.
Before construction starts, establish a formal change-order process. Determine who can authorize changes, how the change will be priced, and whether the schedule will be adjusted as a result.
Why Written Change Orders Matter
Verbal agreements about changes can create confusion later. A written change order can document what changed, the additional or reduced cost, and any impact on the schedule.
Both parties should understand whether work can begin before a change order is formally approved. Establishing this process in advance can reduce disagreements over whether additional work was actually authorized.
What Legal and Financial Risks Should Be Considered?
Construction projects involve financial and legal risks that should be addressed before work begins. These may include payment disputes, property damage, delays, defective work, contract breaches, injuries, and disagreements involving subcontractors or suppliers.
Ask what insurance coverage is maintained by the parties involved and whether additional coverage is appropriate for the project. The contract should also identify responsibilities for damage, losses, and other risks where appropriate.
If you need guidance interpreting contractual obligations, resolving a construction dispute, or assessing legal risks before a project begins, consulting an expert on construction law in Utah may provide useful insight into the issues that could affect your project.
Could Liens Become an Issue?
Property owners should understand how payment to contractors, subcontractors, and suppliers can affect the property. Depending on applicable law and the project’s circumstances, unpaid parties may have rights that affect the property owner.
Ask what documentation should be obtained throughout the project to confirm that appropriate parties have been paid. Keeping organized records of contracts, invoices, payment confirmations, and project communications can make it easier to address questions if a payment dispute arises.
How Will Quality and Defects Be Addressed?
Before construction begins, establish expectations for workmanship, materials, inspections, and correction of defective work. The contract should explain whether warranties apply and how a party should provide notice of problems.
Ask who is responsible for identifying deficiencies and how quickly they must be corrected. It is also useful to understand what happens if a contractor disputes whether work is defective or does not agree that corrective work is necessary.
What Documentation Should Be Kept?
Maintain copies of contracts, plans, specifications, invoices, permits, inspection reports, change orders, photographs, correspondence, and other project records. Good documentation can help establish what was agreed upon and what occurred during construction.
Keeping organized records is valuable even when a project proceeds smoothly. If a disagreement develops, accurate documentation can help the parties identify the source of the problem and determine what obligations were established.
Conclusion
A successful construction project begins well before the first worker arrives on site. Asking detailed questions about the scope, budget, contract, permits, schedule, changes, responsibilities, and potential risks can help prevent misunderstandings and costly surprises. Careful planning also allows property owners and contractors to establish clear expectations, document important decisions, and address potential problems before they become major disputes.
