A project manager's exposure when claims arise on a construction project

Project managers working in the construction industry are vulnerable to costly lawsuits that--once the case is settled and the legal fees calculated--could easily total more than one million dollars. This article outlines a process that can help project managers avoid those projects with the potential for litigious outcomes. In doing so, it discusses the lack of legal definition for the project manager role and the potential consequences of this lack. It then details six areas that project managers should analyze before accepting an assignment, areas that include client selection, client contract, construction activity, claim types, litigation concerns, and litigation forums. For each area, it lists questions, suggests activities, and explains processes that can assist project managers in evaluating the legal terms of the project, in documenting their work, and in handling litigious situations.