An In-Depth Evaluation for Transparent Claims Resolution
In a vital project to assess and manage claims related to the Northern Corridor Rehabilitation Programme, PLANET S.A. was commissioned to provide independent technical and financial analysis for the rehabilitation works along the Eldoret-Turbo-Webuye-Malaba Road in Kenya. The road rehabilitation, divided into two contracts (Lot 1: Eldoret to Webuye, Lot 2: Webuye to Malaba), was facing a series of claims from the contractor, stemming from delays and other unforeseen events during the project’s execution. The goal was to ensure that the claims were addressed fairly, allowing the project to move forward without escalating disputes into arbitration.
Ensuring transparency, fair compensation, and timely resolution for successful infrastructure development.
Navigating the Complexities of Contractual Disputes
This project required a deep understanding of contract management and a rigorous approach to evaluating claims. PLANET’s role involved reviewing the contractor’s performance, analysing the causes of delays, and providing detailed evaluations of the submitted claims. The work also involved advising on the possibility of counterclaims from the Ministry and the effective management of claims to avoid delays in the project’s completion.
Key challenges included:
- Identifying the root causes of delays and determining if the contractor’s claims were justified.
- Ensuring that recommendations were based on a thorough understanding of contractual obligations, performance data, and external factors, such as weather or material shortages.
- Providing clear and justifiable advice to the Ministry of Transport & Infrastructure to avoid prolonged disputes.
PLANET S.A. provided the following services:
- Claims Analysis: Detailed evaluation of contractor claims, including a review of time schedules, resources, and performance versus contractual requirements.
- Independent Technical & Financial Analysis: In-depth evaluation of the financial implications of the claims, ensuring that fair compensation was awarded when justified.
- Dispute Prevention: Providing insights to avoid escalation into conciliation and arbitration by facilitating an objective and transparent review process.
- Contract Management Support: Reviewing the contractor’s programme and method statements, site organisation, and deployed resources, while aligning with the original tender documents and contractual conditions.
- Advisory Role in Dispute Resolution: Providing guidance during the resolution of claims and recommending strategies for mitigating future delays.
Outcomes
Thanks to a structured and comprehensive approach, PLANET S.A. ensured that claims were resolved efficiently, enabling fair decisions for both the Ministry and the contractor. The evaluation process provided clarity on the legitimacy of the claims, facilitated dispute resolution, and resulted in actionable recommendations for the project moving forward. This transparent process helped maintain the Northern Corridor Rehabilitation’s timeline and budget, reinforcing the Ministry’s commitment to high-quality infrastructure development in Kenya.
