Alliance Contracting—Evolving Alternative Project Delivery (2015) / Chapter Skim
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55 chapter five ALLIANCE CONTRACTING LEGAL ISSUES INTRODUCTION There are a number of legal issues that are unique to public sector alliance contracts, and they fall into two categories. The first category arises from the notion that the duties, relationships, and risk-reward allocations among the signatories to the contract are much different than those associated with other contracting approaches.
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56 • Promptly notify the other party of any dispute or potential dispute when it arises and, if the issue cannot be resolved at the management level, elevating the dispute to the leadership team. • Have the leadership team take whatever action is necessary to reach a unanimous resolution of the dispute, which might include the retention of a neutral third party (e.g., mediator)
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57 (Miller et al.
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58 case of alliance or leadership team deadlock or frustration" (Gallagher 2008)
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59 there be a determination and findings that (1) this contract type is likely to be less costly than any other type; or (2)
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60 CONCLUSIONS The results of this chapter revealed the following four conclusions: 1. Alliancing agreements contain provisions that are unusual to typical public sector construction contracting in that they advocate: – Joint management and unanimous decision making, – No blame and no disputes, and – Payment to the alliance team members on a costreimbursable basis, with gainshare/painshare relationships that limit the potential exposure of the members to the project's owner.
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