Introduction
Construction law has become one of the most essential and complex legal fields in the MENA region, where governments and private developers continue to launch massive projects: smart cities, renewable energy plants, transportation networks, mega-malls, luxury towers, industrial facilities, and advanced healthcare complexes.
These projects involve billions in investment, strict deadlines, international contractors, highly technical specifications, and dense contractual frameworks such as FIDIC, EPC/EPC+, PPP, and Design–Build structures.
As construction becomes more sophisticated, so do the disputes. Delays, variations, payment disagreements, quality failures, design issues, and termination claims can disrupt entire projects — unless handled by experts with deep knowledge of both the legal and engineering dimensions of the industry.
LEXARB provides comprehensive construction law support, empowering clients to manage risks, maintain compliance, resolve disputes efficiently, and safeguard the continuity of their major developments.
What Is Construction Law and Why Is It Critical?
Construction law governs the relationships between:
- employers/government authorities,
- main contractors,
- subcontractors,
- design consultants,
- engineers,
- suppliers,
- operators,
- lenders and investors.
It covers every stage of a project, including:
- contract drafting,
- design obligations,
- performance standards,
- payment structures,
- project delays,
- health and safety,
- risk allocation,
- claims and variations,
- defects liability,
- termination and handover.
Because construction law blends contract law, engineering practice, technical standards and dispute resolution, it requires a unique combination of skills — the hallmark of LEXARB.
LEXARB’s Comprehensive Construction Law Services
- Drafting and structuring construction contracts
A well-drafted contract is the strongest line of defense against disputes.
LEXARB drafts and customizes:
- FIDIC Red, Yellow, and Silver Book contracts,
- EPC/EPC+ agreements,
- Main Contractor Agreements,
- Subcontractor Agreements,
- O&M (Operations & Maintenance) contracts,
- PPP / BOT / BOOT agreements,
- Joint venture construction agreements.
LEXARB ensures clear:
- risk allocation,
- payment mechanisms,
- variation procedures,
- delay and EOT clauses,
- performance obligations,
- testing and commissioning requirements,
- termination rights.
- Reviewing contracts and evaluating risks
LEXARB conducts in-depth reviews to:
- identify hidden risks,
- detect imbalanced clauses,
- highlight unclear obligations,
- recommend amendments,
- explain exposure to liability,
- minimize future disputes.
This proactive assessment protects clients from financial and operational surprises.
- Claims preparation and defense
Construction claims are a specialized discipline. LEXARB supports:
- Extension of Time (EOT) claims,
- claims for additional payment,
- disruption and delay claims,
- acceleration claims,
- remeasurement and variation claims,
- termination-related claims.
LEXARB collaborates with planners and technical experts to produce clear, well-supported claims or defenses.
- Early dispute resolution and negotiation
Not all disputes should escalate into arbitration.
LEXARB excels in:
- structured negotiation,
- technical workshops with consultants and contractors,
- commercial settlement strategies,
- mediation support,
- drafting settlement agreements.
The goal: resolve disputes efficiently, preserve relationships, and avoid disruption.
- Arbitration and litigation representation
When disputes cannot be resolved amicably, LEXARB provides strong advocacy before:
- ICC,
- LCIA,
- SCCA,
- CRCICA,
- UNCITRAL,
- GCC regional arbitration centers,
- national courts where necessary.
LEXARB prepares:
- expert-backed submissions,
- delay and forensic analysis,
- contractual interpretation arguments,
- detailed witness evidence.
- Protecting project continuity
LEXARB helps clients:
- prevent project shutdowns,
- avoid wrongful calling of bonds,
- mitigate delays and penalties,
- preserve financing arrangements,
- maintain relationships with contractors and stakeholders,
- resolve disputes without interrupting construction progress.
Common Disputes in Construction Projects
- Delay disputes
Delays are the most frequent and financially damaging disputes. Causes include:
- late approvals,
- design changes,
- unforeseen site conditions,
- lack of coordination,
- contractor performance issues,
- supply chain disruptions.
These disputes often require detailed CPM analysis and expert testimony.
- Quality and defects disputes
Examples include:
- concrete failure,
- defective materials,
- non-compliant installations,
- poor workmanship,
- failed performance tests.
Such disputes can lead to costly repairs and large claims.
- Variation and scope disputes
Typically caused by:
- design discrepancies,
- updated employer requirements,
- changes due to regulatory compliance,
- errors in the original scope,
- rework requirements.
- Payment disputes
Among the most common conflicts:
- delayed payments,
- withheld certificates,
- disputes over quantities,
- subcontractor payment issues,
- price escalation claims.
- Design responsibility disputes
These arise when:
- drawings conflict with site conditions,
- engineering calculations are incorrect,
- multidisciplinary designs are poorly coordinated,
- consultants and contractors disagree on responsibilities.
- Termination disputes
These high-stakes conflicts include:
- wrongful termination,
- termination for convenience,
- termination due to alleged breach,
- invocation of performance bonds,
- claims for demobilization and damages.
Case Study: How LEXARB Successfully Closed a 350 Million USD Construction Dispute
Project:
A state-of-the-art smart hospital in a GCC country.
Issue:
Significant delays occurred due to repeated design changes by the employer. The contractor claimed entitlement to EOT and compensation.
Employer’s argument:
- delays were contractor’s fault,
- changes were minor,
- no compensation was justified.
Contractor’s argument:
- changes were substantial,
- approvals were late,
- disruptions affected resource allocation.
LEXARB’s intervention:
- Full contract and documentation review.
- Detailed delay analysis demonstrating predominant employer-caused delay.
- Preparation of a strong legal and technical case.
- Strategic negotiations resulting in settlement.
Outcome:
- 140-day EOT granted,
- significant financial compensation,
- project continuity preserved,
- stable relationship between the parties restored.
Why LEXARB Is a Leader in Construction Law
- Deep integration of legal and engineering expertise
Construction disputes require understanding:
- engineering drawings,
- specifications,
- test reports,
- delay analysis,
- technical standards.
LEXARB’s team combines both fields to produce precise, reliable results.
- Strong negotiation capability
LEXARB secures advantageous settlements by:
- identifying leverage points,
- presenting technical evidence clearly,
- balancing commercial and legal interests,
- avoiding unnecessary escalation.
- Regional and international experience
LEXARB has handled major construction disputes in:
- Saudi Arabia,
- UAE,
- Qatar,
- Bahrain,
- Kuwait,
- Egypt,
- Jordan.
This gives the firm an understanding of local practices and cross-border expectations.
LEXARB’s Practical Tips for Avoiding Construction Disputes
- Review contracts thoroughly before signing.
- Document all instructions and variations.
- Maintain formal communication channels.
- Identify risks early and monitor them continuously.
- Ensure proper planning and scheduling.
- Engage LEXARB at the first sign of disagreement.
Conclusion
Construction law is a dynamic and highly technical field that demands specialized legal expertise. With the complexity of today’s mega-projects, businesses need strong legal partners who understand both the engineering and contractual framework.
LEXARB offers:
- comprehensive legal protection,
- rapid dispute resolution,
- expert-backed strategies,
- reliable support at every project stage.
If your construction project is facing a dispute — or if you want to strengthen your contractual framework — contact LEXARB today for a confidential consultation with our construction law experts.