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How to resolve payment disputes quickly and fairly

On Behalf of | Dec 26, 2024 | Construction Law

Payment disputes can disrupt construction projects and hurt business relationships. In Florida, resolving these disputes efficiently and fairly is key to maintaining seamless operations and ensuring everyone receives the correct payment. Here are some ways to handle payment disputes effectively.

Know the legal rules

Florida’s Local Government Prompt Payment Act identifies steps for fixing payment disputes. Learn these rules, follow them and protect your rights. Florida Statutes § 218.76 says the local government must use a dispute-resolution process that ends in 60 days if a dispute starts.

Communicate clearly and promptly

Open and honest communication can stop many disputes from getting worse. If you have a payment issue, discuss it immediately with the other side. State your worries clearly and show any proof. This quick action can often lead to a prompt resolution.

Try mediation and arbitration

When direct communication fails, consider mediation or arbitration. These other ways to resolve disputes can save time and money compared to going to court. Mediation involves a neutral person helping find a solution both sides like. Arbitration involves someone making a binding choice.

Follow these steps to fix payment disputes

To fix payment disputes quickly and fairly, consider doing the following:

  • Check the contract: Make sure you know the payment terms in your contract.
  • Write down everything: Record all communication, bills and payments accurately.
  • Ask a lawyer: Consider talking to a lawyer about your legal choices and duties.
  • Start resolving the dispute: Follow the steps in your contract or under Florida law.

By following these steps, you can handle payment disputes better and keep your project on track.

Think about legal help

Fixing payment disputes in Florida requires precise knowledge and good communication. By taking quick action and following these steps, you can handle payment issues quickly and fairly, keeping your construction projects moving.

If you need help with a payment dispute, consider asking a lawyer to help you understand your choices and protect your rights.

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