🔄 Rethinking Claims in EPC Projects

 In EPC projects, nothing raises eyebrows faster than the word: ‘claim.’


In many EPC projects, “claims” are still seen as taboo — a sign of conflict, failure, or a last-ditch attempt to recover lost profits.
But let’s be clear:
🛑 Claims are not about making up for poor project performance.
✅ They are a contractual right, triggered when project conditions change and entitlements shift accordingly.

Too often, in the name of preserving client relationships, contractors hesitate to raise valid claims — hoping goodwill today will pay off tomorrow.
But here’s the reality:

“Choosing diplomacy over diligence by shelving rightful claims may keep relationships warm — but sustained over multiple projects, it quietly erodes profitability and leads to insolvency.”

Strong client relationships should be built on mutual respect, transparency, and honoring contractual terms — not silence or self-sacrifice.

💡 Reframing the role of claims:
Claims are not confrontational — they are structured responses to change
A well-prepared claim is a professional, not emotional action
Effective claims management is a core part of risk control and financial health

It’s time to shift the mindset:
✔️ Claims aren’t conflict
✔️ They’re clarity
✔️ They reflect commercial maturity and project discipline

💬 How is your organization balancing client relationships with protecting contractual rights?

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