Edmonton considers clarifying construction contracts
Officials mull over measures that could reduce the number of property damage claims lodged against the city
Edmonton considers clarifying construction contracts
CONSTRUCTION & ENGINEERING
By Lyle Adriano
Apr 19, 2018

Edmonton’s executive committee has recommended that the city revise its contracts, allowing residents with property damage claims from construction projects to better understand from whom they can claim compensation.

The city’s council committee considered that, in most cases, the city is not liable for property damaged during projects (such as drainage replacements or LRT construction). In such cases, the contractor is at fault.

“We do have some sort of fiduciary responsibilities to at least let people know what their rights are,” Councillor Mike Nickel said. “If you’re going to sue somebody, for example, or if you have a complaint against somebody, is it the city or is it the contractor?”

The administration also suggested that the city make it mandatory for contractors to report any damage to private property.

“What happens when a private individual has a concern with a contracting company and how is that solved?” Councillor Tim Cartmell posed. “We have no way of tracking that because we’re not a party to that disagreement.”

Nickel added that the data could be used to keep a close eye on contractors.

“Weed out the bad contractors by just getting the record,” he remarked. “If they’ve been sued or not and by whom.”

Since 2014, claims against the city of Edmonton for damages from potholes, icy sidewalks and drainage-induced flooding have gone down, CBC News reported. The city has also paid $3.1 million for third-party claims in 2017, down from $5.1 million in 2016 and $4 million in 2014.

 
Related stories:
Free newsletter

We'll keep you up-to-date with the latest breaking news, cutting edge opinion, and expert analysis affecting both your business and the industry as whole.

Free newsletter

Our daily newsletter is FREE and keeps you up - to - date with the world of Insurance. Please complete the form below and click on subscribe for daily newsletters from IB CA.