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Your Legal Life – Document Retention

frustrated by lack of construction document retention documents

Preserve Your Construction Data Because Your Legal Life May Depend On It.

Last year, we launched constructionlitigationhold.com, which is a free tool that allows anyone to look up the construction document retention and litigation hold requirements for any state.

Why did we create this?

Good question. Bad situation.

We had a prospective client, a commercial real estate developer, who approached us last year seeking new construction project management software. They had never used software, but had recently experienced the hard reality of why tools like Owner Insite exist.

They had always assumed that the trust they had placed in the project team was enough.

It wasn’t. 

 They had become embroiled in a lawsuit, in which much of the matter and root cause of the conflict were tied to documents and communications they no longer possessed. It was housed in their contractor’s software, which they always assumed would be available to them if they ever needed it.

Spoiler alert! It wasn’t. 

You see, this company was the Owner of the project, and just a few months after completing it, issues began to arise. At first, the issues were minor, but then more and more defects became apparent. Prior to this, they had a good working relationship with the contractor throughout the project and assumed these minor defects would be easily resolved.

Calls were not returned. Emails were ignored. Finally, they reached out to the project manager who had worked with the contractor, only to be told, “I’ve moved on to another project, and this really isn’t my issue anymore.”

They started going through the construction documents they had been provided at closeout. The information was severely lacking and incomplete – something they had failed to realize at the time. They assumed construction data and reports specific to the items in question would be provided to them if they just asked. Wrong!

The contractor’s great software system, which housed all of their important construction data, suddenly became unavailable. Repeated requests to the contractor to provide specific data concerning RFIs, submittals, and even installation reports – all things relevant to the issue at hand – were no longer available to them.

When they finally contacted a lawyer, they received less-than-ideal news. After reviewing everything they had in hand, they were told their chances of actually seeing a positive result were unlikely. It would be a costly and frustrating process.

Like many owners who focus on the design, construction, and opening of their new building, the last thing on their minds is document retention. You should receive a complete and comprehensive accounting of all aspects of communication, data, and even the financial aspects of their project. Those are details that most people incorrectly assume will be as easily accessible after the project as they were during the project.

That just simply won’t happen if your data, as an owner, is in some other company’s software. All that data concerning your project isn’t your data after all. It technically is theirs, and if you get crossways with an architect, contractor, or sub, your chances of getting YOUR DATA back are slim to none.

Every project owner needs to protect and preserve a complete and accurate rendering of their project data. Having a forward-thinking approach to managing that data and the requirements imposed by your state on exactly what should be retained and for how long is exactly why we built our free lookup tool. You can now see your document retention requirements.

From commercial developers to school districts, understanding the requirements placed on you as an owner is critical. Having a software platform that ensures the data you receive from your project team is the first step to ensuring accountability, transparency, and long-term protection against any stakeholder usurping their long-term responsibility to you.

You never know when you may run into a future warranty issue or discover workmanship defects. But when you use a tool like Owner Insite, you are better equipped to preserve your interests and hold the right parties accountable.

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