University of North Carolina Hospitals

Brief

From 2001-2003, University of North Carolina Hospitals (UNC Hospitals) underwent major new construction and renovations with the construction of the Women’s and Children’s Hospitals in Chapel Hill, NC. The two hospitals were finished months after scheduled completion. Contractors and UNC Hospitals each claimed excess costs caused by other parties on the project. The contractors filed claims alleging that UNC Hospitals, along with the architects and engineers, were responsible for impacting their work. UNC Hospitals counterclaimed that the contractors were responsible for the excess costs on the project.

What we did

HKA was retained by UNC Hospitals and the State DOJ to assist in resolving the dispute. Our experts reviewed and analyzed claims submitted by the civil, mechanical and electrical contractors, and prepared counterclaims for work that was the responsibility of the contractor but performed by UNC Hospitals.

HKA worked directly with UNC Hospitals, the architect and engineer, and the State DOJ to assess the causes and responsibility for added costs and project delays. Our experts documented the costs incurred by UNC Hospitals to support their counterclaims.

Additionally, HKA experts analyzed claims that the contractors submitted, along with their justifications of the cost and schedule impacts leading to their claims. We provided expert testimony in an administrative hearing and presented our findings in mediation and settlement negotiations.

Outcomes

The expert analysis conducted by HKA helped the parties understand the facts of the case and the real causes of the problems experienced on the projects, as well as the strengths and weaknesses of the parties’ respective positions.

Through the work of our experts, the parties retained important information that helped them to arrive at a settlement that was determined to be reasonable for all parties. As part of that settlement, UNC Hospitals’ payments were significantly less than the amounts that the contractors had claimed.