After several decades in the industry, holding a variety of positions, and most notably serving as an expert witness in construction defect litigation, I have learned a few valuable lessons. I find that most wall and ceiling contractors, both large and small, routinely fail to protect themselves from litigation and claims of defective work adequately. Most people feel that litigation will not happen to them or that they can handle it if and when it occurs.

The vast majority of contractors do what they were taught or believe to be the industry standard or acceptable practice. While most contractor installations are effective, that may not be enough to adequately protect yourself in the event of litigation. The infamous punch list—and how it is managed—is another area with potential liability or protection.

Miscommunication and the Power Dynamics on the Jobsite

The vast majority of projects start amicably between the contractor, designer, and building owners, with all parties getting along. Miscommunication is the first red flag that pops up. As communication breaks down, tensions can skyrocket. Due to the golden rule, subcontractors are generally in the worst position. The golden rule is that the building owner holds all the gold and, subsequently, most of the power. Even if the general contractor has empathy for the subcontractor, they tend to side with the owner because they know who holds the winning hand.

I have been on many job sites and often considered the mediator to provide a resolution to construction disputes. Just as in court, each side believes it is in the right and rarely is the situation simple to discern. I find that being a good mediator involves seeing each side's position, understanding it with empathy, and then being fair. Explaining your decision or ruling can be tricky, particularly if both sides feel slighted in the decision.

Ironically, I often heard the owner say, “…with this contractor it was bad from day one.” When I asked why they chose the contractor, the owner admitted communication issues were now clear. This acknowledgment shifted the focus from blame to finding a solution. In short, let’s stop blaming and work toward a resolution.

Turning Punch Lists into Solutions Instead of Battles

I found that building owners could be the toughest party to win over. Acknowledging an owner's concern was a good first step, best done when the subcontractor was not present. Naturally, contractors become defensive when accused of lacking craft, ethics, or responsibility. Yet, most of the time, work exceeded minimum industry standards.

The punch list often became the focal point of disputes. In some cases, it was a three-ring binder filled with endless pages of perceived defective work. For drywall, the walls would be covered with blue tape pieces—often so many it was impossible to tell what was being flagged.

After letting the owner vent, I would intervene with a reminder: “Most subcontractors would give up all their profit to make you happy, but very few are willing to go bankrupt to do so. At this rate, you’re both heading to court, where no one wins.”

I then proposed re-walking the project to create a more reasonable punch list. Nearly every time, subcontractors agreed on the spot to complete the revised items.

I valued this process for producing fairer outcomes. By gauging each side’s pain threshold and keeping the discussion grounded, disputes were resolved without unnecessary escalation. I recall one subcontractor who initially refused my revised list, only to be persuaded by his girlfriend (who later became his wife and business partner).

Together, they grew a successful plastering company. Watching that transformation was as rewarding as any settlement I ever brokered.