The Contractor’s Gamble: Disclose the Defect or Hope it Never Fails

In modern construction projects, the timely identification and disclosure of emerging risks is central to effective project risk management. Standard forms such as the FIDIC Conditions of Contract incorporate notification and early warning mechanisms designed to encourage transparency and collaborative problem-solving between contracting parties. When properly implemented, these mechanisms enable project participants to identify and mitigate technical, operational, and commercial risks before they escalate into delays, safety incidents, or costly disputes.