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Construction Mediation Services in Texas

Construction mediation services give owners, contractors, design professionals, and other project participants a private setting to negotiate contract, payment, delay, defect, and performance disputes. John W. Hughes serves as a mediator, helping the parties identify disputed issues, evaluate litigation risks, and explore practical settlement options.

Construction dispute mediation may take place before a lawsuit, during litigation, or when required by a contract or court order. As a form of construction contract dispute resolution, mediation allows the parties to retain control of whether to settle and what terms to accept.

Architects in hard hats reviewing construction plans in a professional office

Is Construction Dispute Mediation Right for Your Case?

Construction dispute mediation may be appropriate when the parties want to address interconnected claims, retain control of the outcome, or explore settlement before incurring additional litigation costs.

Construction disputes brought to mediation may involve:

  • Contract interpretation and breach of contract
  • Payment, nonpayment, retainage, and lien-related claims
  • Change orders, added work, and disputed project scope
  • Project delays, scheduling conflicts, and disruption
  • Defective work, workmanship, and performance claims
  • Cost overruns and disputed project charges
  • Warranty, repair, and completion disagreements
  • Architectural, engineering, and design-related claims
  • Insurance coverage and construction-related claims
  • Conflicts among owners, developers, contractors, and subcontractors

Contractor mediation may involve owners, developers, general contractors, subcontractors, suppliers, architects, engineers, insurers, and sureties (bonding companies that guarantee certain contractual obligations).

Mediation does not guarantee settlement. Mr. Hughes does not decide the dispute, impose an outcome, provide legal advice, or represent any party. His role is to facilitate communication and negotiation so the parties can determine whether an acceptable resolution is possible.

When Should a Construction Dispute Be Mediated?

Mediation can be considered before litigation begins or while a lawsuit, arbitration, or construction project is ongoing. Beginning the discussion earlier may give the parties more options, but the appropriate timing depends on the contract, available information, and the status of the dispute.

Before proceeding, counsel should review the construction agreement’s dispute-resolution provisions and any applicable court order. These documents may establish required procedures, deadlines, participants, or conditions that must be satisfied before mediation.

For general information about court-referred mediation in Texas, review the Texas Civil Practice and Remedies Code, Chapter 154.

How Do Construction Mediation Services Work?

Mediation with Mr. Hughes follows a clear process adapted to the parties and the complexity of the construction dispute.

Step 1: Initial Consultation and Preparation

Mr. Hughes discusses the dispute, parties, claims, and scheduling with counsel. Before the session, each party provides the information reasonably necessary for him to understand the issues.

Useful materials may include:

  • Construction contracts and related agreements
  • Change orders and requests for additional work
  • Payment applications, invoices, and account records
  • Project schedules and delay analyses
  • Correspondence and notices
  • Photographs, plans, and inspection reports
  • Repair estimates and completion proposals
  • Expert reports, when applicable

Step 2: Joint Session, When Appropriate

Mr. Hughes may bring the parties and their counsel together to identify the disputed issues and hear each side’s perspective. This is a structured discussion, not a trial or evidentiary hearing.

Step 3: Separate Caucuses

Mr. Hughes meets privately with each side to discuss the dispute, underlying interests, litigation risks, and realistic settlement options. Confidentiality is governed by applicable law, the parties’ agreement, and the mediation rules.

Step 4: Negotiation and Agreement

Mr. Hughes facilitates negotiations and communicates proposals between the parties. The objective is to determine whether the parties can reach a mutually acceptable resolution.

If an agreement is reached, Mr. Hughes may assist with documenting the settlement terms.

Step 5: Resolution or Continued Negotiation

When the parties agree, they resolve the dispute on terms they accept. Mediation may also help preserve an ongoing construction project or business relationship when that is important to the parties.

If the dispute does not settle during the scheduled session, Mr. Hughes may continue working with the parties afterward to help address the remaining differences.

Who Should Attend Construction Mediation?

Everyone necessary to evaluate and approve a settlement should plan to attend. Party representatives must have sufficient authority to negotiate and approve an agreement.

Depending on the dispute, participants may include:

  • Owners and developers
  • General contractors
  • Subcontractors and suppliers
  • Architects, engineers, and design professionals
  • Insurers and sureties
  • Experts and consultants, when appropriate
  • Attorneys representing the parties

Counsel should identify the required participants and decision-makers before the scheduled mediation.

How Much Does Construction Mediation Cost?

The cost depends on the complexity of the dispute, the number of negotiating units, the time reserved, and any location requirements. Mr. Hughes discusses the matter with counsel and obtains the parties’ approval of the fee before mediation begins.

Mediation is charged at an hourly rate with a four-hour half-day minimum or an eight-hour full-day minimum. Each negotiating unit pays its portion in advance. Fees and expenses are generally divided equally among the negotiating units unless the parties agree otherwise. Additional time and location charges may apply.

Because the fee arrangement is established before the session, the parties understand how the mediator’s fee will be allocated before mediation begins.

Why Choose John W. Hughes for Construction Mediation?

Mr. Hughes has practiced law since 1967 and served as a mediator since 1992. His relevant experience includes construction disputes involving contracts, defects, performance, property, and architectural and engineering claims.

His perspective also extends beyond the courtroom. From 1984 to 1991, Mr. Hughes worked in real estate, oil and gas exploration, manufacturing, and the marketing of industrial equipment and products. Having started and operated businesses, he understands the operational pressures, contractual obligations, financial considerations, and commercial relationships that often influence construction disputes.

Attorneys and parties work directly with Mr. Hughes throughout the mediation process.

The Association of Attorney-Mediators’ Ethical Guidelines provide additional information about neutrality, confidentiality, disclosure, and professional conduct in mediation.

Request a Construction Mediation Date

If you are an attorney referring a construction matter — or an owner, contractor, business, insurer, or other project participant considering mediation — you can review available dates and submit an appointment request. Mr. Hughes’s staff will contact you to confirm scheduling.