18 months of work, 7 stakeholders, 3 time zones, €400,000,000 at stake: it sounds like a pitch for a TV series, but it is the daily reality of many major infrastructure and construction projects. Behind the scenes, a discreet player ensures that everything goes according to plan: the contract manager. 

What is contract management? 🔍

Contract management is a cross-functional practice at the intersection of contract law, project management and business strategy. In complex projects, where contracts can run to hundreds of pages and every clause can affect the schedule and the budget, it is crucial to have a clear, rigorous and proactive view of contract execution.

In practical terms, the contract manager supports the project from its inception: negotiating the initial contract and its amendments, managing risks, monitoring deadlines and duties, anticipating and resolving disputes, throughout the project and after its completion. 

Why is it so important in complex projects? ⚠️

Take the example of a hospital construction project: several companies, subcontractors, a public project owner, sensitive equipment to be integrated, a strict delivery deadline.... The slightest delay or disagreement can have considerable financial, logistical and reputational consequences. 

So why opt for a lawyer rather than a traditional project manager?

Because in this type of project, the law is omnipresent.

In this context, the contract manager lawyer:

• identifies, negotiates and drafts sensitive clauses (penalties, liabilities, guarantees, conditions precedent, etc.);
• helps to structure an effective internal procedure by coordinating the sales and operational teams to ensure compliance with contractual obligations;
• alerts the parties to legal risks or potential obstacles;
• prepares, from the outset, the case file for possible litigation or arbitration proceedings.

At Medici, with nearly 20 years of experience in France and internationally, we are involved in all these stages:

• Upstream, to secure contracts and anticipate risks;
• During the project, to support operational teams in the event of failures in the field, ensure legal compliance, and to advise on effective internal processes;
• In the event of a dispute, to defend the client's interests, favoring an amicable settlement, and in case of failure, we represent our clients before the courts or in arbitration, thanks to our in-depth knowledge of the case acquired during the project follow-up as contract manager.

Thus, the involvement of a contract manager lawyer during the project is a real strategic and economic lever for the client. A study by the IACCM (International Association for Contract and Commercial Management) reveals that poor contract management leads to a 9.2% loss in project revenue, which has a significant impact on profit margins.

In large projects, anticipation is always better than repair. A well-managed contract becomes a real asset for the company, while a poorly managed contract can incur significant costs. 🚧

For more information: Contract Management.

#Medici #Contractmanagement