Our client – a structural engineering expert – approached GCM to review a legacy commercial agreement that had escalated into a dispute.
GCM led negotiations with the main contractor, which resulted in a £290,000 cash settlement, the removal of all liabilities tied to the old asset and an additional £800,000 for further work on the project.
Known for its expertise in structural engineering, our client is a multi-disciplinary contractor that supports largescale commercial developments throughout the UK.
Our was involved in a long-standing agreement tied to a seven-year-old asset that was no longer in use. Due to the nature of their original agreement, Taziker risked financial exposure including potential costs for collecting and redistributing the unused asset.
The situation had escalated into a dispute, with the main contractor threatening to withhold payments. Taziker turned to GCM to conduct an in-depth review of the agreement and to steer negotiations toward a resolution.
GCM’s team conducted a full commercial audit of our client’s previous agreement, identifying key liabilities, opportunities for recovery and routes for negotiation. In collaboration with our client’s team, GCM reconciled the contract in detail and presented a clear risk/reward model to senior leadership.
We were appointed to lead negotiations with the main contractor on our client’s behalf, with the aim of reaching a settlement that would reduce financial risk and turn a liability into a positive commercial outcome.
GCM’s negotiation strategy delivered several commercial wins. We agreed a £290,000 cash settlement with the main contractor and removed our client’s obligation to recover and redistribute the asset, representing a £150,000 cost saving.
We also secured £800,000 in additional revenue for our client’s continued involvement in the project through scaffold labour supply. The new terms removed future liabilities, meaning our client would avoid the risk of non-payment in the future.
To learn how we can support your construction business, speak to a member of our team.
