D&A LLC successfully represented Godeok Clean Energy Co., Ltd. (the “Client”) in an arbitration involving design changes and claims for additional construction costs in a power plant construction project, securing a partial award by limiting the recognized amount to approximately KRW 9 billion out of a KRW 23 billion claim, with the remaining approximately KRW 13 billion dismissed.

In this case, SK Ecoplant, as the contractor under the power plant construction agreement, asserted substantial claims for additional construction costs, citing reasons such as design changes, extensions of the construction period, acceleration works, and price fluctuations. Accordingly, the key issues in dispute included the necessity and scope of the design changes, whether the relevant works qualified as additional works, and the justification for any increase in construction costs.

D&A conducted the arbitration by closely analyzing the construction progress, the contractual structure, the reasons for the design changes and the basis for construction cost estimations, while strategically organizing technical data and supporting evidence. As a result, D&A successfully contested a substantial portion of the opposing party’s claims from being recognized, thereby significantly reducing the Client’s financial exposure. 

This case involved a large-scale construction dispute where the scope of recognized design changes and additional construction costs was a central issue. It was a complex matter requiring a combination of a detailed technical analysis and precise contractual interpretation. Leveraging its extensive expertise in construction disputes, D&A effectively structured the key issues and achieved a meaningful outcome for its Client.