The construction industry in India makes a significant contribution to the national economy and provides employment to large number of people. In spite of its contribution the construction industry was affected by number of problems. One of these pressing problems was the unethical behavior of professionals in construction industry, which affects long-term business dealings and influence quality, time and costs. Most of the Indian construction firm has not utilized the legal requirements in the

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... construction site. Unfortunately the industry was seriously infected with corrupt and unethical practices, which lay major obstacles towards growth and productivity of the industry. At the end it affects the national economy which has the direct influence to the national growth. The problems associated with the unethical practices in a construction firm at different level are discussed. Practical difficulties in adopting the legal issues and ways to avoid these problems were discussed.