Residential and commercial construction projects need the coordination of many specialists and tradespeople, which may be time-consuming. The previous one must be completed first to go on to the next step. In other words, delays in the building may be expected in advance. How do you deal with unforeseen delays? Who bears the financial burden of a delay? How can a party defend itself against delays that are too long? What is the purpose of a delay claim in a building project? The Walthew Law Firm should be able to address all of these inquiries.
CLAIMS FOR CONSTRUCTION DELAYS
Construction delays are not uncommon, as shown above. It is because of this that disagreements between owner and contractor are prevalent. However, not all setbacks may be taken advantage of. A contractor or a property owner should know the circumstances under which they may be entitled to damages and what defenses they may use to avoid a delay claim.
CLASSIFYING THE DELAY CLAIM
There are several ways to classify delay claims to identify who is responsible for paying them. Three elements must be taken into consideration in this system: First, determine if the delay is significant or noncritical, and second, whether the delay is excusable or not excusable, and third, whether the delay may be compensated or not.
- It doesn’t Matter Whether A Delay Is Important Or Not.
What constitutes a “critical” delay? It is essential if a postponement affects a crucial milestone or the project’s completion deadline. Delays of this magnitude, in terms of both time and money, might cause the completion of the forecast to be significantly delayed. Delays may be critical or non-critical depending on the severity of their impact on the project’s schedule and expense.
- Delays Are Either Excused Or Not
Delays beyond the contractor’s control are excusable delays, which are delays that push the completion date back. In building contracts, it is standard practice to include a provision for unavoidable delays. Weather occurrences that fall under the “act of God” or “force majeure” clause are a classic example of the excusable delay. In most contracts, a force majeure event like a significant snowfall, floods, or a terror incident is considered an excuse for a delay. As a result of mistakes in the building designs or delays caused by government permission backlogs or inspection schedule alterations, delays are also prevalent in construction projects.
- Delay May Either Be Compensated For Or Cannot Be Compensated.
If indeed the delay is understandable, the contractor may be entitled to compensation. This indicates that the contractor may be granted an extension to finish the job if there is an excused delay. Additional expenditures spent because of the delay may also be reimbursed to the contractor.
The time is typically not compensated when the contractor is entirely to blame for an unacceptable delay. The contractor is likely to be held responsible for any expenses or losses done by the venture owner/client due to the delay in the project.
DEFENSES TO THE CLAIM OF DELAY
There is a snag in the building process. When a claim has been categorized, it’s critical to look at additional pertinent information. Defenses against a party’s responsibility typically rest on these characteristics, and they may have an impact on a claim’s plausibility. Factors to take into account:
- The contract may limit both parties’ blame for delays. Whether you live in an area where such contract clauses are not enforceable, you may want to review the contract’s text to see if it may be enforced.
- Before a claim may be considered valid, the agreement may require that the parties provide notice. “Time is of the essence” clauses may make delays more challenging to accept.
- A responsibility to avoid or reduce harm exists when both parties reasonably anticipate a delay. Due to a lack of action, the contractor might be held responsible for delays caused by damage to the property due to the contractor’s inaction.
- Parties in a multi-event situation may find it difficult to ascertain who is at blame and how much of a loss each party is responsible for. It’s okay to share the inconvenience of a delay with others.
A PROFESSIONAL LAWYER CAN ASSIST YOU IN PURSUING A CONSTRUCTION DELAY CLAIM
Delays in the building process have a significant financial impact. As construction projects grow in size and complexity, it becomes more challenging to assign responsibilities. Contact a trusted law firm for assistance if your construction project is being held up due to a delay. You may be sure that your interests are well-protected when they are on your side.