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Delay Claims
Nowhere is the phrase "time is money" more true than on a construction project. Owner's often finance their construction projects, and with each passing day the financing charges increase. Similarly, the use of a contractor's equipment often includes time based charges, and the presence of equipment on one site where construction has stalled may interfere with the contractor's ability to use that equipment profitably on another project. And, of course, an owner who ultimately hopes to put developed property to business uses confronts potential lost revenue for each day that the construction project remains incomplete. Recognizing inherent time related risks on construction projects, many construction contracts contain important time-based provisions, such as those that require construction to be completed by a specified date, "time is of the essence" clauses and liquidated damages clauses. Each of these can have a substantial impact on a construction project, as well as claims for delay and inefficiency that may result.
Further, if a construction project has been delayed, evaluating the legal consequences of those delays can be a complicated process that involves far more than merely identifying the date when construction was supposed to be completed and the date when it was eventually completed. For example, was their an intervening cause beyond the control of the parties, such as a flood, an earthquake or a labor strike? If not, what actually caused the delay? Was the project delayed because a given party failed to perform its portion of the work on time and did that result because a different party, who was required to perform certain work or supply certain material, failed to do so? All of this addresses a complicated process called critical path method analysis, which is one common approach used to determine responsibility for construction delays and which often requires expert analysis and testimony.
The Howard Law Firm llc has substantial experience successfully representing owners, design professionals, general contractors and subcontractors in numerous delay claims on large complicated construction projects. We have worked closely with scheduling and costs experts and understand how these claims work. If you confront issues involving the timely completion of work on a construction project, The Howard Law Firm llc can help you. Please call us for a free consultation.