Delays, Schedule & Damages

Time is money, and the contract assigns who pays when a job runs late.

Types of delay

• Excusable & compensable — owner-caused (late info, owner changes): you get time and money.
• Excusable, non-compensable — neither party's fault (unusual weather, acts of God): you get time, not money.
• Non-excusable — your fault: you get neither, and may owe damages.
• Concurrent delay — both parties cause delay at once; remedies get complicated.

Damages clauses

• Liquidated damages (LDs) — a preset $/day the owner deducts for late completion. Know the number before you bid.
• No-damage-for-delay clauses try to bar your delay costs (enforceability varies by state).
• Acceleration — being forced to speed up (add crews/overtime) to recover time; constructive acceleration may be compensable if you were wrongly denied a time extension.

The defense is a baseline schedule, updates, and timely written notice of every delay.

Takeaway: Classify every delay (excusable/compensable?), know the liquidated-damages rate before bidding, watch no-damage-for-delay clauses, and protect yourself with a baseline schedule and timely written notice.

Educational overview — not legal advice. Construction law varies by state and by contract; consult a licensed construction attorney for your situation.