Our Team offers focused and strategic advice on all types of construction delays. Whether you are a contractor, subcontractor, developer, employer or professional consultant, understanding delays is essential to protecting your legal and financial position.
Delays
Construction delays occur when a project does not progress according to the contractual timeline. Delays can be caused by either party, or neither party, and often require complex legal and technical analysis to resolve.
Employer Delays
These delays occur when the client (or their representative) hinders project progress. Examples include late access to the site, delayed approvals or late payment.
Contractor Delays
These delays are caused by the contractor or subcontractors. Examples include poor project management, labour shortages or supply chain issues.
Concurrent Delays
This refers to situations when both the employer and contractor cause delays, simultaneously. In such cases, determining liability often requires detailed delay analysis including assessing causation and impact on critical path and calculating losses.
Extensions of Time (EOT) & Time at Large
A valid EOT allows a contractor more time to complete works due to qualifying delays. Without it, a contractor may be unfairly penalised for delays beyond their control. If no proper mechanism for EOT exists, time may be set “at large", meaning the contractual completion date falls away and is replaced by the requirement to complete in a "reasonable time”.
Liquidated and Assessed Damages (LADs)
LADs are pre-agreed sums payable by a contractor for late completion. If EOTs are not granted, despite the presence of qualifying delays, LADs may be wrongly levied, leading to disputes.
Relevant Events
Relevant events are specific circumstances under a contract that may entitle a contractor to EOTs. These typically include:
- Variation or change instructions
- Suspension by the contractor (e.g. for non-payment)
- Impediment or default by the employer
- Exceptionally adverse weather
- Industrial action or strikes
- Force Majeure events
Each specific circumstance must be assessed carefully to determine entitlements and impacts.
The Significance Of Delays
Construction delays can paralyse projects, devastate commercial relationships and generate significant financial distress.
Project delays adversely impact programme delivery, subcontractor coordination and financing. Financial losses can accumulate quickly, especially if EOTs are denied and LADs are applied, potentially threatening business solvency.
How To Deal With Delays
Managing construction delays effectively starts with proactive legal and contractual preparation:
Clear Drafting
Ensure that delay clauses are robust, fair and aligned with risk allocation.
Understand the Contract
Interpret and apply delay clauses correctly. This is central to risk management.
Follow Contractual Procedures
Adhere strictly to notice requirements and deadlines. Failure to do so notices may lead to forfeiture of rights and entitlements.
Maintain records
Maintain thorough and contemporaneous records. This is essential for particularising and substantiating EOT requests/responses and LADs claims/defences.
Communication
Act early and decisively. Silence can be construed as acceptance.
Avoid Global Claims
Link each delay event to a specific time impact. Avoid overreaching, composite claims that are unlikely to succeed.
Act Quickly
Avoid a ‘wait and see’ approach. Delay claims are time-sensitive, and evidence can quickly become diluted or lost.
Protection For Employers and Contractors
Well-drafted delay clauses serve both parties to a construction contract. Employers gain certainty on target completion and access to enforceable LADs if works overrun. Contractors benefit from clear rules on EOTs and protection from open-ended claims for general damages.
Early Expert Input Is Crucial
Our Team combines legal, technical and evidential experience. Whether you're seeking to enforce your right to EOTs or defend against unjust requests for LADs, our early involvement could be critical to achieving your desired outcome.
Legal Assistance
If you need help in relation to delays, including requests for EOTs, assertions that time has been set “at large” and/or claims for LADs, we can help.
We recognise that every dispute is unique and strive to offer pragmatic, tailored and creative legal solutions and to maximise outcomes for our clients.
How to Get in Contact
If you require advice on Construction Law and are interested in finding out how we can help, please contact Paul O’Donnell at paul.odonnell@culbertellis.com or call 07521 417579.
Related Services
- Contracting
- Dispute Resolution
- Expert Delay Analysis
- Professional Liabilities