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Navigating Delay During the Coronavirus Outbreak

Posted By Trent Cotney, WSRCA Legal Counsel, Friday, October 16, 2020

With construction projects being suspended or terminated for convenience across the United States, roofing contractors are routinely faced with having to make claims for either additional time and/or costs as a result of delay to avoid costly liquidated damages provisions for missing scheduled completion dates. Owners routinely insert disclaimers and limitations of liability clauses in contracts that may limit or bar a contractor or subcontractor’s ability to collect additional compensation for work performed because of unexpected conditions and delay.

Owners frequently insert “no damages for delay” provisions in construction contracts to prevent a roofing contractor (and any subcontractors) from obtaining additional compensation for delays that have been experienced on a project. Under the typical “no damages for delay” clause, the contractor or subcontractor is entitled to additional time, but not compensation for extra costs, incurred as a result of delays. Such clauses can be effective whether the delay is caused by the Owner, or by an act of God, such as COVID-19, unless contractually provided otherwise.

The standard “no damages for delay” clause typically provides something similar to the following:  CLICK HERE TO CONTINUE...

Tags:  LEGAL  SAFETY 

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