The three key elements in construction contracting are cost, time and performance of the work, and an unambiguous agreement on these elements is essential to a successful project. Reaching an agreement on the element of time involves more than an agreement on the project schedule. It also requires an agreement on the consequences and treatment of delays. In this article, we will examine the concept of  “unavoidable delays,” i.e., a delay for which the contractor is not responsible and may be entitled to an extension of time, additional compensation or both.

The term “unavoidable delay,” when used in construction contracts, means any matter beyond the contractor’s reasonable control that demonstrably impacts the project schedule, including the date of substantial completion. Unavoidable delays are categorized as “excusable” or “compensable.” An excusable delay entitles the contractor to an extension of time; a compensable delay entitles the contractor to additional compensation, usually in the form of extended general conditions costs.

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