Time is Money: Construction Contract Times, Delays, and Schedules-Time is Money Construction Contract Times, Delays, and Schedules Slides

Time is Money Construction Contract Times, Delays, and Schedules Slides

Pdf Summary

The presentation "Time is Money: Construction Contract Times, Delays, and Schedules" by Kevin O’Beirne, PE, discusses key aspects of construction contract timing, delays, damages for late completion, and schedule review responsibilities. It is intended for project owners, design professionals, construction managers, and staff involved in construction administration.<br /><br />Key topics include how to determine stipulated contract times, emphasizing the need for careful design-phase scheduling to avoid pitfalls of overly short or long contract durations, which can increase costs, claims, and project disruption. Contract times can be specified as dates or durations, requiring clear definitions of start times.<br /><br />The presentation addresses common types of construction delays: contractor-caused, owner-caused, and force majeure events, detailing risk allocations and associated consequences. Owner-caused delays generally entitle contractors to time extensions and additional compensation, while contractor delays usually result in no time extension or payment.<br /><br />Financial damages like liquidated damages (LDs), which are pre-agreed estimates of damages for late completion, are explained. Effective LD clauses should be reasonable, project-specific, and supported by documentation. The presentation advises against “no damages for delay” clauses that unfairly limit contractor compensation and discusses concurrent delays where both parties share responsibility.<br /><br />Enforcement of damages requires thorough documentation, professional communication, and timely change orders. Advice is given on how owners and design professionals should communicate delays, consider reductions in payments, and the sensitive role of alerting sureties.<br /><br />Regarding construction progress schedules, the presentation highlights the contractor’s responsibility for preparing and complying with schedules that demonstrate logical task sequencing and adherence to contract times. Reviewers (design professionals, CMa) should limit their review to contract compliance and reasonableness without managing construction means or methods, avoiding overstepping their roles.<br /><br />Resources including industry practice guides and contract documents are cited. The presentation reinforces understanding of contract time determination, delay types and risks, damage enforcement, and appropriate schedule review to optimize construction project success.

Keywords

Construction Contract Timing

Construction Delays

Liquidated Damages

Contract Schedule Review

Project Owner Responsibilities

Design-Phase Scheduling

Contractor Delays

Owner-Caused Delays

Force Majeure in Construction

Construction Project Management