"Learn all about variation claims and change orders in this simple practical guide to variation claims." All too often, construction projects are finished late. Usually, the contractor is blamed. Contractors inevitably lose money because they are on the project longer than they planned to be. In addition, they are often penalised by the client for finishing late. But, is it always the contractor’s fault? Many of the delays experienced on a construction project are due to circumstances beyond the contractor’s control, which means that the contractor could have claimed an extension of time, usually including the additional costs that they incurred as a result of the delay. So why don’t contractors claim for these delays? The impacts of not completing your construction project on time Why contractors do not claim for delaysUnfortunately, contractors often fail to submit delay claims because:
"Many construction projects are delayed by the client or unforeseen events." Early notification of construction delays is importantIt is vital to notify the client immediately when a delay occurs. Not only can the client sometimes take steps to minimise the delay by rectifying the situation, but they also have the option of requesting the contractor to accelerate the work to catch up the lost time, or they can implement steps to avoid delay on their following activities. Contractors must understand the contractContractors must learn to be more focused on the contractual issues as well as the construction work. Those who don’t understand their contractual rights will run into trouble, costing them money which could ultimately sink their company. The contract document is there to protect the client’s rights as well as the contractor’s rights, and no client can object to a contractor’s legitimate delay claim. Indeed, in the course of my career, I’ve been involved in over 120 projects for a multitude of different clients and many of these construction projects have involved variation and delay claims. Almost every one of these claims was settled amicably, even though some involved substantial increases to both the value and the time of the project. In nearly every case we went on to do further projects with the client. Should construction project managers take the lead with variation claims? "Contractors must understand their construction contracts." Delay claims must be provenOf course, it is important that every delay claim is backed up by sound logic and information. Regrettably, some contractors only focus on submitting claims, often variation claims which are only desperate attempts to claw back time and money that has been lost due to their own mistakes. Many of these variation claims or change orders have no sound basis and are a waste of the contractor’s and the client’s time. In my next article, I’ll discuss some reasons the contractor can’t claim a delay for. How to Make your Construction Change Order Claims Successful When Can Contractors Claim for Additional Time?Contractors can claim for additional time when:
"Get more practical construction management tips and insights." Know your rights when construction delays are not your faultIt is important that contractors understand the construction schedule and the contract document. Contractors should immediately notify the client when a delay event occurs so that the delay can be minimised. In fact, where ever possible remind the client ahead of time when information and access is required, or when you foresee a potential problem. Review construction drawings early to ensure that they have all the required information for construction. Be proactive to where ever possible limit delay claims. How to avoid construction disputes Don’t get beaten up for completing a construction project late when the delay wasn’t your fault, or it was caused by something you could not have reasonably expected, or avoided. If you are not sure about a contractual issue ask for expert advice. Wise up to your contractual rights. My book: ‘Construction Claims: A Short Guide for Contractors’ provides some useful guidance, as do many other similar books. Is your project being delayed by circumstances outside your control? What are some of the delays that you have experienced on your projects? This article was first published on the ClockShark website. Please share this post ![]() To read more about the author’s books and find out where you can purchase them visit the pages on this website by clicking the links below:
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The opinions expressed in the attached articles are those of the writer. It should be noted that projects are varied and different laws and restrictions apply which depend on the location of the contractor and the project. It's important that the reader uses the supplied information taking cognisance of their particular circumstances. The writer assumes no responsibility or liability for any loss of any kind arising from the reader using the information or advice contained herein. "I have what I consider some of the best books on construction management."
Books are available from: Amazon.com Amazon.co.uk takealot.com kalahari.com Amazon.in Amazon.de Amazon.fr Amazon.it Amazon.com.au Powell's Fishpond uread bokus Amazon.ca Amazon.es Other retail stores Available in paperback or on Kindle "28 YEARS OF CONSTRUCTION PROJECT MANAGEMENT EXPERIENCE, DEVELOPING SUCCESSFUL CONSTRUCTION PROJECT MANAGERS AND BUILDING SUCCESSFUL CONSTRUCTION COMPANIES"
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