Project Schedule Delay and Weather Impact
A general contractor is managing a 12-month project to construct a 5-story office building. The project is 6 months into construction and is currently 3 weeks behind schedule due to a combination of a 10-day delay from an unusually severe snowstorm (which exceeded the historical average by 200%) and a 5-day delay from a subcontractor's late delivery of steel beams. The contract includes a liquidated damages clause of $5,000 per day for late completion. The owner has requested a time extension for the weather delay. The contractor must analyze the schedule and determine if a time extension is warranted and what actions to take to mitigate further delays.
1. Is the contractor entitled to a time extension for the weather delay? Explain.
Read the worked answer
Under standard construction contracts (e.g., AIA A201), the contractor is entitled to a time extension for delays caused by unusually severe weather that could not have been reasonably anticipated. The snowstorm exceeded historical averages by 200%, which qualifies as unusually severe. However, the contractor must provide notice and documentation. The 10-day delay is excusable and compensable only if the contract so provides; typically weather delays are excusable but not compensable (no additional cost). Therefore, the contractor should request a 10-day time extension, which would adjust the substantial completion date and avoid liquidated damages for those days. The 5-day delay due to subcontractor is not excusable; the contractor bears that risk.
2. What actions should the contractor take to mitigate further delays and manage the schedule?
Read the worked answer
The contractor should: 1) Update the schedule to reflect the current delays and identify critical path impacts. 2) Request a time extension for the weather delay with supporting weather data. 3) For the subcontractor delay, consider recovery measures such as overtime, additional crews, or resequencing work to make up time. 4) Communicate with the owner and subcontractor to resolve delivery issues. 5) Document all delays and mitigation efforts. 6) Analyze if the delays are concurrent; if so, the contractor may only get extension for the weather delay. 7) Consider acceleration if the owner requires completion on original date, but negotiate cost.