Contractors know that time is money. So, the point is clear when expressly told to “Speed Up! Go Faster!”
But, what do you do when the Owner says, “You must still meet the deadline and I’m not giving you any more time.” Preserve and pursue a claim against the Owner for constructive acceleration.
Constructive acceleration occurs when the owner or government demands compliance with an original contract deadline, despite a delay. In such cases, the contractor may be entitled to reimbursement for expenses actually and reasonably incurred in complying with an (implied) acceleration order.
But, the Contractor must prove:
- Excusable Delay: a delay that is neither the fault of the owner or contractor;
- Request: The Contractor timely and sufficiently requested more time;
- Denial: Owner denied or failed to timely respond to Contractor’s request for more time;
- Demand: Owner demanded Contractor meet deadline;
- Timely Notice: Contractor timely notified Owner that Contractor understood the Owner’s demand as constructive acceleration; and
- Damages: Contractor incurred damages due to Owner’s unreasonable demand(s).
Acceptance and Intervening Cause Avoided Construction Warranty Claim
Like cars, computers, and appliances, construction projects include warranties too. Similarly, construction project warranties are limited to causes within the contractor’s control […]
Insurance Company Had No Duty to Defend Under Eight Corners Rule
To decide if an insurer has a duty to defend, a Virginia State or Federal Court may only look at the allegations in the complaint and the insurance policy to determine if a judgment against the insured will be covered by the policy.
Owner SOL When Mandatory Mediation Didn’t Toll Statute of Limitations
Contract interpretation strives to find the meaning of all parts together.
Government Must Review Claims in Good Faith, Not “Conjure Up” a “Baseless Retaliation”
A contracting officer’s review of certified claims submitted in good faith is not intended to be a negotiating game where the agency may deny meritorious claims to gain leverage over the contractor.
Termination for Convenience was OK to Get a Lower Price
When Massachusetts’ highest State court rejected Federal law on termination for convenience (T4C) a public entity’s “sole discretion . . . for […]
Pirates (Parties) Should Arbitrate Arbitrability
Yes, the word “pirates” is an anagram for “parties.” Participants in a lawsuit, arbitration, or mediation are collectively referred to as parties. Are they pirates too?
Very Bad Behavior Without Bad Faith is Not a Breach of Contract
Despite “abhorrent” behavior by the Army Corps of Engineers, a majority of the Armed Services Board of Contract Appeals held there was […]
Government Construction Contracts Require Bonds, Even When Contract Doesn’t Say So
Yesterday (Nov. 5, 2018), the Fed. Cir. Ct. of Appeals again endorsed the Christian doctrine, which can make unstated requirements part of a government contract.
Government’s Negligent Estimate a Trick?
The Government’s negligent estimate failed to provide the “most current information available.”










