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).
Navigating the Requirements for Claims against Virginia Public Entities
Contractors making claims against Virginia public entities must follow ALL applicable requirements. Such requirements may be found in several places, so check […]
Virginia General Contractors Not Protected from Pre-Work Claim Waivers
On March 2, 2018, the Governor approved an act of the Virginia General Assembly to make unenforceable pre-work waivers of lien rights […]
Adding Terms to a Government Contract without Saying So
Imagine an incredulous Contractor asking, “Show me in the Contract where it says I’m supposed to do X?” The Government Contracting Officer smugly answers, “even though the Contract doesn’t say so, you must do it anyway.” Is that even possible, when, how?
Differing Site Conditions: When the Part Does Not Equal the Whole
If all apples are fruit, then why are all fruit not apples?
Forum Selection Can Be a Home-Court Advantage
I promise that any disputes between us will be argued at your house. Time passes and a dispute begins to brew. Now, I want to argue at my house, not at yours. You pay costs to argue at my house that you wouldn’t have incurred had I done as agreed. Should I have to reimburse your costs?
No-Damage-for-Delay and Owner-Related Dispute Clauses are No Defense to Surety Liability Under Miller Act
Prime Government Contractors - you may need to update your interim payment waivers.
Contractual Fairness is Whatever the Parties’ Agreed
When you know a current action or inaction is wrong, but you do not object, should you be allowed to object later?
Which Comes First – Specifications or Drawings?
Sometimes it's not better to ask for forgiveness after-the-fact.
Government Contract Claims: When Appeal is Rejection of Settlement
Without a reservation of rights, appealing a Contracting Officer’s Final Decision is a rejection of any offer of payment or settlement included therein. So, the contractor had only three options.
