Construction Delays Are Inevitable - Who Bears the Cost Depends on the Type of Delay
On virtually every construction project of any complexity, the actual construction duration exceeds the original contract time. Delays occur for many reasons: owner-directed scope changes that require additional time; architect RFI responses that take longer than expected; unforeseen site conditions; subcontractor labor shortages; material supply chain disruptions; severe weather; design deficiencies requiring field resolution; and contractor scheduling or execution failures. The critical question when a delay occurs is: who is responsible for the delay, and who bears the cost? This determination requires distinguishing between the types of delay recognized under construction contract law and the AIA A201, and it requires the architect to evaluate delay claims fairly and accurately as part of construction administration. The ARE CE exam tests delay analysis as a critical CA skill.
Types of Delays
Excusable delays are delays caused by events beyond the contractor's control - acts of God (severe weather beyond normal conditions for the region, floods, earthquakes, pandemics), acts of the owner or architect (late approval of submittals, late RFI responses, owner-directed changes), labor disputes, or other extraordinary circumstances. For excusable delays, the contractor is entitled to a time extension for the resulting impact on the critical path, but is not entitled to additional compensation (the contractor's own costs for the extended duration are not recoverable for excusable delays beyond owner-caused delays). Non-excusable delays are caused by the contractor's own failures - poor scheduling, labor management problems, subcontractor coordination failures, or inadequate planning. The contractor is not entitled to a time extension or additional compensation for non-excusable delays; if the resulting delay crosses the substantial completion date, the owner may be entitled to liquidated damages. Compensable delays are owner-caused excusable delays - delays caused by the owner's actions or inactions (late submittals approval, changes, owner-furnished material delays). For compensable delays, the contractor is entitled to both a time extension and additional compensation for the costs incurred during the extended period (extended general conditions, increased labor and material costs).
Critical Path Analysis for Delay Claims
A delay claim is valid only if the alleged delay event actually delayed the project completion date - i.e., if it delayed a critical path activity. A delay to a non-critical-path activity (one with float) does not delay project completion; the contractor must demonstrate that the delay consumed the activity's float and extended the critical path to claim time extension. Evaluating delay claims requires analyzing the contractor's baseline schedule, identifying the critical path at the time of the alleged delay event, and tracing the impact of the delay event on the critical path activities. This analysis requires CPM scheduling expertise; on complex projects with multiple concurrent delay events, delay analysis can be highly technical and contested.
Key Exam Points
- Excusable delay: beyond contractor's control; contractor gets time extension but not compensation (unless owner-caused).
- Non-excusable delay: contractor's fault; no time extension; contractor may owe liquidated damages.
- Compensable delay: owner-caused; contractor gets time extension AND additional compensation.
- Critical path: delay is only compensable if it delays a critical path activity; delay to non-critical activities with float may not extend completion.
- Architect's role: evaluate delay claims fairly; assess critical path impact; recommend time extension if warranted.
AREprep's CE construction administration content covers delay types, delay claim analysis, the architect's role in evaluating and certifying time extensions, and related construction administration concepts - giving ARE CE candidates the understanding of delay law and schedule analysis they need to answer construction administration questions about delays correctly and with the precision the CE exam requires.
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