What to do regarding concurrent delays?

3 weeks ago

Hallo.

I’m a student, and I have been handed an assignment on concurrent delays. How would it be determined who receives compensation in the end? The main contractor(A), the subcontractor(B) or the employer(C)?

Because if A is to receive a penalty, but then states that B caused that penalty, and therefor the penalty should be deducted from the compensation to B. B however then states that the delay was caused by the owner and the shortage of material as well as having to wait for confirmation from A to install the available material.

Not really from Washington DC…I’m from South Africa

Senior Legal Associate Levelset

Admittedly, I’m not an expert on calculating delay damages or navigating delay claims – and I’m not sure I’ll be able to help you with your assignment. But, I can help explain some basics on concurrent delays:

When a delay is concurrent with some other delay, that means the delays overlap – at least to some extent. So, if a secondary delay happens to occur at the same time as a delay that happened earlier, that secondary delay won’t always be fully compensable.

For example: If A’s work is delayed due to B’s action, typically, A may be compensated in some way. If C’s work is delayed for some independent reason, then C can normally be compensated for the delay.

That is, unless the delays are “concurrent”.

If C’s delay falls partially or wholly in line with the delay A also suffered, then C’s delay might not be compensable (or fully compensable) since it happens to overlap with A’s delay.

I hope that was helpful – and good luck with your assignment!

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Anonymous

Hallo

Thank you for the quick response, I appreciate the help. This did indeed help me to get some answers on how to approach the subject matter. I don’t think ill be needing more help, I’ll do some more research around the standard forms of contract and how they approach delays.

Have a pleasant day.

Kind regards

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