What is concurrent delay? A Delay Expert’s explanation
Concurrent delay in extension of time claims occurs when multiple delay events happen simultaneously or overlap on a construction project, impacting the critical path.
This complexity often complicates the assignment of responsibility and assessment of the overall project timeline. Therefore, a thorough analysis becomes crucial to identify which delays entitle the contractor to relief per the contract terms. Common examples of such relief events include the owner's failure to grant site access or unforeseen adverse weather conditions.
Concurrent Delays Add Complexity
Concurrent delays introduce complexity into claims for extensions of time and additional costs in construction projects.
For instance, when a contractor faces a delay caused by adverse weather (a compensable event) while simultaneously being behind schedule due to inadequate project management (a non-compensable delay), the simultaneous occurrence of these delays can impact the contractor's rights to an extension of time and related prolongation expenses.
In such scenarios, the presence of a non-compensable delay alongside a compensable one may potentially restrict the contractor from recovering any extra time or costs, despite the presence of a relief event.
Delay Expert, Andrew McKenna discusses concurrent delay and how to manage concurrency claims.
Managing Concurrency Claims
Managing concurrency claims effectively requires detailed documentation of all events and their impacts on the project timeline. This includes maintaining accurate records, as built program updates, and correspondences that can demonstrate the cause and effect of delays.
Legal Interpretations
Legal interpretations of concurrent delays can vary by jurisdiction. In the UK, concurrent delays in construction are governed by key case laws such as Henry Boot Construction v Malmaison Hotel, which established that a contractor is entitled to extensions of time for delays caused by the employer, even when these occur concurrently with delays caused by the contractor. However, claims for additional costs are typically not covered under such circumstances.
In Australia, the legal framework emphasises "True Concurrent Delay," where the sequence and individual impact of concurrent events are analysed based on their "causative potency," meaning each event must independently delay the project to be recognised legally.
Contract terms play a critical role in both jurisdictions, with specific clauses often dictating the handling of concurrent delays, highlighting the importance of precise contract drafting and understanding the factual and contractual context in resolving disputes over such delays.
Conclusion
Concurrent delay remains one of the most contentious and technically challenging aspects of construction claims. Navigating it successfully requires a clear understanding of both the legal principles and the contract’s specific terms, backed by meticulous project records.
Whether you're a contractor, consultant, or principal, proactively addressing concurrency through smart contract drafting and disciplined project documentation is essential to protect your position when delays inevitably arise.
Back to News and Insights
Related News and
Insights from Accura
