Damages For Aggrieved Parties In Florida Delay Claims
If it seems like project delays are bogging down your operations as a Florida construction contractor, there is definitely some truth to this assumption. The Associated General Contractors of America (AGC) reports that around 9 out of 10 firms are dealing with project delays, some of which cite materials shortages, workforce constraints, and delivery disruptions as causes. These may qualify as excusable or inexcusable, critical or not, but when they involve a compensable delay, the issue of damages comes to the forefront.
While it is true that construction projects are built upon written agreements, damages in delay claim cases are far more complex than a typical breach of contract. In some scenarios, the party responsible for the interruption is only entitled to a time extension instead of monetary compensation. The details impact your interests, and a Florida delay claims lawyer can explain them. Some general information about damages is also useful.
Proving Delay Claims and Damages
Before getting to the issue of damages, you must first prove the essential elements of a delay claim. They include:
- One party failed to meet contractual obligations according to the project schedule;
- The delay caused the period of performance on a construction project to be extended; and,
- The aggrieved party sustained damages because of the delay.
Damages in a delay claim are assessed according to how they impact the overall construction project schedule, so relevant factors include:
- The exact reasons behind the delay;
- The extent to which the cause was within the control of any party; and,
- Whether the cause affects the project’s critical path and by how much.
With many disputes and lawsuits based upon delay claims, it will be necessary for the parties to retain experts to evaluate these factors.
How Damages Impact the Parties’ Interests
The notion of “compensation” refers to how an at-fault party reimburses the aggrieved party for losses in a breach of contract matter, but this formula does not always work for delay claims. Instead, the party that suffered from the delay may seek:
- Expectation Damages: These are amounts that aim to put the aggrieved party in the same position they would be had the contract been fully performed on time.
- Reliance Damages: If one party relied on a promise made by the other and suffered harm in doing so, they may obtain amounts for changing position based upon the promise.
- Restitution: This relief may be awarded when one party provided a benefit and deserves remuneration for it. Restitution is focused on retrieving the value of what the delaying party received, rather than compensating the aggrieved party.
Our South Florida Delay Claims Attorneys Can Assist with Legal Remedies
You can see that there are numerous variables that impact damages when delays impact the project timeline. Our team at Linkhorst & Hockin, P.A. represents both property owners and Florida contractors with these matters, so we can advise you on options for obtaining a favorable outcome. Please contact us at 561-626-8880 or go online today to schedule a consultation at our offices in Jupiter, FL.