Construction delays can disrupt development timelines, increase costs and create legal tension between parties. In New Hampshire, there are legal remedies available to address these setbacks, especially when contracts are clear and enforceable.
If you are facing a construction delay, here are some important steps.
1. Identify the cause of the delay
First, determine whether the delay was excusable or in breach of contract. Excusable delays may include extreme weather or labor strikes. These are often addressed in the contract and may not result in penalties. Delays caused by one party’s failure to perform may trigger liability under contract law.
2. Check your contract
Well-drafted construction agreements often include clauses for liquidated damages, extensions and notice requirements. A liquidated damages clause sets a pre-agreed amount of money owed for each day of delay. If a contractor fails to meet agreed deadlines without a valid excuse, the developer may claim compensation.
New Hampshire courts generally uphold clear contract terms unless they are found to be unconscionable or unreasonable. This makes it essential to outline deadlines, remedies and procedures in writing before work begins.
When delays lead to disputes, open communication is often the most effective first step. Many issues can be resolved through direct negotiation between the parties. A clear exchange of concerns, supported by contract terms and documentation, can help avoid further escalation. If informal talks are unsuccessful, parties may still consider legal action, such as filing a breach of contract claim.
Delays are common in construction, but they don’t have to get out of hand. Seeking legal guidance will help you to review the terms of your agreements and enforce them.