Compensable delays are caused by the owner or those for whom it is responsible, including design errors, late approvals, access restrictions, and directed changes. The contractor recovers extended overhead and related costs.
No-damages-for-delay clauses may bar recovery.
Alternative Names:
Compensable Delay Event|Owner-Caused Delay
Why it Matters?
Establishing owner responsibility is only half the analysis, since concurrent contractor delay during the same period typically eliminates compensation while preserving the time extension. That interaction is why owners investigate contractor performance during any period of alleged owner delay. Extended field overhead, home office overhead, and escalation are the recoverable components where the claim survives.
Frequently Confused with
Related terms
Frequently asked questions
What eliminates compensation despite owner delay?
What costs are recoverable?
