The clause bars monetary recovery for delay, permitting only schedule relief. Recognized exceptions include active interference, bad faith, delays not contemplated by the parties, and abandonment of the contract.
Several states restrict the clause by statute.
Alternative Names:
No Damage for Delay|NDFD Clause
Why it Matters?
Active interference is the exception that succeeds most often, requiring affirmative wrongful conduct by the owner rather than mere inaction or ordinary administrative delay. Establishing that distinction is the analytical work, since courts distinguish an owner who slowly processed submittals from one who directed work out of sequence. Several states void the clause on public projects entirely, which is worth confirming before relying on it.
Frequently Confused with
Related terms
Frequently asked questions
Which exception succeeds most often?
Is the clause always enforceable?
