What happens when there are delays in a construction project?
When delays occur in a construction project, both the property owner and the contractor have certain rights and responsibilities. In Texas, the law states that the contractor must make a good faith effort to complete the project within the specified timeline. If the contractor is unable to meet the timeline, the owner can request an extension, but this must be done in writing. If the contractor is still unable to finish the project on time, the owner can file a lawsuit against the contractor for breach of contract. If the contractor is at fault for the delay, the owner is entitled to damages. These damages may include additional costs for the completion of the project, delays that result in lost profits, and even attorneys’ fees in some cases. The contractor may be required to pay the owner a penalty for the delay or even compensate for any actual losses. The contractor may also be able to recover damages if the delay is caused by the owner. This includes any additional costs due to delays as well as any extra costs that were necessary to make up for delays. These damages must be reasonable and commensurate with the actual delay suffered. The parties involved must also negotiate in good faith to come to a resolution when delays occur. If a mutually satisfactory solution cannot be reached, the parties may choose to litigate their dispute in court. Ultimately, it is up to the court to assess the damages and decide who is at fault in the case of a construction project delay.
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