Legal Question in Construction Law in California
Past completion Date
The contracted date of completion was determined by a contract to be November 10th. Currently the job is not complete, but we still owe $2000. The contractor is still attempting to complete the final punch list items. Is the contractor still due the total amount due to the amount of time that has elapsed since the contracted finish date?
3 Answers from Attorneys
Re: Past completion Date
As is frequently the case in law, the answer is, "It depends." Much depends on what your contract says. In residential construction, however, it is pretty tough to prove that you have much in the way of monetary damages due to modest delay. Moreover, a contractor can nearly always point to legitimate reasons for some delay. The most common reasons are weather, extras, and incomplete plans that require clarification from either the architect or engineer. Building departments also create delays and, of course, the one delay that all owners overlook: delays that they create. The most frequent delay from owners is from an inability to make decisions. For example, an inability to decide on a stain and finish for the cabinets which, in turn, delays manufacture and installation. Owners also frequently ask for extras and then forget that, say, the front stoop wasn't part of the original plans. But that front stoop may have taken three days to build.
What I'm trying to say is that, in my experience, delays are often due to a number of factors, many of which are beyond the control of the contractor. If you feel strongly that you have suffered damages due to the delay, you'd need to have an expert do an analysis of the cause of the delay, see how much he attributes to the contractor and then determine the extent of your damages that was proximately caused by the delay.
By the way, don't forget to check your contract. Maybe there is a provision for delay in there.
Re: Past completion Date
The contract and principles of equity would govern your situation. If the contract specifies a date certain for completion, it might also specify damages (either open to proof or fixed (called 'liquidated damages')). However, the contract likely provides the contractor some schedule relief for delays which are not caused by his/its own actions. For example, if the contractor slipped the schedule on his own accord, that would breach the contract; but if you changed flooring products, or added work, or delayed in delivering owner-furnished fixtures or in deciding between one detail or another, or if the architect changed drawings, or if there was rain or snow, these would not be attributable to the contractor and would not be reasons to impose money damages. I hope this is hopeful; as with many things, the answer depends on your factual setting.
Re: Past completion Date
Whatever the contract terms specify is what happens. Other than that, you get to argue and sue each other in disputes.