What is a construction claim?

‍A construction claim is a formal demand for additional money, extra time, or another contractual remedy because circumstances on the project departed from what the parties originally contemplated. Claims can be raised by contractors, subcontractors, suppliers, or owners, and they may surface at any point, from mobilization through final payment.

Why claims matter

Properly handled claims preserve schedules, control cost growth, and protect working relationships. Ignored or mishandled, they breed delay, interest charges, liens, bond calls, and litigation.

Common claim categories

• Change-order or extra-work claims arise when design revisions or owner-requested scope additions drive work beyond the original contract.
• Delay claims seek time or compensation for setbacks caused by weather, owner interference, late approvals, labor shortages, or material unavailability.
• Disruption claims recover costs from out-of-sequence work, site congestion, or repeated stoppages that sap productivity.
• Acceleration claims request premium pay or overtime when the owner directs the contractor to finish on a shortened schedule to overcome earlier delays.
• Differing site-condition claims cover subsurface or concealed conditions materially unlike what the contract documents or reasonable investigation suggested.
• Defective-work claims address the cost of correcting non-conforming labor or materials supplied by lower tiers.
• Termination claims compensate a contractor when the owner ends the contract for convenience or, conversely, seek excess completion costs when termination is for default.

Governing legal framework

Construction contracts almost always dictate how and when claims must be noticed, documented, and resolved. Texas projects overlay those contract terms with prompt-payment statutes, lien rights, and—in public work—statutory payment bonds that secure subcontractor and supplier claims. Federal projects add the Contract Disputes Act and Federal Acquisition Regulation requirements, including a sworn certification for claims exceeding $100,000 and strict appeal deadlines. Industry standard forms such as the AIA and ConsensusDocs embed detailed claim procedures that Texas courts routinely enforce.

Available remedies

• Contractual remedies include extensions of time, equitable adjustments to the contract price, or specific performance.
• Mediation and arbitration offer private, streamlined forums that many contracts require before a lawsuit can be filed.
• Litigation remains an option when other methods fail; courts can enter judgments for damages, interest, attorney’s fees, and, where warranted, specific performance.
• Mechanic’s liens and payment-bond claims provide powerful security for payment on private and public projects, respectively.

Best-practice tips

For contractors and subcontractors

1. Write crystal-clear contracts that define scope, exclusions, and claim procedures.
2. Keep contemporaneous records—daily logs, photos, weather reports, meeting minutes, and cost codes.
3. Provide written notice immediately when a potential claim emerges; many contracts and statutes impose short deadlines.
4. Submit well-organized claim packages that link cause, effect, and cost through schedules, narratives, and source documents.
5. Track cash-flow protections: prompt-payment interest, lien filings, and bond claims.

For owners and developers

1. Insist on baseline schedules, updated regularly, to spot slippage early.
2. Respond promptly to submittals and change-order requests; slow decisions translate into delay claims.
3. Channel all scope changes through formal written directives to avoid dispute over entitlement.
4. Pay undisputed amounts on time; Texas statutes impose interest and attorney’s fees for unjustified non-payment.
5. Engage independent experts for schedule and cost reviews when claims grow complex.

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Claims are inevitable on complex construction projects, but surprise and chaos are not. By pairing clear contract language with disciplined notice, meticulous documentation, and a willingness to address issues early, project participants can resolve most claims quickly and fairly—long before they metastasize into lawsuits. When a claim does escalate, experienced counsel steeped in Texas law and federal contracting rules can steer the dispute toward a cost-effective resolution and keep the work on track.