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Section Meetings: April 18, 2019
will be held at: C.B. & Potts

April Meeting Topic: Suspend Work – “Remain on Standby” – Three Key Words

Topic Information:

Join the Association for Advancement of Cost Engineering Thursday, April 18th, for our next RMS monthly meeting. This month we will have a special presentation from James G. Zack, Jr. CCM, CFCC, FAACE, FGPC, FRICS, PMP.

The contract has been awarded and notice to proceed issued. The contractor has started work. The owner issues a suspension of work directive and the contractor shuts down all or a designated portion of their work awaiting the return to work order. The contractor believes they are entitled to recover all delay and all time related delay damages. Is the contractor right? Is the owner on the hook for all delay damages? As Max E. Greenberg commented in 1984 – “It ain’t necessarily so!” This paper examines why owners must have a suspension of work clause in their contracts and how these clauses work. It identifies what damages are typically owed when an owner stops all or part of the work and outlines some typical limitations of suspension damages found in many contracts. Additionally, the paper discusses five key court cases decided between 1996 and 2015 that set forth key requirements necessary to collect damages arising from a suspension of work directive. Finally, the paper offers recommendations on what actions contractors take to protect the recovery of such damages and why these actions may help owners resolve such claims in the field rather than the courtroom.

Jim is the Principal of James Zack Consulting, LLC a construction claims consultancy dedicated to aiding owners and contractors complete their projects in the field, not in arbitration or court. He is also the Senior Advisor to the recently formed Ankura Construction Forum™. The Forum strives to be the construction industry’s resource for thought leadership and best practices on avoidance and resolution of construction project disputes globally. Jim was the founder and Executive Director of the Navigant Construction Forum™. Formerly he was the Executive Director, Corporate Claims Management Group, Fluor Corporation, one of the world’s largest EPCM contractors. Prior to this Jim was Vice President of PinnacleOne and Executive Director of the PinnacleOne Institute and a Senior Construction Claims Consultant for CH2M HILL, Inc. He has, for 47 years, worked on both private and public projects in 30 U.S. states and 33 countries abroad. In his career Jim has worked for both contractors and owners on more than 5,000 claims in his career. He a Fellow of AACE International, the Royal Institution of Chartered Surveyors and the Guild of Project Controls. In the construction claims field, he is an internationally recognized and published expert in mitigation, analysis and resolution or defense of construction claims and disputes. Jim is a Certified Construction Manager, a Certified Forensic Claims Consultant, and a Project Management Professional.

Register Now!

C.B. & Potts
555 Zang St
Broomfield, CO 80020

Thursday, April 18, 2019
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Time: 5:30 - 7:30 PM
Type: Technical

Contact Dana Rutledge at 941-681-6374 or email d.rutledge90@gmail.com if you have any questions about the event.

Thank you for your attention and response, we look forward to seeing you at this months meeting.

The next three meetings on the horizon will be:

  • May 16th in Central Denver, Networking Happy Hour. Joint meeting with the Society of Construction Law
  • June 20th
  • July 18th

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