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Forensic Claims Analysis

Owner caused delay - most basic cost %?

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John ReevesMember for 13 years 5 months
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Ok, so there is an owner caused delay, say it is 30 days.  So the Contractor gets a 30 day time extension and what % of Gen. OH costs = 4%, 6% of contract value - what is the general rule of thumb?  I know there are 10 ways to calc it, what is most simple?  what is most common?  If there was a cost loaded schedule, couldn't they supercede that simply because accounting has better numbers or industry precedence?

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  1. 0
    John Reeves ·
    #1

    7%.  I think most people

    7%.  I think most people would say check the contract...I assume it does not always say.

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  2. 0
    Mike Testro ·
    #2

    Hi JohnGeneral Head Office

    Hi John

    General Head Office overhead costs are not claimable under the contract unless  you can show lack of turnover affected recovery using either a Hudson or Emden formula.

    A single delay of 30 days is not sufficient.

    Best regards Mike T.

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  3. 0
    John Reeves ·
    #3

    I see delay settlements for

    I see delay settlements for general overhead - I thought it was fairly common.  I do not quite understand what you are saying, is there something out that supports that?

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