COVID-19’s impact on construction projects is mixed and varies by state. Many states consider construction an “essential” service, following guidance from the federal Department of Homeland Security, which issued a non-binding list of 16 “critical infrastructure sectors.” Other states and some local municipalities take a narrower view, requiring virtually all construction to cease. In all cases, there may be evolving developments that may further define or change the restrictions and permitted exceptions.
In this Alert, we review the following actions to address and mitigate the project impacts:
- Action #1: Identify and Assess Relevant Local and State Restrictions on Construction Activities
- Action #2: Identify and Assess Relevant Contractual Provisions
- Action #3: Communicate and Work with the Contractor to Identify, Assess, and Mitigate Project Impacts
- Action #4: Consider Contract Notice Requirements and Respond to Notices from the Contractor
- Action #5: Consider Project Suspension and Termination Options
- Action #6: Consider Contractor Claims for Time Extensions and Delay Damages