A stalled construction project could mean bankruptcy for any construction company, even those that have been in business for decades. Whether by contractor error, owner error, or outside forces, there are a myriad of reasons why construction projects fail, and we’re here to tell you how to avoid them.
In this two-part series, we will be discussing what causes a stalled construction project.
Below, we will be discussing the causes that may be beyond your control. In part two, we will be discussing the causes that can be mitigated with a properly drafted contract. In all cases, you can help prevent construction delays by partnering with the team of Houston construction lawyers at Cotney Law.
As you’ll see throughout this series, every component of the construction hierarchy must be operational to avoid a stalled construction project, and material suppliers are no exception. Poor material procurement, poor inventory management, or a breakdown in negotiations with manufacturers can bring construction to a standstill.
While this cause is short lived and easily remedied, it’s becoming increasingly difficult to find fairly priced materials due to the current U.S. trade war and resulting industrial tariffs. Be sure to review your current policies to ensure that you know where suppliers for your next project are coming from.
Acts of Nature
Acts of nature, such as hurricanes, sinkholes, flooding, and lightning, always seem to strike construction sites at the worst possible moment. Even heavy rains can cause severe delays if project managers fail to alter schedules accordingly. Worst case scenario: a worker is gravely injured during a disaster. In this case, a contractor may be held responsible if workers were placed in hazardous conditions. To ensure that your workforce is operating in compliance with all state and federal laws, consult with a Houston construction lawyer.
A Lack of Skilled Workers
We’ve previously covered how construction companies are failing to retain skilled workers. An unfortunate truth is that many construction companies failed to invest in training a new generation of skilled workers to replace an aging generation of workers. As a result, companies are struggling to keep up with labor demands, and many attempt to poach skilled workers from competing firms. To exacerbate the problem, having a workforce of inexperienced and unreliable workers can lead to delays, injuries, and construction defects. If you’ve experienced any of these issues on your project, you are in need of a Houston construction lawyer.
For more information on stalled construction projects, read part two.
Disclaimer: The information contained in this article is for general educational information only. This information does not constitute legal advice, is not intended to constitute legal advice, nor should it be relied upon as legal advice for your specific factual pattern or situation.