Construction Delay & Cost Claim Assistance
Budget: $250 – $750 USD
1. What You’re Preparing (Simple View)
You’re basically submitting:
Extension of Time (EOT) → because of delays caused by client
Cost Claim → because those delays affected your cash flow + site cost
2. Main Structure of the Claim
Use this structure (very important):
1. Cover Letter
Short and professional:
Project name
Contract number
Subject: Claim for Extension of Time and Additional Cost
Reference to contract clause
2. Executive Summary
Explain in 5–10 lines:
What happened
Who caused delay (client)
Impact on time & cost
What you are claiming
3. Contractual Basis
Mention clauses like:
Delay by client
Late payment
Variation / instruction delays
Example:
“As per Clause – Delays caused by Employer…”
“As per Clause – Payment terms…”
4. Chronology of Events (VERY IMPORTANT)
Make a table like:
Date Event Impact
Jan Invoice submitted No payment
Feb Reminder sent Cash flow issue
Mar Work slowed Progress affected
5. Delay Analysis (Time Impact)
Explain:
Planned progress vs actual
What activity got delayed
How client caused it
You can use:
Baseline vs Updated Schedule
Critical Path impact
Example:
Delay in approval / payment caused suspension of backfilling works which is on the critical path.
6. Cost Impact (Money Part )
This is the most important for you.
Break it into:
A. Prolongation Cost
Staff salaries
Site engineers
Equipment idle time
Accommodation
B. Cash Flow Impact
Delayed payments → forced you to:
slow work OR
use your own cash
C. Financing Cost
Interest due to delayed payment
D. Disruption / Inefficiency
Labor not fully utilized
Stop-start work
7. Supporting Documents
Attach:
Invoices
Emails
Payment follow-ups
Daily reports
Progress reports
Manpower logs
8. Claim Statement (Final Ask)
Clearly state:
Requested EOT (days)
Requested Amount
3. Simple Cost Calculation Example
Let’s say:
Staff cost = 20,000 / month
Delay = 3 months
Prolongation =
= 20,000 × 3 = 60,000
Add:
Equipment = 15,000
Accommodation = 10,000
Total Claim = 85,000
4. Important Points (From Experience)
Don’t say “we had problem”
Say → “Due to client delay in payment…”
Always connect:
Cause → Effect → Cost
Keep tone:
Professional
Not emotional
Contract-based5. Sample Strong Sentence (Use This)
“The delay in certification and payment of invoices has significantly impacted the Contractor’s cash flow, resulting in reduced productivity and extended project duration.”
6. If You Want (Next Step)
I can help you build:
Full professional claim document (Word format)
Or just:
Executive summary
Cost calculation sheet
Delay wording
Just send me:
Type of delay (payment / drawing / variation / etc.)
Duration of delay
Rough monthly cost (manpower / site)
Project type (villa, infrastructure, etc.)
And I’ll prepare it for you like a real contractor submission
You’re basically submitting:
Extension of Time (EOT) → because of delays caused by client
Cost Claim → because those delays affected your cash flow + site cost
2. Main Structure of the Claim
Use this structure (very important):
1. Cover Letter
Short and professional:
Project name
Contract number
Subject: Claim for Extension of Time and Additional Cost
Reference to contract clause
2. Executive Summary
Explain in 5–10 lines:
What happened
Who caused delay (client)
Impact on time & cost
What you are claiming
3. Contractual Basis
Mention clauses like:
Delay by client
Late payment
Variation / instruction delays
Example:
“As per Clause – Delays caused by Employer…”
“As per Clause – Payment terms…”
4. Chronology of Events (VERY IMPORTANT)
Make a table like:
Date Event Impact
Jan Invoice submitted No payment
Feb Reminder sent Cash flow issue
Mar Work slowed Progress affected
5. Delay Analysis (Time Impact)
Explain:
Planned progress vs actual
What activity got delayed
How client caused it
You can use:
Baseline vs Updated Schedule
Critical Path impact
Example:
Delay in approval / payment caused suspension of backfilling works which is on the critical path.
6. Cost Impact (Money Part )
This is the most important for you.
Break it into:
A. Prolongation Cost
Staff salaries
Site engineers
Equipment idle time
Accommodation
B. Cash Flow Impact
Delayed payments → forced you to:
slow work OR
use your own cash
C. Financing Cost
Interest due to delayed payment
D. Disruption / Inefficiency
Labor not fully utilized
Stop-start work
7. Supporting Documents
Attach:
Invoices
Emails
Payment follow-ups
Daily reports
Progress reports
Manpower logs
8. Claim Statement (Final Ask)
Clearly state:
Requested EOT (days)
Requested Amount
3. Simple Cost Calculation Example
Let’s say:
Staff cost = 20,000 / month
Delay = 3 months
Prolongation =
= 20,000 × 3 = 60,000
Add:
Equipment = 15,000
Accommodation = 10,000
Total Claim = 85,000
4. Important Points (From Experience)
Don’t say “we had problem”
Say → “Due to client delay in payment…”
Always connect:
Cause → Effect → Cost
Keep tone:
Professional
Not emotional
Contract-based5. Sample Strong Sentence (Use This)
“The delay in certification and payment of invoices has significantly impacted the Contractor’s cash flow, resulting in reduced productivity and extended project duration.”
6. If You Want (Next Step)
I can help you build:
Full professional claim document (Word format)
Or just:
Executive summary
Cost calculation sheet
Delay wording
Just send me:
Type of delay (payment / drawing / variation / etc.)
Duration of delay
Rough monthly cost (manpower / site)
Project type (villa, infrastructure, etc.)
And I’ll prepare it for you like a real contractor submission