How Does a No-Damages-for-Delay Clause Work?

By Wyatt Cooper · Published · 7 min read

Key takeaways

  • A no-damages-for-delay clause gives you more time when the job is delayed but no money for the cost of the delay, even when someone else caused it.
  • Read whose delays it covers: a clause that covers delays caused by the GC or owner is the one that costs subs the most.
  • Some states limit these clauses; Washington, for one, makes void any construction-contract clause waiving damages for unreasonable delay caused by the party you contract with.
  • Before signing, ask for carve-outs, a cap in days after which delay is paid, and notice terms you can meet, and price what is left as a risk.

A no-damages-for-delay clause says that if your work is delayed, your only remedy is an extension of time: no payment for the extra cost of being on the job longer, such as supervision, equipment, and labor and material escalation. Many clauses apply even when the GC or owner caused the delay. Some states limit them by statute. Before you sign, read whose delays it covers, ask for exceptions or a day cap, and price the remaining risk.

What the clause does

A delay costs a sub in two ways: time, because the work finishes later, and money, because the crew, the foreman, the trailer and the rented lift stay on the job longer, and labor and material can cost more by the time you get to them. A no-damages-for-delay clause separates the two. It grants the time, usually as an extension of the subcontract schedule, and takes away the money.

Common forms of delay clause in a subcontract, and what each gives a sub when the GC or owner causes the delay
ClauseTimeMoney for the delayWhat to watch
No clause; contract silentAn extension, as the changes or delay clause providesRecoverable, with proof and noticeNotice deadlines in the general terms
Broad no-damages-for-delayAn extension onlyNone, whoever caused itWords like "for any cause whatsoever"
No damages except for the GC's or owner's own actsAn extensionRecoverable when the GC or owner caused itHow "caused by" is proven
No damages for the first set number of daysAn extensionRecoverable after the stated number of daysWhether the days are per event or for the whole job
Pass-through onlyAn extensionOnly what the GC recovers from the owner for youThat the GC must actually pursue your claim

Where the law limits it: one state and federal work

Washington is an example of a state that limits these clauses by statute. RCW 4.24.360 says a clause in a construction contract "which purports to waive, release, or extinguish the rights of a contractor, subcontractor, or supplier to damages or an equitable adjustment arising out of unreasonable delay in performance which delay is caused by the acts or omissions of the contractee or persons acting for the contractee is against public policy and is void and unenforceable." It does not void provisions that require notice of delays, provide for arbitration or another settlement procedure, or "provide for reasonable liquidated damages." RCW 4.24.370 defines the construction contracts it covers.

Read the qualifiers: the delay must be unreasonable, and caused by the party you contract with (for a sub, usually the GC) or people acting for it. A notice clause still applies, so a late notice can lose a claim the statute would otherwise protect. Other states have their own rules or none; this page names only the one read for it.

Federal prime contracts take a different route. The Suspension of Work clause, FAR 52.242-14, says that if work is suspended, delayed or interrupted "for an unreasonable period of time" by an act of the contracting officer, or by the contracting officer's failure to act in time, "an adjustment shall be made for any increase in the cost of performance of this contract (excluding profit)". It bars costs incurred more than 20 days before the contractor notified the contracting officer in writing, except for a claim from a suspension order. That clause is between the government and the prime; your subcontract decides how much of it reaches you.

A worked example: what the clause costs

Delay on the Oak Hollow School job: slab release 15 working days late

Cause
The GC released the second-floor slab 15 working days late
Extended supervision
$1,200 a day × 15 days = $18,000
Equipment held on site
$350 a day × 15 days = $5,250
Total delay cost
$18,000 + $5,250 = $23,250, or $1,550 a day
Broad no-damages-for-delay clause
15 working days added to the schedule; $0
Clause with a 10-day threshold
15 − 10 = 5 days × $1,550 = $7,750
Clause excepting the GC's own delays
$23,250, if notice was given on time
A fictional mechanical sub's delay cost under three versions of the clause. The daily costs are the example's, not typical figures.

Check it: $1,200 + $350 = $1,550 a day, and $1,550 × 15 = $23,250. The difference between the broad clause and the GC exception is the whole $23,250, on one event. A job with three such delays turns the clause into a five-figure risk you either negotiate or price.

What to ask before you sign

  1. Whose delays does it cover? Ask that delays caused by the GC, the owner or the design team be excepted.
  2. Is there a number of days after which delay is paid? A threshold is a common middle ground.
  3. What notice does it require, how many days after the delay starts, and to whom? Put that deadline on your calendar the day you sign.
  4. Does it also bar acceleration costs, if the GC asks you to make up the lost time?
  5. Does it flow down from the prime contract? Ask to see the owner's version; you can rarely get better terms than the GC has.
  6. If the clause stays, price it: add a contingency, shorten your bid's validity, or qualify your proposal.

For writing up the proposal with those qualifications, see how to write a subcontractor proposal. For the rest of the subcontract's terms, see how to buy out a construction job, and the subcontractor's guide for every step after.

The bottom line

A no-damages-for-delay clause trades your money for time: an extension, and nothing for the cost of being there longer. Read whose delays it covers, and treat a clause that covers the GC's own delays as a priced risk.

Ask for an exception for the GC's and owner's delays or a day threshold, meet every notice deadline, and have an attorney read the clause under the law of the state where the job is.

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Sources

  1. RCW 4.24.360, Construction contract provision waiving rights to damages for unreasonable delay: void — Washington State Legislature. Read October 22, 2026.
  2. RCW 4.24.370, "Construction contract" defined — Washington State Legislature. Read October 22, 2026.
  3. FAR 52.242-14, Suspension of Work — Acquisition.gov. Read October 22, 2026.

Questions

What does no damages for delay mean in a subcontract?

That if your work is delayed, you get more time but no money for the delay's cost. Many versions apply even when the GC or owner caused it.

Are no-damages-for-delay clauses enforceable?

It depends on the state and the facts. Some states limit them by statute: Washington's RCW 4.24.360 voids clauses waiving damages for unreasonable delay caused by the party you contract with. Ask an attorney in the state where the job is.

What can a subcontractor negotiate instead?

An exception for delays the GC, owner or design team cause; a number of days after which delay is paid; and notice terms you can meet. If none is possible, price the risk into your bid.

Does a no-damages-for-delay clause stop a time extension?

Usually not: it typically grants the extension and bars the money. Read the clause, since some limit extensions too, and give notice on time either way.

How does federal work handle delay costs?

Under FAR 52.242-14, the government adjusts the prime contract for cost increases, excluding profit, from an unreasonable suspension or delay caused by the contracting officer. How much reaches a sub depends on the subcontract.