Suspension Clause
(Construction Contract)

Summary

This suspension clause can be included in a construction contract to provide the project owner with the right to suspend work for a limited amount of time. This clause includes practical guidance and drafting notes. Suspension clauses cover suspension of work for usually no more than 60 to 90 days and anticipate the resumption of work. The contractor's compensation and schedule are adjusted to account for the suspension period. In contrast, termination for convenience clauses do not anticipate resumption of work by the contractor. Capitalized terms used in this clause should be conformed to those used in the relevant contract. For a list of key resources covering construction-related tasks for a first-year associate, see First Year Associate Resource Kit: Construction. For more on suspension clauses see Termination and Suspension Clauses in Construction Contracts. For a discussion of issues and tasks commonly encountered by in-house lawyers and counsel working on construction-related matters, see In-House Construction Resource Kit. For a full listing of key content covering dispute resolution in construction, see Construction Dispute Resolution Resource Kit. For information on the construction process, see Construction Resource Kit. For additional construction resources, including form contracts and drafting guidance, see Construction Contract, Owner and Contractor Agreement Resource Kit.