Oregon Construction Contractors (CCB) Practice Test

Which option describes the party responsible for costs incurred due to schedule acceleration?

1. The contractor must cover all expenses

2. The owner is liable for expenses

3. Subcontractors will be charged

4. Both parties share costs

The correct answer is: The owner is liable for expenses

The option that states the owner is liable for expenses accurately reflects common contractual agreements concerning schedule acceleration in construction projects. When unforeseen circumstances arise, necessitating fast-tracking of construction schedules, it typically falls under the owner's responsibility to cover additional costs incurred. In the context of construction contracts, schedule acceleration might be required due to various factors such as owner-driven changes, completion deadlines, or unforeseen delays. When the owner requests that the contractor complete the work more quickly, it generally leads to extra costs for labor, materials, or even potential productivity losses. As such, the financial responsibility for these additional expenses usually resides with the owner, unless stipulated otherwise in the contract. Other options suggest different configurations of cost responsibility, but they do not align with standard practices observed in most construction contracts. For instance, stating that the contractor must cover all expenses overlooks the agreement's nuances regarding change orders and responsibilities associated with acceleration requests from the owner. Similarly, asserting that subcontractors would be charged or suggesting a shared cost structure may not account for the typical flow of costs outlined in the owner's contract. In essence, recognizing the owner's liability for schedule acceleration costs is crucial for understanding the financial dynamics within construction projects.