Part 4 of our video series on construction litigation best practices
Miss a contract deadline and you could forfeit your right to additional time or money, no matter how legitimate your claim.
In this episode of Building the Case, Brett Burney of Nextpoint and Jerry Crawford of KGC Consulting break down the critical construction notice provisions that protect contractors — and why so many firms fail to use them effectively.
What are notice provisions?
Construction notice provisions are the parts of your contract that say you have to let the other party know (in writing, by a certain deadline) when something happens that’s going to mess with the schedule or budget.
If you miss that deadline, you might lose your right to get paid for legitimate extra costs, even if you’re 100% in the right.
“These clauses usually impose strict and often multiple timelines on claimants and state that a failure to comply with the timelines will invalidate any claim to an extension of time or money, or both.” – Jerry Crawford, Principal Director at KGC Consulting
What triggers a notice?
Jerry runs through the usual suspects that should get you reaching for your keyboard to send a formal notice:
Holdups before you break ground: No building permit yet, or an RFI that never got answered
Site surprises: Unexpected ground conditions, archaeological finds that shut everything down
Schedule problems: Bad weather, missing owner-supplied equipment, blown critical path dates, user groups that won’t sign off
Quality issues: Rework requirements, or your sub can’t do their job because someone else’s earlier work was inadequate
The key: Catch these early and document them. Don’t hope they’ll just work themselves out.
How to write a valid notice
Get the basics right:
- In writing (phone calls don’t count)
- Within the contract timeframe
- To the designated party
- As soon as you know there’s a problem
What goes in it:
- How this affects time or cost
- The exact contract clause that covers it
- Reference to relevant drawings and specs
- Photos with detailed notes (huge for proving your case later)
- Supporting docs and correspondence
Winning construction disputes starts with better data management
Notices protect your claims, but only if you can back them up when things go sideways. Download our free Construction Litigation Checklist — your step-by-step guide for managing construction data from collection through trial.
The proactive approach: Beyond emergency notices
Most people only think about notices when there’s already a problem. Jerry says that’s backwards. Understanding construction notice provisions means using them proactively throughout your project, not just when disputes arise.
Mobilization notice (two weeks out)
A mobilization notice should be sent when you’re ready to move from planning to execution of the construction project. It directs parties to “mobilize” and begin preparing resources, equipment, and personnel for construction.
The notice should include:
- Subcontract and schedule reference
- Date commitments
- Material quantities and crew size
- Special logistics needs
“The mobilization notice can position the contractor for a delay claim later,” notes Jerry Crawford, Principal Director at KGC Consulting. “But it’s good to be proactive.”
Nonpayment notice
Jerry’s approach:
- Set your threshold (31 days? 46 days?)
- Call first — maybe it’s just an invoice problem
- Then send formal notice with the invoice, payment deadline, and note that nonpayment breaks the contract
Other strategic moments for proactive notices:
- Change orders and extra work
- Multiple problems piling up
- Schedule acceleration
- Changed site conditions
“Notices can be used in a very proactive manner as well as a reactive manner,” Jerry says. “Use them throughout the project and you’re building a timeline that protects you.”
Why contractors don’t send notices (and why that’s costly)
They’re scared of blowback: Fear of getting blacklisted or damaging client relationships
Nobody knows the contract: Engineers and architects running projects with zero contract law training
Documentation is chaos: Change orders missing time impacts, vague emails, verbal communications with no record
Wishful thinking: “At KGC we see a lot of fictional outcome-based biased thinking that project problems will magically get better,” Jerry says
Empty promises: Believing “we’ll take care of you at the end” (spoiler: they won’t)
Handshake deals: “Even in 2026, a number of contracts are getting done in verbal agreement handshakes,” Jerry notes, especially on high-end custom homes
Your construction notice provision checklist
✓ Read your contract: Find all notice provisions and deadlines before you start
✓ Track deadlines: Set up a calendar system
✓ Assign responsibility: Designate a specific person to handle notices
✓ Document in real time: Photos, notes, supporting docs
✓ Send immediately: Don’t wait to see if things resolve
✓ Include everything: Contract clauses, impacts, photos, documents
✓ Deliver properly: Written, to the right person, right method
✓ Keep copies: All notices plus proof of delivery
✓ Follow up: If you don’t receive a response, follow up in writing
✓ Be proactive: Use throughout the project, not just for claims
The main takeaway
“Read and follow your contract. I cannot stress that enough,” Jerry advises.
Frame it as doing your job, not picking a fight:
“Remind the other party we are just following the obligations under the contract terms,” Jerry says. “We’re not looking to pick a fight — we’re just following what’s in the agreement.”
The contractors who succeed are the ones who document issues thoroughly, meet notice requirements, and maintain a clear paper trail when disputes arise.
When treated as the communication tools they are, construction notice provisions can make the difference between recovering what you’re owed and leaving money on the table.
Watch Brett and Jerry’s full discussion below:
Ready to learn more?
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