Government Waiver of Completion Deadlines in Construction Contracts

Government agencies have a prima facie case for default termination when a contractor fails to deliver performance in a timely manner. However, even when terminating the contractor on this basis, the government must exercise its broad discretion fairly and reasonably. In this regard, when the government elects to allow a contractor to continue performance past the contract completion date, it may waive the due date and thus its ability to terminate the contract for default …