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What you can do when a subcontractor abandons a project

On Behalf of | Apr 29, 2025 | Construction Contracts

When a subcontractor walks off a job site, it can leave a major project in chaos. Work stalls, timelines stretch, and costs often climb fast. Knowing what steps to take after abandonment can help your business keep construction moving forward with minimal disruption.

Document everything immediately

The first step after a subcontractor abandons the project is to gather evidence. Take photographs of the work completed and the areas left unfinished. Write down dates, times, and any communications or events leading up to the abandonment. Save emails, text messages, or letters that show attempts to contact the subcontractor. This documentation can protect your rights and may be helpful if a dispute arises later.

Also, review the terms of the subcontract carefully. A solid contract should include specific requirements for notice and cure periods when a subcontractor fails to perform. You may need to send a formal notice of default before taking further action, depending on what the contract says. Following the contract process exactly as written will strengthen your position and help avoid further complications.

Find a solution to complete the project

After securing your records and following the contract steps, the next focus should be on finding a replacement. Bring in a qualified subcontractor to take over the work as soon as possible. Make sure the new subcontractor understands the project’s scope, timeline, and any problems caused by the previous abandonment.

Before signing a new contract, inspect the abandoned work carefully. Sometimes defects or incomplete work hide under the surface. Taking time to uncover these issues early will help avoid further setbacks later. 

Another option some developers and businesses consider is self-performing the work if the project team has the skills and capacity. Weigh the risks and benefits carefully because taking over unfinished work can stretch budgets and schedules thin.

Finally, track all extra expenses that result from the abandonment. These could include costs for hiring a new subcontractor, repairing faulty work, project delays, or additional project management time. Detailed records help you later if you need to pursue recovery through other means.

Decisive action can turn a difficult situation into a manageable one. By staying organized and proactive, you can finish construction projects strong even after unexpected setbacks.