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Monday, October 12, 2026
The Company Chronicle

General construction glossary

Notice to proceed

A notice to proceed is a written instruction from the owner telling the contractor to begin work or a defined phase of it.

A notice to proceed is a written instruction from the owner telling the contractor to begin work or a defined phase of it.

Definition

It marks the formal start of the contract time. Before it is issued, the parties may sign the contract but the contractor is not yet required to begin.

A plain example

Illustrative example: after a contract is signed, the owner waits for permits and financing to be confirmed. When both are in place, it sends the notice and the contract schedule begins.

Why it matters

It sets the clock for deadlines, so the date should be written down and agreed.

Common confusion

A notice to proceed is not the contract itself and not a permit. It is an instruction from the owner under the contract.

On a project

Check what conditions must be met first, such as insurance, bonds, permits and submittals, and record the date it is issued.

Quick answers

  • Does the schedule start at signing or at the notice? The contract says. Often the notice starts it.
  • Can there be more than one? Yes, for phased work.
  • Does it replace the permit? No. Permits come from the authority.

Related terms

Always check the project drawings and specification, and confirm requirements with the engineer of record and the local authority.

Questions people ask

Does the schedule start at signing or at the notice?

The contract says. Often the notice starts it.

Can there be more than one?

Yes, for phased work.

Does it replace the permit?

No. Permits come from the authority.

Sources and further reading

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