Scaly clays are structurally complex clay formations found throughout the world. Their typical fissured structure, the low shear strength and the high swelling potential often make them unsuitable for earthworks in road and railway infrastructure. This research has attempted to extend the possibilities of using this geomaterial in this field after appropriate lime treatment. A laboratory test programme was carried out to evaluate the response of the treated geomaterial to typical loads acting on road infrastructures. Unconfined and confined compression tests as well as cyclic triaxial tests, in undrained conditions, were carried out to investigate the static and dynamic mechanical behaviour. The results show that lime treatment induces significant improvements in the geomechanical properties and limits the swelling behaviour upon saturation of the geomaterial. Dynamic tests showed that, after only 28 days of curing, the treated scaly clay became insensitive to the damaging cyclic loading caused by vehicular traffic. The collected results show that the scaly clay can be properly used as a subgrade and embankment layer in road and railway construction with limited economic and environmental costs, after accurate treatment with lime. These results are significant for researchers and practitioners to increase sustainability in the construction of linear infrastructures involving excavations in scaly clays and to avoid landfill, which in some cases represented the only option.