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LAW: How to claim for additional time and money due to the suspension of the constructions works.


Claiming for time and money due to suspension of the works?? lets learn about the proper procedure to follow.


FIDIC, Conditions of Contract for Construction

(Second Ed. 2017)



The Contractor will be entitled to:
  • an extension of time; and
  • cost plus reasonable profit
as a result of the suspension.

The Contractor must give notice to the Engineer within 28 days of becoming aware, or should have become aware, that he will suffer a delay or incur cost as a result of the suspension. The notice must:
  • describe the event or circumstance giving rise to the claim; and
  • include all supporting documents relating to the claim.
(If the Contractor does not give notice of his claim within 28 days, he will not be entitled to an extension of time or additional payment).


JBCC, Principal Building Agreement
(Edition 6.2 May 2018)


The Contractor will be entitled to:
  • a revision of the date for practical completion; and
  • an adjustment of the contract value
as a result of the suspension.

The Contractor must:
  • take reasonable steps to avoid or reduce the delay; and
  • give notice (of his intention to submit a claim) to the Principal Agent within 20 working days of becoming aware or should have become aware that he will suffer a delay as a result of the suspension.
(If the Contractor does not give notice of his intention to submit a claim within 20 working days, he will not be entitled to an extension of time or additional payment).

The Contractor must then submit his claim for the revision of the date for practical completion to the Principal Agent within 40 working days from when he is able to quantify the delay.


GCC
(Third Edition 2015)


The Contractor will be entitled claim for:
  • the delay to practical completion; and
  • proven additional cost
as a result of the suspension.

The Contractor must deliver a written claim (specifically referring to clause 10.1 of the contract) to the Employer’s Agent within 28 days after the event giving rise to the claim has occurred. The notice must set out:
  • the particulars of the event and the provision of the contract on which the Contractor bases the claim; and
  • the length of the extension of time and the amount of money claimed together with the basis of the calculations of it.
NOTE: During the suspension of the works, the Contractor must properly protect the works as far as necessary.




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