As per the contract there is only one milestone for the overall completion of the project. Can the Client issue penalty to the Contractor when the Contractor is unable to complete the overall project due to the delay event by the owner?
Instead of that is it sense to calculate the EOT as 60 days (100-40) with the prolongation cost for 60 days?
Member for
17 years 4 monthsThanks mike...
Thanks mike...
Member for
19 years 10 monthsHi KananIf the employer
Hi Kanan
If the employer caused 100 days delay the contractor gets an EoT of 100 days + releif from LAD's
The Contractor then gets costs for the remaining 60 days.
Best regards
Mike Testro
Member for
17 years 4 monthsHi Mike,Thanks for the
Hi Mike,
Thanks for the reply.
As per the contract there is only one milestone for the overall completion of the project. Can the Client issue penalty to the Contractor when the Contractor is unable to complete the overall project due to the delay event by the owner?
Instead of that is it sense to calculate the EOT as 60 days (100-40) with the prolongation cost for 60 days?
Best Regards
Kannan
Member for
19 years 10 monthsHi KannanIt seems that you
Hi Kannan
It seems that you are describing Concurrent Effect rather than Concurrent Cause.
This is where two or more events arise in different time zones in the baseline but each delay the works during the same extended time zone.
So the Employer caused 100 days delay and the Contractor caused 40 days delay.
In this simple scenario the contractor gets EoT for 100 days pays 40 days LAD's and gets 60 days prolongation costs.
If it was the other way round the contractor would get EoT for 40 days pay LAD's for 60 days and no costs.
Best regards
Mike Testro
Member for
24 years 9 monthsThe answer is 'it
The answer is 'it depends........
concurrent delays are a very difficult area, see: http://www.mosaicprojects.com.au/WhitePapers/WP1064_Concurrent-Delays.p…;