Retroactive Adjustment order

For an LSTK contract, if an item is deleted from the Scope of work, after the Contractual completion date, is the Adjustment order retroactive???  Actual completion certificate has not yet been issued

B
Betsy Joseph 👤 Member for 15 years 8 months

Hi Mike,

This omission of work as you rightly pointed out, doen't have a time impact. The proposed Adjustment order is for the Cost impact only. Since it is a deletion, I personally feel that this is not retroactive.

 

Regards

 

Betsy

M
Mike Testro 👤 Member for 20 years 6 months

Hi Betsy

An ommission of work from the agreed scope will not normally reduce the time for completion.

However an adjustment can often be made if there is a claim for extension of time in place.

Best regards

Mike Testro

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