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CHAPTER 4 Delay claims

Litigation in the technology and construction court

Page 43


Delay claims


4.1 One of the most significant problems that can occur on a construction project of any kind is delay to the works. In infrastructure and other civil projects, it is invariably very expensive: for the employer it means that the asset and therefore the revenue stream is not received when planned, and for the contractor it means he must keep his entire site operation active much longer than the period for which he priced. Sufficient delay can lead to termination for default. In shipbuilding and similar projects, the same considerations as to expense apply, and there is usually an express contractual term permitting the owner to terminate, and recover any instalments of the price previously paid, if the delay extends longer than a certain period after the delivery date.

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