A Introduction

7.1 It is obviously important for the performance of an offshore construction project that the Contractor’s work should be free from defects. What precisely constitutes a defect may vary according to the context in which it arises or the contract terms, but generally it is understood to describe any failure of the Contractor to achieve the contractual technical requirements, whether that be missing items, unfinished work, breakdown, failure to function as intended or any non-compliance with the specifications. The legal significance of the defect will vary according to the phase in the project in which it appears. At each point, the relevant question is whether the Contractor is obliged to rectify the defect, when should such rectification be done and if the Contractor fails to do such work when it should have been done, what are the Company’s contractual remedies? The four relevant phases are as follows: