Delay

The contract will normally provide a fixed time for the contractor to complete the works.

If the contractor is delayed in completing the works, the consequences will normally depend on the cause of the delay and type of contract.  Commonly:

• If the delay is the fault of the project owner or project engineer, the contractor will:
  • be entitled to charge its additional costs caused by the delay
  • be entitled to an extension of time to complete the works, and will not be obliged to pay the project owner damages for late completion.
• If the delay is the fault of the contractor, the contractor will:
  • not be entitled to charge its additional costs caused by the delay
  • not be entitled to an extension of time to complete the works, and will be obliged to pay the project owner damages for late completion.