Default in construction contracts - Revision history

Designing Buildings at 06:11, 25 August 2025

2025-08-25T06:11:50Z

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	NB This use of the term default differs from its use with regard to a debt, which is when a debt has not been paid by its due date.		NB This use of the term default differs from its use with regard to a debt, which is when a debt has not been paid by its due date.

−	~~= Find out more =~~	+	= Related articles on Designing Buildings =
−		+
−	=== Related articles on Designing Buildings ~~Wiki ==~~=	+

	* Bonds v guarantees.		* Bonds v guarantees.

Designing Buildings at 09:05, 29 October 2020

2020-10-29T09:05:39Z

← Older revision		Revision as of 09:05, 29 October 2020
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	* Variations.		* Variations.

−	[[Category:Contracts_/_payment]]	+	[[Category:DCN_Definition]] [[Category:DCN_Guidance]] [[Category:Contracts_/_payment]]

93.109.52.40 at 06:48, 16 October 2018

2018-10-16T06:48:48Z

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		+	The CCRs 2013 UK Legislation 3134/2013 refers to Default. This default has a different meaning from 'defaulting' here, defined as a breach of contract.
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		+	The 'default' in CCRs 3134/2013 is an addition to the invoice which is automatically added without consent from the consumer. Default means the additional charge is continuously in operation, such that the consumer is opted-in to the charge by the trader without consent being received by the trader.
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		+	This might be an optional service charge percentage for good on-time work, added by coding the accounting system. The regulation requires express consent to have been received by the trader before the consumer is bound by the contract.
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		+	This 'default' in CCR 3134/2013 article 40 is not the same as here - to default, to fail to pay.The following paragraphs refer to 'fail to pay'.
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	A default is a non-material breach of contract, whereby one party fails to perform a contractual obligation. What specifically constitutes a default will be set out in the contract terms, but generally, it can be defined as an omission or a failure to do what is expected or required.		A default is a non-material breach of contract, whereby one party fails to perform a contractual obligation. What specifically constitutes a default will be set out in the contract terms, but generally, it can be defined as an omission or a failure to do what is expected or required.

Designing Buildings: moved What is a default? to Default in construction contracts

2018-04-17T10:16:51Z

moved What is a default? to Default in construction contracts

← Older revision

Revision as of 10:16, 17 April 2018

Designing Buildings at 09:58, 17 April 2018

2018-04-17T09:58:10Z

← Older revision		Revision as of 09:58, 17 April 2018
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−	A default is a non-material breach of contract, whereby one party fails to perform ~~the specific terms of~~ a contractual obligation. ~~Often, what~~ constitutes a default will be ~~specifically identified within~~ contract terms, but ~~in general terms~~ it can be defined as an omission or a failure to do what is expected or required.	+	A default is a non-material breach of contract, whereby one party fails to perform a contractual obligation. What specifically constitutes a default will be set out in the contract terms, but generally, it can be defined as an omission or a failure to do what is expected or required.

−	If one party defaults, the other party may make a claim for damages, but may not consider it is discharged from any further obligations under the contract. This prevents the innocent party from avoiding their overall ~~performance~~ because of a minor breach of just one part of the contract.	+	If one party defaults, the other party may make a claim for damages, but may not consider it is discharged from any further obligations under the contract. This prevents the innocent party from avoiding their overall obligations because of a minor breach of just one part of the contract.

−	NB This ~~differs~~ from the use of the term ~~‘default’~~ with regard to a debt, which is when a debt has not been paid ~~upon~~ its due date.	+	This is different from a serious, material breach of contract (although the distinction is not clear cut) which may allow the innocent party to consider that they are discharged from any further obligations under the contract.
		+
		+	NB This use of the term default differs from its use with regard to a debt, which is when a debt has not been paid by its due date.

	= Find out more =		= Find out more =

Designing Buildings at 09:49, 17 April 2018

2018-04-17T09:49:57Z

← Older revision		Revision as of 09:49, 17 April 2018
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	A default is a non-material breach of contract, whereby one party fails to perform the specific terms of a contractual obligation. Often, what constitutes a default will be specifically identified within contract terms, but in general terms it can be defined as an omission or a failure to do what is expected or required.		A default is a non-material breach of contract, whereby one party fails to perform the specific terms of a contractual obligation. Often, what constitutes a default will be specifically identified within contract terms, but in general terms it can be defined as an omission or a failure to do what is expected or required.

−	~~This differs from~~ the ~~use of the term ‘default’ with regard to~~ a ~~debt~~, ~~which~~ is ~~when~~ a ~~debt has not been paid upon its due date~~.	+	If one party defaults, the other party may make a claim for damages, but may not consider it is discharged from any further obligations under the contract. This prevents the innocent party from avoiding their overall performance because of a minor breach of just one part of the contract.

−	~~If one party defaults,~~ the ~~other party may make~~ a ~~claim for damages~~, ~~but may not consider it~~ is ~~discharged from any further obligations under the contract. This prevents the innocent party from excusing their performance because of~~ a ~~minor breach of just one part of the contract.~~	+	NB This differs from the use of the term ‘default’ with regard to a debt, which is when a debt has not been paid upon its due date.
−		+
−	~~This is generally the position on construction contracts, where some works are likely to have~~ been ~~carried out, but one or more may remain undone, incomplete or defective~~.	+

	= Find out more =		= Find out more =

Editor: Created page with "A default is a non-material breach of contract, whereby one party fails to perform the specific terms of a contractual obligation. Often, what constitutes a default will be speci..."

2018-03-06T12:43:20Z

Created page with "A default is a non-material breach of contract, whereby one party fails to perform the specific terms of a contractual obligation. Often, what constitutes a default will be speci..."

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A default is a non-material breach of contract, whereby one party fails to perform the specific terms of a contractual obligation. Often, what constitutes a default will be specifically identified within contract terms, but in general terms it can be defined as an omission or a failure to do what is expected or required.

This differs from the use of the term ‘default’ with regard to a debt, which is when a debt has not been paid upon its due date.

If one party defaults, the other party may make a claim for damages, but may not consider it is discharged from any further obligations under the contract. This prevents the innocent party from excusing their performance because of a minor breach of just one part of the contract.

This is generally the position on construction contracts, where some works are likely to have been carried out, but one or more may remain undone, incomplete or defective.

= Find out more =

=== Related articles on Designing Buildings Wiki ===

* Bonds v guarantees.
* Breach of contract.
* Causes of construction disputes.
* Change order.
* Compensation events.
* Contract claims.
* Loss and expense.
* Variations.

[[Category:Contracts_/_payment]]