Delay damages - Revision history

95.150.210.188 at 00:08, 25 May 2021

2021-05-25T00:08:33Z

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Designing Buildings at 08:27, 21 September 2020

2020-09-21T08:27:54Z

← Older revision		Revision as of 08:27, 21 September 2020
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	* RPC - Delay claims under NEC3		* RPC - Delay claims under NEC3

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

Editor at 17:25, 2 December 2019

2019-12-02T17:25:23Z

← Older revision		Revision as of 17:25, 2 December 2019
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	* Compensation event.		* Compensation event.
	* Contract conditions.		* Contract conditions.
		+	* Contractual chain.
	* Contractual obligation.		* Contractual obligation.
	* Cost reimbursable contract.		* Cost reimbursable contract.

Editor at 16:31, 1 March 2019

2019-03-01T16:31:23Z

← Older revision		Revision as of 16:31, 1 March 2019
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	* Compensation event.		* Compensation event.
	* Contract conditions.		* Contract conditions.
		+	* Contractual obligation.
	* Cost reimbursable contract.		* Cost reimbursable contract.
	* Defects.		* Defects.

Editor at 12:35, 1 October 2018

2018-10-01T12:35:16Z

← Older revision		Revision as of 12:35, 1 October 2018
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−	NEC was first published in 1993 as the New Engineering Contract. It is a suite of construction contracts intended to promote partnering and collaboration between the contractor and client. The third edition, NEC3 was published in 2005.	+	NEC was first published in 1993 as the New Engineering Contract. It is a suite of construction contracts intended to promote partnering and collaboration between the contractor and client. The third edition NEC3 was published in 2005.

−	The term ‘delay damages’ refers to one of the 15 secondary options available as part of NEC3. ‘X7 – Delay damages (liquidated damages)’ can be selected in part 1 of the contract data, and the level of damages payable can be defined. If option X7 is selected, and the contractor does not achieve the completion date then delay damages will be due from the contractor. This is similar to liquidated damages (or liquidated and ascertained damages, sometimes referred to as ~~LAD's~~) in other forms of contract such as JCT contracts.	+	The term ‘delay damages’ refers to one of the 15 secondary options available as part of NEC3. ‘X7 – Delay damages (liquidated damages)’ can be selected in part 1 of the contract data, and the level of damages payable can be defined. If option X7 is selected, and the contractor does not achieve the completion date then delay damages will be due from the contractor. This is similar to liquidated damages (or liquidated and ascertained damages, sometimes referred to as LADs) in other forms of contract such as JCT contracts.

	NEC guidance recommends that this option is included in most contracts. It is also recommended that the employer maintains a record of how delay damages are calculated in case they are challenged by the contractor. Delay damages are not a penalty, they must be based on a genuine calculation of damages. If they are not genuine, they may be considered a penalty by the courts and so will be unenforceable. Under these circumstances, the client would still be able to pursue a claim for breach of contract.		NEC guidance recommends that this option is included in most contracts. It is also recommended that the employer maintains a record of how delay damages are calculated in case they are challenged by the contractor. Delay damages are not a penalty, they must be based on a genuine calculation of damages. If they are not genuine, they may be considered a penalty by the courts and so will be unenforceable. Under these circumstances, the client would still be able to pursue a claim for breach of contract.
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	There is provision in clause X7.3 for a delay damages reduction in the event that the employer takes control of a part of the works prior to the completion.		There is provision in clause X7.3 for a delay damages reduction in the event that the employer takes control of a part of the works prior to the completion.

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

	* Accepted programme.		* Accepted programme.
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	* NEC contract change management systems.		* NEC contract change management systems.
	* NEC early contractor involvement.		* NEC early contractor involvement.
		+	* Penalty.
	* Period for reply.		* Period for reply.
	* Procurement route.		* Procurement route.

Designing Buildings at 11:17, 29 June 2016

2016-06-29T11:17:27Z

← Older revision		Revision as of 11:17, 29 June 2016
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	* RICS Consultations - [https://consultations.rics.org/consult.ti/delay/view?objectId=987380 Delay damages]		* RICS Consultations - [https://consultations.rics.org/consult.ti/delay/view?objectId=987380 Delay damages]
−	* RPC - ~~[http://www.rpc.co.uk/index.php?option=com_easyblog&view=entry&id=510&Itemid=130~~ Delay claims under NEC3]	+	* RPC - Delay claims under NEC3

	[[Category:Client_procedures]] [[Category:Contracts_/_payment]]		[[Category:Client_procedures]] [[Category:Contracts_/_payment]]

Designing Buildings at 08:54, 28 February 2016

2016-02-28T08:54:21Z

← Older revision		Revision as of 08:54, 28 February 2016
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	* Defined cost.		* Defined cost.
	* Disallowed cost.		* Disallowed cost.
−	* Early warning.	+	* Early warning notice.
	* Extension of time.		* Extension of time.
	* Key dates.		* Key dates.

Designing Buildings at 08:53, 28 February 2016

2016-02-28T08:53:46Z

← Older revision		Revision as of 08:53, 28 February 2016
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	* Defined cost.		* Defined cost.
	* Disallowed cost.		* Disallowed cost.
		+	* Early warning.
	* Extension of time.		* Extension of time.
	* Key dates.		* Key dates.

Designing Buildings at 08:53, 28 February 2016

2016-02-28T08:53:20Z

← Older revision		Revision as of 08:53, 28 February 2016
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	=== Related articles on Designing Buildings Wiki: ===		=== Related articles on Designing Buildings Wiki: ===

		+	* Accepted programme.
	* Articles of agreement.		* Articles of agreement.
	* Compensation event.		* Compensation event.