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Last edited 17 Apr 2018
Default in construction contracts
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 obligations because of a minor breach of just one part of the contract.
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.
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