Last edited 07 Jan 2021

Neutral event

Flood event.jpg

Many events on a project can result in delays to the completion date. Events which impact on the completion date but are not the fault of either the contractor or the client are called ‘neutral events’.

Neutral events can include:

Where the progress of the works is materially affected by a matters for which the client is responsible, the contractor may be entitled to claim direct loss and expense incurred, and/or an extension of time.

Where a delay which impacts on the completion date is caused by the contractor, the contractor may be liable to pay liquidated and ascertained damages (LADs) to the client.

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