- Project plans
- Project activities
- Legislation and standards
- Industry context
Last edited 21 Feb 2018
Octoesse LLP v Trak Special Projects Ltd
Octoesse LLP (the claimant) entered into an amended JCT Intermediate Building Contract with Trak Special Projects Ltd. (the defendant) for the construction of residential units. Practical completion was significantly later than the original completion date, and the defendant submitted a claim for an 18-week extension of time. They were awarded 9.5 weeks by the contract administrator. No further certificate of non completion was issued.
When the defendant issued a final certificate for payment, the claimant issued a pay less notice which deducted liquidated damages. An adjudication was begun by the defendant on the grounds that the pay less notice was invalid.
'If the Contractor fails to complete the Works or a Section by the relevant Completion Date, the Architect/Contract administrator shall issue a certificate to that effect. If an extension of time is made after the issue of such certificate, the extension shall cancel that certificate and the Architect/Contract Administrator shall where necessary issue a further certificate.'
The defendant argued that it was an express condition of the claimant’s entitlement to deduct liquidated damages that the contract administrator issued a certificate of non completion. Further, the effect of clause 2.22 was that when the extension of time had been given, it had cancelled the certificate of non completion.
If, on the other hand, the claimant had given notice of their intention to deduct damages, but an extension of time had then been made and a further certificate of non completion issued, then they would not need to give notice of the intention to deduct again.
 Find out more
 Related articles on Designing Buildings Wiki
Featured articles and news
A quick introduction to a very complicated subject.
CIOB suggests the economic reach of construction is double the official figures.
The first US building to achieve BREEAM Outstanding In-Use.
70 buildings from 70 years of Concrete Quarterly. Book review.
Conserving the iron roof at the Albert Dock.
Delivering an infrastructure revolution.
The admissibility of evidence.
How many can you name? 37 anyone?
CIOB respond to the points-based system.
When is the weather considered 'exceptionally adverse'?
ECA backs call for a rolling programme of rail electrification.