Time in Contracts

Question 1

3 Main time Related issues

Answer 1

1. Commencement
2. Progress
3. Completion

Question 2

Commencement involves

Answer 2

• Giving possession to the contractor
• Timing of this possession
• Potential delays in possession
• Possession normally not more than 6 weeks after award of contract

Question 3

Issues when possessing a site

Answer 3

• Delayed possession may render employer liable to pay damages for breach of contract
• Not with standing rights within the contract to delay works, the contract admin cannot delay whole of the works
• If possession is delayed by aa third party ie pickets/squatter, the employer may not be liable

Question 4

Date for possession

Answer 4

• Most contracts will give a date for posession
• If posession is not given and contractor cannot access site, the employer may loose Liquidated and ascertained damages

Question 5

The contractor isn’t obliged to …., but must proceed …
… must be identifies in ….

Answer 5

The contractor isn’t obliged to start work on date of possession but must proceed regularly and diligently
Deferred possession must be identified in contract particulars

Question 6

Progress involves

Answer 6

• Unless stipulated, the contractor can progress at any rate that they choose
• Many contracts require the contractor to submit a programme of works

Question 7

Time is of the essence

Answer 7

Time and dates are a vital element of the performance of the contract. Any failure to adhere to the time stated is a breach of the contract.

Question 8

Define regularly

Answer 8

“Attend on a daily basis with sufficient labour and materials to progress the works”

Question 9

Define diligently

Answer 9

“Need for contractor to apply their physical capacity industriously and efficiently”

Question 10

Why is progress important to subcontractors?

Answer 10

because they depend on others progression in order to progress their own work

Question 11

What is the meaning of completion?

Answer 11

No true completion until contract is totally performed.

Question 12

Who decides if a building is complete?

Answer 12

The contract Admin

Question 13

Delay in completion

Answer 13

A party can terminate the contract if the other party is late
However, if a contractor is late then they can make time is of the essence and give reasonable time for completion

Question 14

Sectional and partial completion

Answer 14

• A desire for phased completion must be stated

Question 15

The contractor is …… until issue of ….. or relevant ….

Answer 15

The contractor is allowed to keep possession of site until issue of practical completion certificate or relevant sectional

Question 16

Effects of completion

Answer 16

• The employer takes possession of the site
• The contractor stops insuring
• Liability of the contractor for damages/Late completion cease
• One half of retention is released to contractor
• Defects correction period begins
• Planning supervisor hands over H&S plan