PowerPoint Presentation

The rights of the contractor to terminate/determinate a construction contract, from the perspective of PWD 203A (2010) Standard Form of Contract.

DEFAULT OF OBLIGATIONS:. Event of Default If the Government without any reasonable cause fails to perform of fulfil any of its obligations which adversely affects the Works, Then the Contractor may issue a notice specifying the default by the Government and requiring the Government to remedy the same within the period specified therein taking into account the nature of the remedy to be carried out by the Government or such other period as may be agreed by both Parties from the date of receipt of such notice..

Consequences of Termination If this Contract is terminated under Clause 55(b) The Government shall pay to the Contractor:- The value of the Works carried out up to the date of termination; The amount payable in respect of any preliminary items so far as the Work or service comprised therein has been carried out or performed and a proper proportion of any such items which have been partially carried out or performed; The cost of materials or goods reasonably ordered for the Works which have been delivered to the Contractor or of which the Contractor is legally liable to accept delivery (such materials or goods becoming the property of the Government upon such payment being made to the Contractor); and A sum being the amount of any expenditure reasonably incurred by the Contractor in so far as such expenditure has not been recovered by any other payments referred to in this sub-clause For the avoidance of doubt, the Parties hereby agree that the Contractor shall not be entitled to any other form of losses including loss of profit, damages, claims or whatsoever upon termination of this contract..

Silhouette of a construction site. SURVIVING RIGHTS:.