Calculating the overheads when a job has hit delays
Winter, J
Calculating the overheads when a job has hit delays - 2000 - Construction News (6693) 23 November 2000, 31(1) .
Examines contractors' delay claims which include a claim for 'head office overhead and profit'. Claimants often use one of three arithmetical formulae - Hudson's, Emden or Eichleay - to calculate their claims. Such a claim can only succeed if it can be proved that the contractor was deprived of the opportunity to win work. The article describes the different types of overhead that can be included and examines each of the formulae before advising that formulae must be used with caution.
CONTRACT CLAIMS
DELAYS
HUDSONS FORMULA
EMDEN FORMULA
EICHLEAY FORMULA
HEAD OFFICE OVERHEADS
Calculating the overheads when a job has hit delays - 2000 - Construction News (6693) 23 November 2000, 31(1) .
Examines contractors' delay claims which include a claim for 'head office overhead and profit'. Claimants often use one of three arithmetical formulae - Hudson's, Emden or Eichleay - to calculate their claims. Such a claim can only succeed if it can be proved that the contractor was deprived of the opportunity to win work. The article describes the different types of overhead that can be included and examines each of the formulae before advising that formulae must be used with caution.
CONTRACT CLAIMS
DELAYS
HUDSONS FORMULA
EMDEN FORMULA
EICHLEAY FORMULA
HEAD OFFICE OVERHEADS