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Liquidated damages - from Eden to dome

By: Series: Construction Law Review ; 2004, 31-32(2)Publication details: 2004Subject(s): Summary: Discusses "Bath and North East Somerset DC v Mowlem plc" ([2004] EWCA Civ 722, Abs67985), relating to the consideration of liquidated damages provisions in the context of an application for an interim injunction. Warns that situations can arise where contractors, when considering an optimistic employer specified contract period, include in their price some exposure to liquidated damages. This means, in effect, the contractor is treating the liquidated damages figure as an agreed price for its potential breach. Questions whether any delay entitles the employer to liquidated damages. Suggests issues arising over access can be met by ensuring critical access issues are defined in the contract, complete with appropriate sectional completion dates or contractual milestones and appropriate liquidated damages provisions.
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Journal article London Journal article ABS68188 (Browse shelf(Opens below)) 1 Available 127580-1001

Discusses "Bath and North East Somerset DC v Mowlem plc" ([2004] EWCA Civ 722, Abs67985), relating to the consideration of liquidated damages provisions in the context of an application for an interim injunction. Warns that situations can arise where contractors, when considering an optimistic employer specified contract period, include in their price some exposure to liquidated damages. This means, in effect, the contractor is treating the liquidated damages figure as an agreed price for its potential breach. Questions whether any delay entitles the employer to liquidated damages. Suggests issues arising over access can be met by ensuring critical access issues are defined in the contract, complete with appropriate sectional completion dates or contractual milestones and appropriate liquidated damages provisions.