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EOT on contractual milestone

9 replies [Last post]
Thu, 2009-12-31 06:48
ashraf mokhtar
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Groups: Building Information Modelling, Civil Engineering, GPC Qatar
Dear all

My project have Finish Milestone with penalties on each stage of the project, and one stage is delayed and didnot meet it’s contractual milestone.
the contractor ask for EOT although this delay will not impact the finish date of the project.

what will be the situation in this case?

thanks all.
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Replies

Thu, 2010-03-04 09:51
#1
Mike Testro
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Hi Roland

See threads #2 & #5

Best regards

Mike Testro
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Thu, 2010-03-04 09:43
#2
Roland Tannous
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Dear all,

Correct me If I am wrong, the person who asked the question mentioned delay to the milestone but then stated that the project completion date has not itself been delayed.
So the reasonable answer is to see if the contract clauses allow for EOT and therefore prolongation claims for delayed milestones as well.
If it doesn’t then he’s not really allowed any EOT and any insuing prolongation claims but he can still present a Disruption/labour-overrun claim as it doesn’t really depend on the criticality of the activity itself in the schedule.
Roland
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Wed, 2010-03-03 06:26
#3
Samer Zawaydeh
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Dear Santhosh,

If the Delay is from the Client side, then the Contractor has the full right to claim for EOT not the Owner.

I agree with you, the first option should be amicable settlement.

With kind regards,

Samer
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Wed, 2010-03-03 06:00
#4
Santhosh kumar Na...
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If the delay is form client’s side , Owner has full right to ask for EOT. As you said it has got affected in one of the deleverable milestone.
Moreover, after evalutaion of submitted EOT, cost for the extended duration a perticular mile stone(since it is not affecting) can be waived off of agreed on gentleman discussion.

The case is simple according to me coz it has not effect on project completion, so just dont apply LD on this milestone if the delay is from client.
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Sat, 2010-01-02 10:03
#5
Samer Zawaydeh
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Dear Ashraf,

This is a standard claim. You need to make sure that it is submitted as per the Conditions of Contract regarding the time of submitting the notice of the claim and the required supporting documents.

Best Regards,

Samer
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Sat, 2010-01-02 09:42
#6
Mike Testro
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Hi Ashraf

Unless the contract clearly states that the Contractor is not entitled to an EoT on an idividual milestone then he should be granted a reasonable extension for the delay caused by the employer.

The fact that no other milestone or the completion date has been affected is irrelevant.

There may well be specific costs in respect of deployed staff and plant that related to the milestone - in which case they should be paid.

Best regards

Mike Testro
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Sat, 2010-01-02 09:05
#7
ashraf mokhtar
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Joined: 23 Dec 2009
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Dear Mike, Samer

the client caused the delay, put this delay did not effect other milestones.

i am studying this EOT the contractor ask for time and cost for the impacted Milestone put neither the other milestones nor the finish of the project have been impacted as per the submitted impacted program.

thanks

with regards
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Thu, 2009-12-31 11:21
#8
Samer Zawaydeh
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Dear ashraf,

Who caused the delay (Contractor or Owner)? And what is the effect of this delay on the other milestones.

Do you want to prepare the EOT or to study the EOT?

With kind regards,

Samer
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Thu, 2009-12-31 06:53
#9
Mike Testro
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Joined: 14 Dec 2005
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Groups: Building Information Modelling, Content Moderators, GPCCAR Editors
Hi Ashraf

In most standard conditions of contract then:

If the Contractor is entitled to an EoT for the late delivery of the milestone then he should be awarded what is reasonable and thus be releived of LAD’s.

The same goes for all the other milestones and the final completion.

Best regards

Mike Testro
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