Hi,
Gotta get some clearance on this issue from you guys before I can proceed.
The situation is like this -
The Client has raised the building height by adding one additional floor (formerly 20 floors, now 21 floors) by the issuance of a Variation Order. The addition of the extra floor increases the project duration by approximately 03 months. Now, the client does not want to pay the extension. Instead, he says, "complete the project as per the original contract duration and claim Acceleration for the extension", for which we agreed. Now the Contract has a Liquidity Damage clause which says "0.05 % per day delay, not to exceed......blah, blah."
My Big Question, now, is -
Can I, as the Main Contractor, add the amount of Liquidity Damage for the additional 03 months in my claim for Acceleration to the client. Is this kind of claim justifiable?
Rgds & Happy Planning
Vishwas
Gotta get some clearance on this issue from you guys before I can proceed.
The situation is like this -
The Client has raised the building height by adding one additional floor (formerly 20 floors, now 21 floors) by the issuance of a Variation Order. The addition of the extra floor increases the project duration by approximately 03 months. Now, the client does not want to pay the extension. Instead, he says, "complete the project as per the original contract duration and claim Acceleration for the extension", for which we agreed. Now the Contract has a Liquidity Damage clause which says "0.05 % per day delay, not to exceed......blah, blah."
My Big Question, now, is -
Can I, as the Main Contractor, add the amount of Liquidity Damage for the additional 03 months in my claim for Acceleration to the client. Is this kind of claim justifiable?
Rgds & Happy Planning
Vishwas