My company Role in a project is A/C Local subcontractor , we contracted with the main contractor to do A/C work
for a Residential Tower project, our contract is based on "back to back" payment terms.
Recently we are facing too much cash problems in this project due to
1-Main Contractor’s delay in paying my company. (it takes more than 80 days to pay us against monthly running bills)
2-delay of the project (the project was supposed to complete in Augest 2008) and it is not completed
till now.(expected to complete not before Feb. 2009)
Our agreement with main contractor has no provisions determining how we deal with main contractor’s delay of payment or how we deal with the main contractor’s delay in the project’s civil works where our A/C works must follow.
Do you think we have a right to claim the main contractor for a delay damage due to payment delay and also for civil works delay ? How ?
I’m waiting your valuable advices
for a Residential Tower project, our contract is based on "back to back" payment terms.
Recently we are facing too much cash problems in this project due to
1-Main Contractor’s delay in paying my company. (it takes more than 80 days to pay us against monthly running bills)
2-delay of the project (the project was supposed to complete in Augest 2008) and it is not completed
till now.(expected to complete not before Feb. 2009)
Our agreement with main contractor has no provisions determining how we deal with main contractor’s delay of payment or how we deal with the main contractor’s delay in the project’s civil works where our A/C works must follow.
Do you think we have a right to claim the main contractor for a delay damage due to payment delay and also for civil works delay ? How ?
I’m waiting your valuable advices