Table Of ContentDELAY AND DISRUPTION IN
CONSTRUCTION CONTRACTS
FIFTH EDITION
CONSTRUCTION PRACTICE SERIES
Adjudication in Construction Law Remedies in Construction Law
Darryl Royce Roger ter Haar QC and Camilla ter Haar
(2016) (2010)
Chern on Dispute Boards: Practice and Procedure The Law of Construction Disputes
Third Edition Cyril Chern
Cyril Chern (2010)
(2015)
FIDIC Contracts: Law and Practice
Construction Contract Variations Ellis Baker, Ben Mellors, Scott Chalmers
Michael Sergeant and Max Wieliczko and Anthony Lavers
Holman Fenwick Willan LLP (2010)
(2014)
Construction Insurance and UK
Construction Law Construction Contracts
Julian Bailey Marshall Levine and Roger ter Haar QC
(2011) (2009)
DELAY AND DISRUPTION IN
CONSTRUCTION CONTRACTS
ANDREW BURR
(MA) (Cantab), ACIArb, FFAVE, Barrister,
Adjudicator and Arbitrator
with editorial assistance from Annabella Matute Castro
FIFTH EDITION
Fifth edition published 2016
by Informa Law from Routledge
2 Park Square, Milton Park, Abingdon, Oxon OX14 4RN
and by Informa Law from Routledge
711 Third Avenue, New York, NY 10017
Routledge is an imprint of the Taylor & Francis Group, an informa business
© 2016 Andrew Burr
The right of Andrew Burr to be identified as author of this work has been asserted by him in
accordance with sections 77 and 78 of the Copyright, Designs and Patents Act 1988.
All rights reserved. No part of this book may be reprinted or reproduced or utilised in any form or
by any electronic, mechanical, or other means, now known or hereafter invented, including
photocopying and recording, or in any information storage or retrieval system, without permission in
writing from the publishers.
Trademark notice: Product or corporate names may be trademarks or registered trademarks, and are
used only for identification and explanation without intent to infringe.
First edition published by LLP Professional Publishing 1997
Fourth edition published by Sweet and Maxwell 2010
British Library Cataloguing in Publication Data
A catalogue record for this book is available from the British Library
Library of Congress Cataloging-in-Publication Data
Delay and disruption in construction contracts. — Fifth Edition.
pages cm. — (Construction practice series)
ISBN 978-1-138-94066-6 (hbk) — ISBN 978-1-315-67395-0 (ebk)
1. Construction contracts. 2. Construction contracts—England.
I. Burr, Andrew editor.
K891.B8D449 2016
343.07′862—dc23
2015033967
ISBN: 978-1-138-94066-6 (hbk)
ISBN: 978-1-315-67395-0 (ebk)
Typeset in Plantin
by Apex CoVantage, LLC
CONTENTS
Preface to the fifth edition xx
Acknowledgments to the fifth edition xxiii
Editorial team biographies for the fifth edition xxv
Table of acronyms xxvii
Table of case report references xxxi
Table of cases xxxv
Table of legislation lxvii
Table of contract clauses lxxi
Online Resources xcix
List of figures ci
CHAPTER 1 INTRODUCTION AND TERMINOLOGY 1
Introduction 1
Terminology 6
The contractor 6
The developer 6
The contract administrator 7
The works 8
Programme and schedule 8
Critical path 9
Delay 10
Disruption 12
CHAPTER 2 THE RISK OF DEVELOPMENT 13
Introduction 13
Standard form provisions 18
Allocation of risk 23
Project planning and programming risk 26
Legal risk 29
Dispute risk 36
Design risk 39
Buildability risk 43
Biddability risk 43
Construction risk 46
Financial risk 50
v
CONTENTS
Political risk 53
Insurable risk 53
Consumer Insurance (Disclosure and Representations) Act 2012 57
Tortious and statutory duties 58
Introduction 58
The importance of the statutory framework 66
Private nuisance 67
Utilities and statutory undertakers 67
Building control 68
Development control 69
CHAPTER 3 PROJECT PROCUREMENT 71
Introduction 71
CIOB Contract for Use with Complex Projects (CPC 2013) 73
Types of contract 74
Traditional “build-only” contracts 74
“Design and build” contracts 78
“Construction management” contracts 80
“Management contracting” contracts 83
Procurement arrangements 86
Guaranteed maximum price and target costs 86
Partnering and alliancing 87
Private finance initiative and public private partnership 88
CHAPTER 4 STANDARD FORM PROVISIONS FOR TIME
AND COST 91
Introduction 92
Classification of change 94
Standard clauses of delay 100
Acts and/or omissions of the developer 100
Failure to pay 103
Circumstances beyond C’s control 105
Special circumstances 107
Force majeure 107
Errors and inconsistencies 113
Instructed variations and changes 119
Weather 126
Unforeseeable physical conditions 131
Access, ingress and egress 135
Postponement 137
Acts of third parties 139
Nominated subcontractors and suppliers 144
Delay in receiving instructions 147
Quality control 153
Strikes and civil commotion 156
Health and safety 159
Damage caused by carrying out the works 160
vi
CONTENTS
Catastrophes 163
Antiquities 164
Standard provisions for recovery of loss or expense 165
Introduction 165
Compensable events 168
Claims procedure 175
Compensation for disruption to progress 180
Cost and time management in the JCT Major Projects Contract
and the CIOB Complex Projects Contract – a comparative analysis 181
MPC 181
CPC 188
Differences between MPC and CPC 192
CHAPTER 5 NOTICES, CLAIMS AND EARLY WARNINGS 196
Introduction 196
Early warnings 197
Notices 198
Nature of the notice 199
Form of notice 202
Constructive notice 204
Contents of notice 205
Period of notice 210
Second notices 215
Waiver of notice 217
Service of notice 219
Notice as a condition precedent 224
Extension of time conditional upon notice 224
Compensation conditional upon notice 234
CHAPTER 6 EXTENSIONS OF TIME AND TIME AT LARGE 238
Extensions of time 238
Introduction 238
The role of the contract administrator 241
Likely and actual delay to the completion date 245
Forming an opinion 249
Negotiating an award 257
The timing of an award 259
Reviewing an award 263
Developer’s time risk event occurring in period of culpable
delay to the completion date 265
Time at large 268
Where there is no contract 268
Where there is no contract completion date under the contract 270
When completion is prevented 270
Where there is no power to extend time 277
Where the power to extend time is inoperable 278
Assessing a reasonable time to complete 281
vii
CONTENTS
Where there is no contract 285
Where there is no completion date under the contract 287
Where there is a stipulated contract period 289
CHAPTER 7 PLANNING AND PROGRAMMING 290
Introduction 290
Planning 295
Familiarisation 297
Outline plan 297
Strategic plan 297
Detailed plan 298
Programming 298
Varieties of programme 299
Introduction 299
Baseline and target programmes 300
The development programme 304
The tender programme 304
The working programme 305
The occupational programme 307
The as-built programme 308
Subcontractors’ programmes 309
Programme preparation 311
The critical path method 311
The contract period 316
Early completion 317
Milestones, key dates and sectional completion 320
Work content 323
Logical relationships 325
Activity durations 330
Calculating durations 333
Project planning method statements 338
Standard form requirements for programmes 343
The programme as a contract document 354
Specifying the programme requirements 356
Pricing the programme requirements 360
CHAPTER 8 PRESENTATION AND APPROVAL
OF PROGRAMMES 363
Introduction 363
Bar chart 366
Flow chart 368
Line-of-balance chart 368
Time chainage diagram 370
Milestone programme and chart 370
Network diagrams 371
viii
CONTENTS
Arrow diagram 372
Precedence diagram 373
Cascade diagram 374
Standard form provisions 374
The initial programme 374
Programme approval, acceptance and rejection 375
CHAPTER 9 REVISING, UPDATING, MONITORING
AND REPORTING 385
Introduction 385
Standard form provisions 393
Programme revision 400
Programme updating 405
Progress monitoring 410
Target CPM programme monitoring 411
Resource monitoring 412
Cash flow monitoring 414
Cost monitoring 415
Earned value monitoring 417
Milestone monitoring 417
Bar chart monitoring 418
Count the squares chart monitoring 419
Jagged line monitoring 420
Work content monitoring 422
Progress reporting 424
Visual aids 426
CHAPTER 10 PROJECT CONTROL 429
Introduction 429
Forecasting delay 431
The SCL Protocol 432
The change management supplements 442
The management information structure 443
Definitions 443
The programme 444
Electronic submittals 445
Progress records 446
Key dates 446
Roles and relationships 447
Managing the effect of change 449
First step – programme update 451
Second step – programme review for better information 452
Third step – recovery 452
Potential fourth step – event impacting 453
Potential fifth step – acceleration 453
ix
