The project was a £110m building contract in central London with bespoke terms and conditions under a Construction Management arrangement.
The Contractor was claiming to have been delayed and disrupted by the late provision of design and other issues, which caused it to incur additional direct labour and plant costs and indirect costs associated with critical delay (prolongation) and be liable for damages for late completion.
The Contractor was claiming extensions of time to multiple key dates/sectional completion dates and having lost approximately £2.3m. Despite having made claim submissions, the Contractor had been unable to convince the developer of its entitlements. The developer had rejected all submissions, sighting that the subcontractor had failed to evidence cause and effect.
TREO embarked upon a forensic investigation, interviewing staff, reviewing previous claim submissions, constructing the as built programme to identify, quantify and evidence all delay and disruption events in finite detail, thus linking cause and effect and drafting a detailed and particularised claim submission.
After considering the Contractor’s original claim submissions and the facts, the heads of claim were re-assessed. New heads of claim were identified, some of the original heads were discarded, and the quantum in respect of all heads of claim was re-assessed. By tabling a well-substantiated claim document, the developer was forced to make an assessment and enter into dialogue and negotiations with the Contractor.
TREO is a professional consultancy providing specialist commercial management, project controls, claims management, delay analysis and dispute resolution services to the UK and international engineering and construction industry.
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