JCT DB 2024: Delay and completion
The JCT D&B 2024 introduces several key changes regarding delay and completion. The most notable changes are summarised below:
Submission of delay notices
Previously under the JCT D&B 2016, once the Contractor had submitted its delay notice(s) the Employer could request the Contractor to supply any further information it reasonably required at any time. Now the Employer is required to notify the Contractor within 14 days of the notice of delay stating the further information required.
Employer’s decision time
The decision period has been shortened to 8 weeks instead of 12 weeks. The Employer has 8 weeks to notify the Contractor as to whether an extension of time has been granted. The 8 weeks runs from either the date of the notice of delay or receipt of the further information. Where there is less than 8 weeks to the Completion Date, the Employer is to try its best to notify the Contractor of its decision by the Completion Date.
New Relevant Events
The JCT D&B 2024 introduces some updates and changes to the list of relevant events. Relevant Events are circumstances that can entitle the Contractor to an extension of time.
Asbestos, contaminated material, and unexploded ordnance:
Where asbestos, contaminated material or unexploded ordnances are discovered or excavated during the Works and the Contractor ceases work and reports such discovery to the Employer, then the Employer shall issue instructions in relation to the items reported. If the Contractor ceasing work or complying with an instruction by the Employer could cause delay the Contractor would be entitled to apply for an extension of time. However, the Contractor is not entitled to an extension of time if asbestos or contaminated material has been identified in the Contract Documents and/or been brought on to site by the Contractor.
Epidemic:
“Epidemic” has not been defined, so its natural meaning would apply. Where an epidemic occurs before or after the Base Date and affects the execution of the Works such as limited labour etc. and prevents or delays the Contractor from the proper carrying out of the Works, the Contractor would be entitled to apply for an extension of time.
Exercise of statutory power:
The JCT D&B 2024 extends the existing Relevant Event for the exercise of statutory power. The relevant event now includes the publication of any guidance by the government generally and the Construction Leadership Council. The Contractor is entitled to apply for an extension of time for the publication of any guidance after the Base Date that affect the Works, for example, recent government guidance in relation to building safety.
Conclusion
Parties using the JCT D&B 2024 should consider these amendments carefully and on a project-by-project basis as the new Relevant Events may not be appropriate for all projects.
The Relevant Events above are not automatically Relevant Matters entitling the Contractor to additional money. For more information on Relevant Matters watch out for our next blog in the next few weeks.
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