Page 49 - Interactive report Ar Site Practice

3) CERTIFICATE OF NON-COMPLETATION (CNC)

WHAT IS A CERTIFICATE OF NON-COMPLETION?

The certificate of non-completion gives formal written notice to the contractor that
they have failed to complete the works described in the contract by the completion date
that was last agreed (the original completion date may have been adjusted during the
course of the works).

The date for completion of construction works (or dates for completion of sections
of the works) is generally set out in the contract particulars. However, it is not
uncommon for delays to cause the completion date to be missed, that is, the works
are not complete, and so a certificate of practical completion cannot be issued by the
date for completion.

Where the client is responsible for the delay, an extension of time may be granted, the
completion date adjusted, and the contractor may be entitled to claim loss and expense.

Where the contractor is responsible for the delay, the client may be entitled to claim
liquidated and ascertained damages (at a rate set out in the contract particulars).

CATEGORIES OF DELAYS :

1. Delay caused by Contractor (Clause 21.1)
2. Delay caused by Employer ( Clause 23.8) – 15 relevant events
3. Delay caused by the Third Parties (Neutral Event) (Clause 23.8) – 9 relevant events

1. DELAY BY CONTRACTOR

Reasons :
Not having sufficient force or plant on site
Not having necessary materials when needed
Poor site management/ co-ordination/ experience
Failure to pay workers or sub-contractors

Contractual Effects:
Not entitle to claim for Extension Of Time (EOT)
No reimbursement for loss and expense
Employer can be compensated by the of LD
Employer may terminate the contractor’s employment if delay is too long