ABSTRACT

The date of possession or commencement and the date for completion of the work are key dates in any building contract and IC16 requires a ‘Date of Possession’ and a ‘Date for Completion’ to be inserted in the contract particulars. Possession of the site is a fundamental term of the contract. Failure to give the contractor possession is a serious breach by the employer, which may amount to repudiation and therefore give the contractor the right to treat the contract as at an end. The contractor is relieved of this obligation if the employer causes delays or in some way prevents completion. In addition, most contracts contain provisions allowing for the adjustment of the completion date in the event of certain delays caused by the employer or neutral delaying events. The contract bills may set out a procedure, and the contract administrator should check carefully at tender stage to ensure that the procedure is satisfactory.