ABSTRACT

The concept of “time at large” is based upon the “prevention principle” and arises where the contractor is delayed in completion due to some act of the employer which “prevents” timely completion. In order to avoid the prevention principle from applying many construction contracts and sub-contracts include provisions for extension of time. In Peak Construction v McKinney Foundations639 it was held that the extension of time provisions did not cover causes of delay, which were the employer’s, own fault. Lord Justice Salmon wrote:

In most contracts a delay in completion activates the liquidated damages provisions but the prevention principle stops that from happening and in effect not only is the contractor then not required to complete by a specifi ed completion date but this “obligation” is thus transformed into an obligation to complete within a “reasonable time”, ie, “time at large” instead and without the imposition of any liquidated damages.