ABSTRACT
Chapter 13 discusses the issue that no-one likes to think about at the beginning of the project: What happens when it goes wrong? Offshore construction contracts contain a number of provisions dealing with default by either party, though in particular the Contractor. The chapter looks at the different terminology used and how this affects the outcome, as well as how the contractual provisions relate to the common law rights. It considers in some detail the doctrine of anticipatory repudiatory breach; it is often clear from early on that the Contractor will not perform on time and the chapter looks at how parties can bring the contract to an end as early as possible. The chapter also deals with the practicalities of termination, and the alternative legal processes that may need to be invoked and where, as well as the contractual obligations that may survive termination. It finishes with a section on the rare, but not unheard of, situation when the Contractor may wish to terminate for the Company’s breach.
