Cases - Balfour Beatty Building Ltd v Chestermount Properties Ltd

Record details

Name
Balfour Beatty Building Ltd v Chestermount Properties Ltd
Date
(1993)
Citation
62 BLR 12
Legislation
Keywords
Construction claim - time for completion - JCT standard form - clause 25 - extension of time - whether extension of time should be net or gross
Summary

This case provided a valuable interpretation of clause 25 of the JCT Standard Form of Building Contract (1980 edition).

The architect had power to grant an extension of time in respect of variations ordered during a period where the contractor was already in culpable delay. Such variations did not therefore constitute acts of prevention setting time at large.

The effect of such variations (and therefore the extension of time) should be considered as the extent to which the period of contract time available for completion ought to be extended or reduced having regard to the incidence of the variations (or other relevant events) (the 'net' approach). The architect was not therefore to assess the length of time required to carry out the variation works and refix the completion date at the end of such period starting from the date of the variation instruction (the 'gross' approach).

Colman J stated that the purpose of the power to grant an extension of time under clause 25.3 was to fix the period of time by which the period of time available for completion ought to be extended having regard to the incidence of the relevant events, measured by the standard of what is fair and reasonable.