11.2 FAILURE TO REMEDY DEFECTS

4.11.2 Failure to remedy defects: Clause 11.4

If the Contractor fails to remedy any defect or damage to the works within a

reasonable time, then the Engineer or Employer may by notice set a date by

10

This expression, used in clause 11.1, means a fair and reasonable allowance must be

made for any use or operation of the plant or facility by the Employer by expiry of the DNP.

which the defect or damage is to be remedied. If the Contractor persists in fail-

ing to remedy the defect or damage, then the Employer has a number of options:

he can carry out the work himself or pay others to do it, claiming the cost

of this from the Contractor; or

he can reduce the contract price appropriately; or

if the defect or damage is so extensive as to deprive the Employer of

substantially the whole benefit of the works or any major part of it, then

terminate the contract either as whole or in respect of the relevant part.

In this latter event, the Employer may recover (without prejudice to any

rights he might have) all sums paid to the Contractor in respect of the works

or the affected part plus financing cost and dismantling and related costs.