1 IN THE SILVER BOOK, THE CONTRACTOR MAY EITHER SUSPEND THE WORKS OR REDUCE THE RATE OF WORK IF THE EMPLOYER FAILS TO

4.16.1 Suspension: Clause 16.1

In the Silver Book, the Contractor may either suspend the works or reduce the

rate of work if the Employer fails to:

provide evidence of his financial arrangements under clause 2.4; or

pay the Contractor within the times prescribed by clause 14.7.

The Contractor is to give not less than 21 days ’ notice and is entitled to

maintain the suspension or reduction in work rate until he has received the

evidence or the payment outstanding.

The position is similar in the Yellow Book, except that in addition to a fail-

ure to pay the Contractor, the Engineer ’ s failure to certify an interim payment

in accordance with clause 14.6 is a stated ground for suspension.

In both Books, the Contractor can claim costs (plus profit) and an exten-

sion of time if he incurs cost or suffers delay as a result of suspending the

works or reducing his rate of work in accordance with clause 16.1.