Civil contractors legal guide: Timing

Basic principles

There are two basic principles to remember about timing:

• time is virtually always of the essence of a construction or works contract; and
• the contractor almost always takes the risk of liability for delayed completion of works.

Interesting legal implications flow from these two basic principles.

Implication: Time bars apply strictly

The first legal implication is that the agreed time for completion or date of completion is generally fixed unless it is varied by agreement.

Watch out, because in most construction and works contracts, including the Australian Standard forms of contract, strict time limits apply to the steps that need to be taken for a contractor to claim and be granted an extension of the time to completion.