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ARTICLE · 01 JUNE 2020

When performance of construction contracts is infected by coronavirus

Discussion about the effect of the pandemic on the construction industry & construction contracts.

AustraliaReal Estate and Construction

COVID-19 has thrown the Australian economy into meltdown over the past 3 months and despite Australians successfully flattening the curve, how we proceed through the pandemic recovery phase is not yet clear.

Councils, like all businesses, have no doubt had to review all aspects of their operations, including their contractual commitments with construction contractors.

Whilst the effects of COVID-19 are not as immediately severe as in other industries such as travel and retail, the construction industry is not immune and will continue to feel the effects.

Whilst construction activities are still allowed, and in fact hours have been extended to allow sites to operate on weekends and public holidays, performance under a construction project is challenging and may become increasingly difficult.

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