The Saga Decision: Concurrent Delay And Causation

The English High Court decision in Saga Cruises BDF Ltd & Anor v Fincantieri SpA¹ emphasises that unless there is concurrent delay affecting a contractor's completion date, the contractor will not be entitled to an extension of time.

What is concurrent delay?

"Concurrent delay" is a period of project overrun caused by two or more delay events. At least one delay is caused by an event usually defined in the construction contract as a "Relevant Event" or an "Excusable Delay" entitling the contractor to an extension of time eg delayed access to site. The other delay is caused by an event for which the contractor accepted the time and cost consequences eg a labour shortage. To be concurrent, the delays must be of approximately "equal causative potency"² and be felt at the same time. The Malmaison³ decision stands as authority for the proposition that concurrent delay will entitle a contractor to an extension of time to the completion date, but not to its time-related