
Penalties vs liquidated damages in construction (JBCC)
A late contractor owes the daily penalty written into the contract, and nothing if the Contract Data was left blank. Here is where the penalty stops.
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A late contractor owes the daily penalty written into the contract, and nothing if the Contract Data was left blank. Here is where the penalty stops.

Under the JBCC the principal agent instructs, under the NEC the project manager does, and an instruction from anyone else is a risk you price yourself.

Britain's new trusted trader scheme is voluntary. South Africa already has five registers, and a deposit rule that only bites once the money has gone.

Five clauses decide it: deposit, certificate, retention, escalation and remedy. Each has a date, and the money moves on those dates or not at all.

The contract already carries the remedy, and the compliance file that keeps you on site quietly expires while you wait for the money.

Johannesburg Water stopped a tower at 95% because the contract budget was exhausted, and the standing time is now somebody's to carry.

Retention runs on your contract's clock, not on a statutory one, and on a R3 million job the 5% still held at month nine is R150 000 of yours.
The Arabella Brief
One email on a Friday, covering the week from Friday to Thursday so the week is closed when it is written. What actually changed, everything with a date on it, one development run through what it means for a contractor with forty people, and what we got wrong. A thin week is a short issue.