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Legal News

Instruction to postpone works was not a breach of contract (Grain Communications v Shepherd Groundworks)

Published on: 16 December 2024

Table of contents

  • What are the practical implications of this case?
  • What was the background?
  • What did the court decide?
  • Was the October email a variation?
  • Did the Blyth WO permit an implied term that Grain could not postpone the works?
  • Was Shepherd precluded from recovering damages in respect loss of profit or its mobilisation/demobilisation costs?
  • Case details

Article summary

Construction analysis: The Technology and Construction Court (TCC) found that an employer’s decision to postpone works was a valid exercise of its right to instruct variations, and not a breach of contract. Even if the postponement of work had been a breach of contract, the terms of the contract would have prevented the contractor from recovering damages for loss of profits and mobilisation and demobilisation costs.

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