In the recent case of Eco World – Ballymore Embassy Gardens Company Ltd -v- Dobler UK Limited, the matter of liquidated damages provisions was looked at where the client had taken over part of the works. Unfortunately for contractors in these circumstances, this set a precedent that despite the partial take-over, damages were not reduced and the full rate of damages in the contract applied.

It is therefore important that you check the contract prior to award and ensure that the correct wording exists to ensure a reduction in damages is incorporated in the event that the employer takes early possession of part of the works. We are here to advise you if you have any doubts or would like any advice in drafting contracts or reviewing contracts.