Liquidated Damages
Liquidated Damages
(OP)
I have exceeded the interim completion date on a project. The owners representative wants to assess a penalty of $1,000 per working day for each day we exceed the interim completion date. We encountered unforeseen conditions and excessively wet weather. What are my options when negotiating?
P.S. The owners representative is both savvy and unreasonable.
P.S. The owners representative is both savvy and unreasonable.





RE: Liquidated Damages
RE: Liquidated Damages
RE: Liquidated Damages
In the future, if you encounter unforeseen conditions, put the owner on notice immediately, don't wait till the end of job or an interim completion date.
RE: Liquidated Damages
RE: Liquidated Damages
RE: Liquidated Damages
RE: Liquidated Damages
According to Wikipedia, two conditions must be met: "First, the amount of damages identified must roughly approximate the damages .... Second, the damages must be sufficiently uncertain at the time the contract is made that such a clause will save both parties the future difficulty of estimating damages."
If the owners representative is using liquidated damages as a penalty, and no damages occured, then it would not appear to be enforceable.
RE: Liquidated Damages
If you are being assessed liqudated damages, you should have a GOOD construction attorney involved now.As in today.
Good Luck
RE: Liquidated Damages
P.S. "Unreasonable" and "savvy" are mutually exclusive.
RE: Liquidated Damages
RE: Liquidated Damages
RE: Liquidated Damages
On the matter of soil conditions - if you tried to work on wet subgrades and then took the soft soil conditions to be a "changed condition", don't try sticking it to the geotech. It's hard enough in our business to "see" what's going on down there with borings every 200 or 300 ft in plan dimension.
Good luck.
f-d
¡papá gordo ain’t no madre flaca!
RE: Liquidated Damages
RE: Liquidated Damages