An event which is not one of the other compensation events stated in the contract has stopped the Contractor from completing the works. Is this a compensation event?

An event which is not one of the other compensation events stated in the contract has stopped the Contractor from completing the works. Is this a compensation event?

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The relevant compensation event is clause 60.1 (19). “Stops” is a strong test and means that it is not just difficult or more expensive to complete the works. The event also has to be one which:

	neither Party could prevent,

	an experienced Contractor would have judged at the Contract Date to have such a small chance of occurring that it would have been unreasonable for him to have allowed for it and

	is not one of the compensation events stated in the contract.