Defect Plus Liquidated Damages

We are currently completing an NEC3 Option A Contract with X5 & X7 included. We have delivered in an item within the X5 required date. This box was many months later deemed to have a defect which we corrected at our own cost. We have now had maximum allowed Delay Damages applied which we are disputing. Is there any instance where this can be done?

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I don’t see how delay damages are related to the defect, unless it prevented Completion of the section of the works in question, i.e. it prevented the Employer from using the works (see cl. 11.2 (2), second bullet point).

I suppose you were never given that sectional Completion Certificate, were you?

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Peter, no we were never issued a sectional completion certificate nor were we ever notified correctly it was a defect, it was just returned and a fix requested. The joys of loosely following a Contract when it suits. The works were not held up as further items had also not been completed (not completed by us).

I understand. It is not an uncommon situation and you will probably face an uphill battle, but that does not mean you won’t be able to prove your case in the end.