The Contractor experiences two problems on Site.
A steel staircase has been positioned incorrectly and is misaligned with the first-floor stairwell by 0.5m. This results in expensive remedial work.
To compound problems, the Contractor has tiled walls when the temperature was too low for the grout to set properly and some tiles have cracked and are coming away from the wall. The Works Information provided by the Employer expressly stated that tiling should not be undertaken unless the temperature exceeded 5 degrees Celsius but the Contractor (to overcome time pressures) ignored this constraint on several cold days.
How are these two issues dealt with in the contract and how will they affect the amount due?
The Contractor had been forecasting a 50/50 gain share of £73,000 (i.e. total of £146,000). However, in light of the above problems the projection is now less. The Employer is further frustrated.
Is there any guarantee of the share to the Employer ? How are costs forecast during the contract? When and how is the Contractor ’s share calculated?