An issue occurred on site which caused the job to halt pending an investigation into safety concerns. A couple of days later the job was allowed to continue albeit on a reduced basis. Two weeks later the Contractor issued an EWN stating that a problem had occurred and it would instigate a full root cause review. Interestingly the EWN highlighted no delay to completion or meeting a key date but it did state what had failed and stated this had not been immediately apparent at the time.
The Employer has always believed this is a design issue since the failure is related to equipment designed by the Contractor - this is a design and demolition project. The notification of compensation event has just been issued by the Contractor some 4.5 months after the event occurred. The Contractor, realising this, has stated that it was the conclusion of their report that alerted them to this being a CE under 60.1. Remarkably this report was issued 6 weeks ago.
So should the Employer have notified or is he exempt from doing so leaving it up to the Contractor. Surely the excuse in using their report to trigger the CE is contractually incorrect since they stated on their EWN the cause of the event. If the Employer is to time bar this he has to be certain that he didn’t have to notify in this case and there is no moral high ground issue here e.g. time barring because it’s easy etc.