The Project Manager has instructed the Contractor to stop working or not start working because of a fault of the Contractor. Is this a compensation event?
No. If the Instruction to stop working or to not start working arises from a fault by the Contractor, the Prices, Completion Date and Key Dates are not changed. Clause 61.4 states ‘If an event arises from a fault of the Contractor…(the Project Manager) notifies the Contractor of his decision that the Prices, Completion Date and Key Dates are not to be changed.