Common use of Compensation Events Clause in Contracts

Compensation Events. 44.1 The following are Compensation Events unless they are caused by the Contractor: (a) The Employer does not give access to a part of the Site mentioned in the current milestone. (b) The Employer modifies the schedule of other contractors in a way which affects the work of the contractor under the contract. (c) Ground conditions are substantially more adverse than could reasonably have been assumed before issuance of Letter of Acceptance from the information issued to Bidders (including the Site Investigation Reports), from information available publicly and from a visual inspection of the Site. (d) The Engineer gives an instruction for dealing with an unforeseen condition, caused by the Employer, or additional work required for safety or other reasons. (e) Other contractors, public authorities, utilities or the Employer does not work within the dates and other constraints stated in the Contract, and they cause delay or extra cost to the Contractor. (f) The advance payment is delayed. (g) The effect on the Contractor of any of the Employer’s Risks. (h) Other Compensation Events listed in the Contract Data or mentioned in the Contract. 44.2 If a Compensation Event would prevent the work being completed before the intended completion date, the intended completion date is extended. The Engineer shall decide by how much the intended completion date shall be extended. 44.3 As soon as information demonstrating the effect of each Compensation Event upon the Contractor's forecast, it is to be assessed by the Engineer. If the Contractor's forecast is deemed unreasonable, the decision of the Engineer is final binding on the contractor. The Engineer will assume that the Contractor will react competently and promptly to the event. 44.4 The Contractor shall not be entitled to compensation to the extent that the Employer's interests are adversely affected by the Contractor not having given early warning or not having cooperated with the Engineer.