Common use of Prolonged Delay Clause in Contracts

Prolonged Delay. If after the Purchaser has become entitled pursuant to Clauses 34.1 to damages up to the limit provided under Clause 34.2 or the combined limit provided under Clause 44.3 any part of the Works remains uncompleted, the Purchaser may by notice to the Contractor require him to complete that part and the Contractor shall complete that part in accordance with such notice from the Purchaser. Such notice shall fix a final time for completion, which, shall be reasonable having regard to such delay as has already occurred and to the extent of the work required for completion. If for any reason other than an event of Force Majeure or one for which the Engineer or the Purchaser or some other contractor employed by the Purchaser is responsible the Contractor fails to complete within such time, then the Purchaser may (a) by further notice to the Contractor terminate the Contract and otherwise proceed in accordance with Clause 46.3, or, (b) accept the Plant subject to reaching an agreement on further reduction in Contract Price.

Appears in 2 contracts

Sources: Engineering, Procurement, Construction and Commissioning Contract (Mission NewEnergy LTD), Engineering, Procurement, Construction and Commissioning Contract (Mission NewEnergy LTD)