Default of the Employer

Default of the employer is where, in tendered works, the contracting authority disrupts performance of the contract by failing to perform its own obligations or duties of cooperation in good time. Default arises in cases such as the authority failing to hand over the site, failing to prepare the necessary documents, failing to obtain administrative approvals, or failing to take delivery of the work. The employer's default forms the basis of the contractor's claims for an extension of time, compensation and liquidation of the contract.