Musings on Construction Law Mid Week No:10

What is the legal rationale that leads to non-entitlement of loss and expense for third party causes ?

I was requested by a reader to write a short mid-week post to supplement my weekly musings. So here goes.

For a party to be entitled to loss and expense. there must be a breach of contract or at law.

The simple answer is — No breach, No loss and Expense entitlement.

This is due to the legal basis that you can only sue a person who caused a breach. A 3rd party delay cause such as weather, flood, pandemic (Covid 19) etc etc is not a breach by the contracting party as it is not attributable to him. He is only liable if he is the cause of the breach.

The above is very simple and when you look at it, it is common sense. You cannot blame the person who committed no wrong.

So the first thing that Claims Practitioners should ask when preparing or assessing a Claim are :-

  1. Is there a breach ?
  2. Is the alleged breach a breach of Contract or at Law ?
  3. Who is responsible for the breach ?

The above 3 simple question will provide the answers to a lot of Construction Disputes and whether the Disputes are triable.

For those of you who found my weekly musings informative and helpful, I have posted 45+ posts at www.medium.com. You can access them there. You can use this link to find me at :-

https://lhchin.medium.com.

Hope to see you guys signing up as my followers.

For those of you who found my weekly musings informative and helpful, I have posted 58+ posts at www.medium.com. You can access them there. You can use this link to find me at :-

https://lhchin.medium.com.

Hope to see you guys signing up as my followers.

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Cheers, Happy Reading and Wishing you Good Health Always.