In this episode, Paul and Liam catch up with Jason Farnell, Adjudicator and CEDR Accredited Mediator from Commercial Risk Management, to discuss variations.
We put forward the following scenario to Jason:
We are a Main Contractor working on a JCT 2016 Building Contract with a £3m lump sum Contract Sum. The client (the property developer) is looking to amend an element of the works and has issued an instruction to omit a large portion of your scope relating to the M & E. The results are to be completed by Another company. The works are valued at approximately £300,000, including circa £30,000 of profit.
We then asked Jason a series of questions from the main contractor's and developer's perspective to understand how/if you can claim for loss of profit in response to variations when the client is instructing a significant omission.
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