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Construction Law/Perfomance guarantee

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Question
Please check my formulation below if it is correct?
" This guarantee is valid for the period from xxxxxxx toxxxxx.
At any time during the period in which this guarantee remains valid,if the Employer agrees to grant an extension of time to the Contractor or if the Contractor fails to complete the works within the time of completion as stated in the contract, or fails to discharge himself of the liabilities or damages, it is understood that the Guarantor will extend this guarantee under the same conditions for the time needed by the contractor to complete the work and to discharge himself of the liabilities or damages under the contract" Whith this text do I need to ask for renewing if the Contractor fails to finish the work within time copletion stated in the contract???

Answer
Good Day Abdullah,

Usually the Performance guarantee should be in effect until the end of the Defects Notification Period. In the event that the the Contractor fails to finish the work within the completion time stated in the contract as in your case and has passed the defects notification period, the performance guarantee should be extended to the new anticipated completion date. You should definitely request the renewal of the performance guarantee from the contractor for this new completion period.

I hope this answers your question

Best Regards

Kermit Dick

Construction Law

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kermit dick

Expertise

All questions pertaining to Construction Law isses, ie, Claims EOT Loss of Profit Variations Damages ADR Delays and disruption Professional Negligence

Experience

Certified Arbitrator/ Mediator & Senior Quantity Surveyor Contract manager for Major Construction Firm From 2008 - 2010 Quantity Surveyor for over 16 years dealing with all issues of construction disputes, claims and general contract administration.

Organizations
Member of CIArb Member of ISTT (Institute of Surveyors of Trinidad & Tobago)

Publications
Thesis for Robert Gordon University re: "Professional Negligence in the Construction Industry[20,000 words]" Report for Deakin University "Failures in Slipform Construction [10,000 words]"

Education/Credentials
LLM in COnstruction Law & Arbitration (Robert Gordon Institute 2010) Graduate Diploma in Quantity Surveying (Deakin University Australia - 2007) Civil Engineering Technician Diploma (John D Institute Trinidad 1995) General Draghting Diploma (S'fdo Tech Inst. Trinidad 1984)

Awards and Honors
Distinction in Quantity Surveying via Deakin University (Graduate diploma in Quatity Surveying)

Past/Present Clients
VINCI COnstruction Grans Projets Kee Channona Limited (Trinidad & Tobago) NH International (Caribbean Limited)

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