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Construction Law/set off and contra charge


Dear riz,

It is a follow-up to my previous question

The contract is a bespoke contract based upon the old red book. The Employer, in particular conditions has introduced additional express conditions wherein the Employer is given the right to set off  any damages( other than liquidated damages) that it incurs as a result of any breach by the Contractor. This is in addition to the right under 47.1 to recover LAD. Reference is also made to the word contra charge in the same clause.
Whilst this clause appears to be poorly drafted, i just wanted to know whether there is any significant difference between set off and contra charge .

I would be grateful if you can advise.

By the way, I am surprised to know that you still remember me.

Hello Riz,

Thank you for coming back.

Set off is clear: if Employer suffers any damages, they can retain payments due to Contractor, up to the balance of the amounts.

But I am unclear in respect of "contra charge", it is obviously not a FIDIC term, but something introduced by the Employer.

Please send me the complete phrase/ clause, maybe I can gather something out of it.

Look forward hearing again from you.

Construction Law

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