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Construction Law/Remedy Available to MC & NSC of dispute in certified payment


Hope you are well.
I am working as a QS in a construction contractor in HK.
Would you please advise  the remedy available to the Main Contractor (MC) and the Nominated Subcontractor (NSC) respectively under the Building Contract in the situation of a dispute in the amount of the certified payment and a default in honouring of the certified payment.

Dear Annie Soo,

You do not mention the form of contract, nor the applicable law, so the following comments are generic.  

I am unfamiliar with the law in Hong Kong.  In UK, the Main Contractor has to follow certain statutory procedures before he can withhold payment of a certificate.  If he does not follow the procedures, then he is penalised for any non-payment.  Also in UK, adjudication is mandatory.  

What procedures are included in the Conditions of Contract for dispute resolution.  If there are none, try amicable settlement.  If that does not solve the problem, then you must get legal advice and start a court case.  

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Peter M. Elliott


First response to queries regarding extensions of time, variations orders, site instructions and payment using FIDIC and other forms of Conditions of Contract, based on English Law, and derivatives only. Anyone who needs advice about EoT should download and study the SCL Delay & Disruption Protocol before submitting a question.


Value . . .
It's unwise to pay too much, but it's unwise to pay too little. When you pay too much you lose a little money, that is all. When you pay too little, you sometimes lose everything, because the thing you bought was incapable of doing the thing you bought it to do.
The common law of business balance prohibits paying a little and getting a lot. It can't be done. If you deal with the lowest bidder, it's well to add something for the risk you run.
And if you do that, you will have enough to pay for something better.
. . . John Ruskin (1819 - 1900)
"We are too poor to buy something cheap"
.Romanian Proverb 2002
A lean compromise is better than a fat lawsuit. George Herbert (English poet 1593-1633)
I said it in Hebrew, I said it in Dutch,
I said it in German and Greek:
But I wholly forgot (and it vexes me much)
That English is what you speak!" Hunting of the Snark - Lewis Caroll
Match your presentation to the reader!
The joy of food lasts but an hour, of sleep but a day, of a woman, but a month, but the joy of a building lasts a lifetime. Syrian proverb.
Comments and observations leading to improvements in the translation of FIDIC Red & Yellow books into Romanian prior to approval by FIDIC (reference 'Preface to the Romanian edition')

Institution of Civil Engineers, Association of Chartered and Certified Accountants, Society of Construction Law, Dispute Resolution Board Foundation

B Sc(Hons) in Civil Engineering

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