Delay LDs in EPC Contracts

Description

This Skill Bit shows, that in EPC contracts, delay Liquidated Damages (LDs) are predefined penalties paid by the contractor to the owner for missing project deadlines. They are fixed amounts per day or week of delay, serving as incentives for timely completion. LDs provide pre-agreed compensation, capped at a maximum amount. Contractors may seek time extensions for unforeseeable events, clarifying liabilities and excluding interim damages. LDs are the exclusive remedy for delays, with termination clauses enacted after reaching the cap and additional cure periods, as detailed in the contract.

Duration approx. 3 Min.

Tier: advanced