Key Issue 2 - EOT (Lintels) Flashcards
You mentioned the structural engineer “failed to inspect the lintels” during their first inspection. What was the reason for this failure?
They inspected the ground floor only and not the basement so missed the timber lintels that the steel joists were going to be placed on.
KI 2 (EOT): When was this first inspection undertaken? During design phase or construction phase?
Design phase.
This is a significant failure on the part of the engineer, as they designed the new floor structure. An EOT and Loss and Expense claim appear to have been made due to this failure - would your client have any recourse on the engineer for this key failure?
Claim for professional negligence (duty of care, breached duty of care, caused damages/loss, damages were a result of negligence).
How was the contractor able to claim Loss & Expense as well as EOT?
- EOT provision in the contract (“reasons beyond the control of the contractor”).
- Loss and expense provision included as a contract amendment: Money.
Design change (variation) entitled contractor to extended completion date and compensation for direct loss.
What was the amount of the Loss & Expense claim?
Approx £3k (contractor’s prelims are £3k a week).
You mention that the lintels were suffering from fire damage. How were you able to determine this on site?
The timber was charred and had cracks throughout.
Lintels: What did you advise the client regarding the Loss and Expense claim?
Advised that due to the variation for the lintels which was from the client’s side, the contractor was entitled to Loss and Expenses to cover their costs for continuing to work after completion date.
Note: Relevant Event: variation (design change).
Note: Loss and expense: prelims at £3,000 per week.
Note: Rectification period: 12 months (3 months by default in MW contract).
“On investigation, it became apparent that the structural engineer was responsible for changing the design by not undertaking an inspection of the basement and identifying the existing timber lintels.” Were they incompetent? What recourse was available to you?
The client could make a negligence claim against the contractor and claim damages for losses incurred due to the delay.
Did the door lintel replacement need Building Regulations approval?
Yes as it was structural so it needed to meet AD A.
Was there a need to temporarily brace the lintels?
Yes, support was needed to take the weight of the brickwork while the new lintel was installed.
EOT: “I also checked the time and loss and expense amount requested by the contractor to ensure these were all correct.” How did you do this?
EOT:
- Contractor’s quote breakdown [looked at original completion date vs actual completion date and breakdown of contractor’s quote to see if it was reasonable].
- Programme (time lost for lintels delivery and undertaking works).
Loss and Expense:
- Prelims.
- Contractor’s claim.
[based on contractor’s prelims but I also assessed their claim submitted to ensure all the items were direct losses.]
When did lintels replacement works take place? How long were they?
4 weeks into the programme.
6 working days.
What benefit is there for the client in including a Loss and Expense contract amendment?
- Prevents delays from arguments about who’s at fault and how much should be paid.
- Contractor could take legal action to recover costs [leading to delays].
How did you formally amend the contract to include the Loss and Expense provision?
Produced a Schedule of Amendments detailing the Loss and Expense provision.
