Where a contractorsubcontractor is granted an extension of time is there an automatic right to the recovery of loss and expenseQuote the FEDIC clause and more than 200 words

No, there is no automatic right to the recovery of loss and expense where a contractor/subcontractor is granted an extension of time. This is because an extension of time does not necessarily mean that the contractor/subcontractor has suffered a loss or incurred additional expenses. The FIDIC clause 8.4 sets out the procedure for the contractor/subcontractor to claim for additional payment as a result of an extension of time.

According to FIDIC clause 8.4, the contractor/subcontractor is entitled to additional payment for any delay caused by the employer, any variation to the works, or any other event for which the employer is responsible. In order to claim for additional payment, the contractor/subcontractor must demonstrate that they have incurred additional costs or suffered a loss as a result of the delay.

The contractor/subcontractor must provide the employer with a notice of their intention to claim for additional payment within 28 days of becoming aware of the delay. They must also provide a detailed breakdown of the additional costs or losses incurred as a result of the delay. The employer is then required to respond within 28 days, either accepting or rejecting the claim. If the claim is rejected, the contractor/subcontractor may refer the matter to adjudication or other dispute resolution procedures.

In summary, an extension of time does not automatically entitle the contractor/subcontractor to the recovery of loss and expense. The contractor/subcontractor must follow the procedure set out in the contract and demonstrate that they have incurred additional costs or suffered a loss as a result of the delay