Liquidated Damages in Works
● Source: Clause 17B of GCC
● Levied for delay of Works due to Contractor i.e., Clause 17B of GCC (not due to by Railways or any other reason)
● If the Contractor fails to complete the works within the time as specified in the contract for the reasons other than the reasons specified in Clause 17 and 17-A, Liquidated Damages / General Damages on Contractor.
● Value of the Work - Value of Agreement including any supplementary agreement.
● Total LD - shall not exceed 5 % of the Value of the Work or total value of item or groups of items of work for which a separate distinct completion period is specified in the contract.
● LD Rates - As decided by the Engineer - Between 0.05 % to 0.30 % of Contract value of the work for each week or part of the week.
● If the Railway is not satisfied that the works can be completed by the Contractor and in the event of failure on the part of the contractor to complete the work within further extension of time allowed as aforesaid, the Railway shall be entitled without prejudice to any other right or remedy available in that behalf, to appropriate the contractor’s Security Deposit and rescind/cancel the contract under Clause 62 of these Conditions, whether or not actual damage is caused by such default.
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