The severe weather led to road closures and caused significant damage to infrastructure and property, thereby disrupting ongoing construction projects across the UAE and posing challenges for project timelines and completion.
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The severe weather led to road closures and caused significant damage to infrastructure and property, disrupting construction projects across the UAE.
Numerous construction projects are likely to face delays and damage due to this extreme weather event. Parties involved in construction contracts must carefully assess their contractual obligations and rights in such circumstances. The course of action depends largely on the terms outlined in the contracts and their interpretation.
Numerous construction projects are likely to face delays and damage due to this extreme weather event. Parties involved in construction contracts must carefully assess their contractual obligations and rights in such circumstances. The course of action depends largely on the terms outlined in the contracts and their interpretation.
Law Nuances
The entitlement to additional costs resulting from adverse weather events varies across different contracts. Standard form contracts like NEC4 explicitly cover extensions of time and reimbursement of extra costs due to extreme weather events.
However, the FIDIC Red and Yellow Books only provide for extensions of time without specific provisions for cost reimbursement. This issue is particularly crucial because claims for defects and damages are likely to be more prevalent than requests for time extensions.
Determining the foreseeability of weather events is complex. Historical weather patterns exhibit significant variation, and the frequency of extreme weather events is on the rise due to climate change.
Furthermore, advancements in weather forecasting and communication provide detailed information about the timing and scale of such events well in advance. Therefore, it cannot be automatically assumed that a significant weather event would be considered unforeseeable.
Many construction contracts in the Middle East explicitly require contractors to mitigate any delays, losses, or damages. Even in the absence of such a provision, courts and tribunals generally consider this aspect.
Contractors are expected to have implemented mitigation measures prior to adverse weather events, such as rescheduling tasks, securing loose materials, and protecting unfinished work with adequate drainage systems.
Determining the foreseeability of weather events is complex. Historical weather patterns exhibit significant variation, and the frequency of extreme weather events is on the rise due to climate change.
Furthermore, advancements in weather forecasting and communication provide detailed information about the timing and scale of such events well in advance. Therefore, it cannot be automatically assumed that a significant weather event would be considered unforeseeable.
Many construction contracts in the Middle East explicitly require contractors to mitigate any delays, losses, or damages. Even in the absence of such a provision, courts and tribunals generally consider this aspect.
Contractors are expected to have implemented mitigation measures prior to adverse weather events, such as rescheduling tasks, securing loose materials, and protecting unfinished work with adequate drainage systems.
What Can Contractors Do?
Contractors may seek extensions of time for project completion if delays are attributed to unexpected adverse weather conditions. For instance, contracts like the FIDIC Red and Yellow Books allow for extensions of time under Clause 8.5 (c) specifically for "exceptionally adverse climatic conditions."
These conditions are deemed unforeseeable based on climatic data provided by the employer or publicly available for the project's geographical location.
Employers and contractors must be familiar with the notice requirements specified in their contracts. Contractors should provide reasonable evidence demonstrating that delays, losses, or damages were directly caused by the weather event.
Under the FIDIC Red and Yellow Books, contractors must submit a notice as soon as possible, and no later than 28 days after becoming aware of the event.
The recent extraordinary rainfall in the UAE undoubtedly impacted construction projects. Parties involved should review the specific terms of their contracts to determine if they are eligible for relief and understand the procedures for seeking such relief.
These conditions are deemed unforeseeable based on climatic data provided by the employer or publicly available for the project's geographical location.
Employers and contractors must be familiar with the notice requirements specified in their contracts. Contractors should provide reasonable evidence demonstrating that delays, losses, or damages were directly caused by the weather event.
Under the FIDIC Red and Yellow Books, contractors must submit a notice as soon as possible, and no later than 28 days after becoming aware of the event.
The recent extraordinary rainfall in the UAE undoubtedly impacted construction projects. Parties involved should review the specific terms of their contracts to determine if they are eligible for relief and understand the procedures for seeking such relief.
Read more about key regulations of the UAE construction law
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