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Commentary

149 Contractor’s right to damages

BUILDING AND ENGINEERING vol 5
| Commentary

149 Contractor’s right to damages

| Commentary

149 Contractor’s right to damages

Where the employer repudiates a construction contract before any of the work has been carried out, the basic measure of damages recoverable by the contractor is the profit which the parties would have expected the contractor to make on the contract1. Such damages are reduced in appropriate circumstances to reflect the possibility that the contractor’s profit might not in fact be realised2. The contractor may alternatively elect3 to claim damages for wasted expenditure incurred in preparing for performance of his contractual obligations4 except where the employer can show that, if the contract had been carried

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