Commentary

151 Non-payment by employer

BUILDING AND ENGINEERING vol 5

151 Non-payment by employer

2: WITHHOLDING PERFORMANCE

151 Non-payment by employer

In the absence of express provision, the contractor’s breach of contract does not of itself entitle the employer to withhold payments which would otherwise be due. However, a payment may lawfully be withheld where proper performance by the contractor of his obligations is a condition precedent to the making of the payment1. Moreover, an employer may be able to resist a contractor’s claim for payment by raising a defence of set-off or abatement, provided, in the case of contracts falling within the scope of the Housing Grants, Construction and Regeneration Act

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