The following Construction guidance note provides comprehensive and up to date legal information covering:
In simple terms, a global claim is one where a contractor has suffered loss caused by two or more different events which are employer-risk events, but is unable or unwilling to identify the loss or delay caused by each individual event. Therefore there is one claim for all of the losses arising out of the various events.
It is worth noting that global claims are also sometimes referred to in commentary as 'total cost', 'cumulative effect', 'composite' and/or 'rolled-up' claims. In fact, these are variants of global claims which refer to the way in which the claim is formulated:
total cost claims usually refer to the entirety of the work under the contract in question. A comparison is undertaken between the planned cost of the work (usually set out in the tender) versus the actual cost of the work, with the difference in respect of, for example, labour, being claimed as having resulted from disruption (see: Holland Construction & Engineering Pty Ltd v Kvaerner R J Brown Pty Ltd (1996) 82 BLR 83 (not available on LexisNexis®))
cumulative effect claims are used where a significant number of events, such as variations, occur and the claimant seeks to recover the increase in cost from what was anticipated. While the individual impact of each variation may not
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