The following Construction Q&A provides comprehensive and up to date legal information covering:
The most obvious and straightforward method for a party to protect itself is to limit its financial liability under a contract by agreeing a financial cap. Some parties take the approach that they are willing to accept unreasonable or onerous clauses in contracts provided they cap their ultimate liability. Doing so may provide the ring-fence that the contractor requires to understand (and price for) the worst case scenario, and in turn save time negotiating the contract terms. In this regard see Lexis®PSL Construction Practice Note: Limiting liability in construction contracts.
A financial cap can be a total or
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