In brief—engineer's determination under FIDIC contract (Murphy v Beckton)

Table of contents

• Original news
• What was this case about?
• What did the court decide?
• Was the engineer's agreement/determination required?
• Would a call on the bond be fraudulent?
• What should construction lawyers take note of?

Article summary

Construction analysis: Mrs Justice Carr in the Technology and Construction Court considered whether an employer was entitled to recover payment of liquidated damages under a (substantively amended) FIDIC Yellow Book contract, in the absence of agreement or determination by the engineer under clauses 2.5 and 3.5. The court also considered whether it would be fraudulent for the employer to call on an on demand bond in such circumstances.