Construction Prolongation Cost

Prolongation cost is referred to the additional cost incurred by the Contractor due to delay in project or event(s).

In order to claim for prolongation cost, the cause for delay shall not be born by the the Contractor, thus it may be due to action of the Employer, authority or any other external cause.
When the project is getting delay beyond the expected completion, Contractor has to incure additional cost for staff, facilities for staff, idlling of plants & machinaries, idlling of labours and etc.
As well as off-site overhead and expenses related to the project.

Contractor is entitle to claim this prolongation cost. This entitlement is depend upon the conditions of contract and in generally, Contractor is entitle to receive all such cost plus profit if the cause of delay born by the Employer while only cost can be claimed if except otherwise.

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