Search Legislation

Construction Contracts (Amendment) Act (Northern Ireland) 2011

Section 8 - Suspension of performance for non-payment

Article 11 of the 1997 Order permits a contractor to stop carrying out work under the contract in the event of non-payment by the other party.

Paragraph (a) of section 8 amends paragraph (1) of Article 11 to put it beyond doubt that a contractor may stop carrying out some, and not simply all, of the work in such a case.

Paragraph (b) of section 8 inserts a new paragraph (3A) into Article 11. The effect of this is to make the “party in default” (the party who has not paid) liable to pay to the contractor stopping work pursuant to Article 11 a reasonable amount by way of the costs and expenses he incurs by stopping work (for instance, the payee’s reasonable costs in redeploying staff or removing plant and equipment).

Paragraph (c) of section 8 amends paragraph (4) of Article 11. Article 11(4) as originally enacted provided that any period during which the contractor stopped work in pursuance of this right to do so in a non-payment situation was to be disregarded in calculating any time period prescribed in the contract. The amendment extends this to any period in which the contractor stops work “in consequence of the exercise of” this right; with the effect that extra time is allowable – for instance, the time which the payee requires to remobilise staff or return plant and equipment to the relevant site.

Back to top


Print Options


Explanatory Notes

Text created by the Northern Ireland Assembly department responsible for the subject matter of the Act to explain what the Act sets out to achieve and to make the Act accessible to readers who are not legally qualified. Explanatory Notes accompany all Acts of the Northern Ireland Assembly.


More Resources

Access essential accompanying documents and information for this legislation item from this tab. Dependent on the legislation item being viewed this may include:

  • the original print PDF of the as enacted version that was used for the print copy
  • lists of changes made by and/or affecting this legislation item
  • confers power and blanket amendment details
  • all formats of all associated documents
  • correction slips
  • links to related legislation and further information resources