CONTRACTORS APPLICATION FOR AN EXTENSION OF TIME

NORHANA BINTI DANIAL

A project report submitted in partial fulfilment of

the requirements for the award of the degree of
Master of Science (Construction Management)

Faculty of Civil Engineering

Universiti Teknologi Malaysia

JUNE, 2007
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To my beloved mother and father

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ACKNOWLEGEMENT

In preparing this project, I was in contact with many people, researchers,

academicians and practitioners. Firstly and of course, I wish to express my sincere
appreciation to my project supervisor, Professor Dr. Muhd Zaimi Abdul Majid for
his encouragement, guidance and friendship during the writing of this project.
Secondly, to my fellow postgraduate student and also practitioner in the construction
industry, Aniza Abu Bakar, for her kind assistance, views and tips in this master
project. My other fellow postgraduate students should also be recognised for their
support. Thanks also due to my parents for their support, and all my colleagues past
and present who have offered numerous helpful suggestions.
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ABSTRACT

Invariably an evaluation of extension of time (EOT) will be made based on

the information submitted by the contractor such as work programme and architects
instructions. Lack of information of delay is one of the common mistakes by the
contractor in the application of EOT and this can lead to obstacles in prompt
settlement of claims for EOT. The objectives of this research are: to identify the
information that needs to be considered in evaluating extension of time application;
to identify the common mistakes by the contractor in the application of extension of
time; and to identify the ways to reduce the mistakes by the contractor in the
application of extension of time. The methodology of this study includes literature
reviews, data collection and analysis. Data is gathered from responses of
questionnaire survey with professionals involved in the construction project. The
research findings indicate that insufficient quality of information and poor
presentation of the application to show how the progress of the work has been
delayed remained as the highest common mistakes. This research highlights the
ways to reduce the mistakes to speed up the evaluation process in order to establish
the contractors entitlement for EOT and also to avoid disputes about contractors
entitlement for EOT. In conclusion, the mistakes could be best controlled or reduced
by the implementation of a document management system.
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ABSTRAK

Penilaian lanjutan masa biasanya dibuat berdasarkan maklumat yang

diserahkan oleh kontraktor seperti program kerja dan arahan arkitek. Kekurangan
maklumat kelambatan adalah salah satu kesilapan biasa oleh kontraktor dalam
permohonan lanjutan masa dan ini boleh membawa kepada halangan untuk
penyelesaian segera tuntutan lanjutan masa. Objektif-objektif kajian ini adalah:
mengenalpasti maklumat yang diperlukan dalam menilai permohonan lanjutan masa;
menenalpasti kesilapan-kesilapan biasa oleh kontraktor dalam permohonan lanjutan
masa; dan mengenalpasti cara-cara untuk mengurangkan kesilapan tersebut. Kaedah
kajian ini termasuklah kajian literatur, pengumpulan data dan analisis. Data
diperoleh daripada maklumbalas kajian soal selidik dengan professional yang terlibat
dalam industri pembinaan. Penemuan kajian menunjukkan bahawa ketidakcukupan
kualiti maklumat dan kekurangan dalam permohonan untuk menunjukkan bagaimana
kemajuan projek menjadi lewat adalah kesilapan-kesilapan yang tertinggi. Kajian ini
memfokuskan kepada cara-cara untuk mengurangkan kesilapan tersebut untuk
mempercepatkan proses penilaian dalam memberikan hak kontraktor terhadap
lanjutan masa dan juga untuk mengelakkan pertelingkahan tentang hak kontraktor
terhadap lanjutan masa. Kesimpulannya, kesilapan-kesilapan tersebut dapat
dikurangkan dengan melaksanakan sistem pegurusan dokumen.
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TABLE OF CONTENTS

CHAPTER TITLE PAGE

DECLARATION ii
DEDICATION iii
ACKNOWLEGEMENT iv
ABSTRACT v
ABSTRAK vi
TABLE OF CONTENTS vii
LIST OF TABLES xi
LIST OF FIGURES xiii
LIST OF APPENDICES xiv

1 INTRODUCTION

1.1 Introduction 1
1.2 Background 2
1.3 Problem Statement 4
1.4 Research Aims and Objectives 5
1.5 Research Scopes and Limitations 5
1.6 Importance of the Study 6
1.7 Research Methodology 7
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2 PROVISION OF EXTENSION OF TIME

IN CONSTRUCION CONTRACTS

2.1 Introduction 11
2.2 Contract Provision for Extension of Time 12
2.3 Purposes of Extension of Time 24
2.4 Benefits of Extension of Time 24
2.5 Procedures for Claiming an Extension of Time 25
2.6 Conclusion 28

3 THE REQUIREMENTS IN THE APPLICATION

FOR AN EXTENSION OF TIME

3.1 Introduction 29
3.2 Proof of Entitlement 30
3.2.1 Information That Needs to be
Considered in Evaluating Extension of
Time Application 32
3.2.1.1 Construction and Progress Records 33
3.3 Common Mistakes by the Contractor in the
Application of Extension of Time 36
3.3.1 Major Mistakes 37
3.3.2 Lack of Proper Baseline Schedule 37
3.3.3 Lack of Proper Site Records and
Insufficient Quality of Information 38
3.4 Practical Ways for Minimising Contractors
Mistakes in the Application of Extension of Time 39
3.5 Conclusion 41
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4 RESEARCH METHODOLOGY

4.1 Introduction 42
4.2 Literature Review 43
4.3 Selection of Respondents 43
4.4 Research Design 44
4.4.1 Questionnaire Survey Design 44
4.5 Analysis Method 47
4.5.1 Frequency Analysis 48
4.5.2 Average Index Analysis 48
4.6 Conclusion 51

5 RESEARCH ANALYSIS AND DISCUSSION

5.1 Introduction 52
5.2 Data Analysis for Questionnaire Survey 53
5.2.1 Analysis for General Information of the
Respondent 53
5.2.2 Analysis for Background of Project 56
5.2.3 Analysis for Information That Needs
to be Considered in Evaluating
Extension of Time Application 60
5.2.3.1 Information for Delays Relating
to Reason of Architects/
Superintending Officers Instructions 61
5.2.3.2 Information for Delays Relating
to Reason of Late Instructions,
Drawings or Level 62
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5.2.3.3 Information for Delays Relating

to Reason of Delay by Nominated
Subcontractors or Suppliers 64
5.2.3.4 Summary of Information That
Needs To Be Considered in
Evaluating Extension of Time 65
5.2.4 Analysis for Common Mistakes by the
Contractor in the Application of
Extension of Time 66
5.2.5 Analysis for Ways to Reduce the
Mistakes by the Contractor in the
Application of Extension of Time 68
5.3 Conclusion 70

6 CONCLUSION AND RECOMMENDATION

6.1 Introduction 71
6.2 Conclusion 72
6.3 Recommendations 73
6.4 Limitation of the Study 75
6.5 Recommendation for Further Study 75

REFERENCES 76

BIBLIOGRAPHY 79

APPENDIX 80
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LIST OF TABLES

TABLE NO. TITLE PAGE

2.1 Reasons of delay that can entitle a contractor to claim

extension of time and loss and/or expense 13

2.2 Relevant events causing delay which extension of time

may be given 15-23

2.3 Procedure for an extension of time under PAM 98 and

PWD 203A standard form of contract 27

4.1 The classification of the rating scales in Section A

of the questionnaire 50

4.2 The classification of the rating scales in Section B

of the questionnaire 50

4.3 The classification of the rating scales in Section C

of the questionnaire 51

4.4 The classification of the rating scales in Section D

of the questionnaire 51

5.1 Respondent organization 54

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5.2 Respondent post 55

5.3 Respondent experience 56

5.4 Standard form of contract used in the construction

project that the respondents have experienced 57

5.5 Reasons of delay which EOT may be given 60

5.6 Information that needs to be considered for the

reason of architects/ superintending officers
instructions 62

5.7 Information that needs to be considered for

the reason of late instructions, drawings or level 63

5.8 Information that needs to be considered for the reason

of delay by nominated subcontractors or suppliers 65

5.9 Common mistakes by the contractor in the

application of EOT 67

5.10 Ways to reduce the mistakes by the contractor in the

application of EOT 69
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LIST OF FIGURES

FIGURE NO. TITLE PAGE

1.1 Research methodology 10

5.1 Respondent organization 53

5.2 Respondent post 54

5.3 Respondent experience 55

5.4 Standard form of contract used in the construction

project that the respondents have experienced 57

5.5 Types of projects that the respondents have experienced 58

5.6 Application for extension of time in construction projects 59

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LIST OF APPENDICES

APPENDIX TITLE PAGE

A Questionnaire form 80
 CHAPTER 1

INTRODUCTION

1.1 Introduction

Provision of EOT is made in building contracts for architects/ S.O to grant

EOT for the completion of the work where delay due to certain specified causes has
occurred. The contractor should be compensated with the time he suffers loss due to
causes outside his control. The clause in the standard form requires the contractor to
inform the architect/ S.O in writing of the delay fact when he realizes that the
progress of the works is delayed. A contractor should be required to supply
information about the delay, including identifying the event that led to the delay in
order to take into account by the evaluator and to determine whether the contractor is
entitle to EOT or not. Lack of information of delays is one of the common mistakes
by the contractor in the application of EOT and this can lead to obstacles to prompt
settlement of claims for EOT. Besides that, there are other common mistakes that
need to be identified and after that knowing the ways to reduce the mistakes.
 2

1.2 Background of the Study

The contractors obligation is to carry out and complete the works before or
on completion date (Nor Ainah, 2001). An employer could impose liquidated
damages for contractors failure to meet the completion date as a result of delaying
circumstances. Such delaying circumstances can be of three types which are delays
caused by the contractor, delays caused by neutral events and delays caused by the
employer or his agents (Sundra Rajoo, 1999).

A delay in the building work may arise from a number of causes as

mentioned before which may prevent completion by the agreed date. Some events
are beyond the control of the builder and it is considered not to take into accounts
would be unfair. Instead, the contractor should be compensated with the time that
has been lost and this compensation is what is termed as extension of time (EOT) in
contract administration (Manson, 1968; Hashim, 2001).

Most building contracts contain express provisions for time extension to be

granted by the architect in the event of delay that permitted in the contracts.
Provision of EOT is stated in the standard form of contract, clause 23 PAM 98, and
clause 43 PWD 203A. The operation of EOT provision modifies the obligation of
the contractor to complete the works by the date for completion specified in the
appendix, and his liability to pay liquidated damages for late completion. EOT is
given with the view to extend the contract period and it is given solely to replace the
time lost to the contractor. EOT will not be given if the delay is caused by the
contractor. By this reasoning, EOT is not given on contractual ground to help the
contractor to complete the work because EOT is a right in the building contract and
not a privilege (Hashim, 2001). It imposes a duty on the architect to grant a fair and
reasonable EOT for completion of the works in specified circumstances.
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EOT shall be exercised by the architect upon the concurrence of the event,
upon knowledge of the contract programme and before the final certificate.
However, because the EOT clause comprehends delays due to causes of many kinds,
it may not be necessary to grant an EOT before completion, in exceptional cases
example a strike mean to last beyond the contract date and the extend delay could not
be known until after the contract time had expired (Lim, 1998).

The evaluation to derive at the EOT entitlement can indeed be a complex

subject especially when there is more than one delaying events (Entrusty Group,
2006). Invariably, an evaluation of EOT will be made based on the programmes
submitted by the contractor (Kevin, 2005). Besides the programmes, the contractor
is advisable to provide relevant information related to delays such as variations and
architects instruction for references, towards consideration for EOT (Lim, 1998).
The strength of the contractors case will depend on the quality of his information
(Brian, 1997).

A contractor should be required to supply facts about the delay, including

identifying the event that led to the delay. The contractor must also provide proof of
the events that were allegedly responsible for the delay. The matter of proof is one
frequently overlooked by potential litigants in their enthusiasm to formulate
arguments as commented by Keith Pickavance (Nicholas, 2005):

Poor quality of project documentation leads to poor factual evidence

and presents serious difficulties in identifying the rights of the
parties.

Poor factual evidence such as lack of information of delays is one of the contractors
mistakes in the application of EOT and this can lead to obstacles to prompt
settlement of claims for EOT.
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EOT needs serious deliberation and consideration when it is applied to

construction projects. There are risks that failure to accurately assess delays to
completion of a construction contract will result in unnecessary extensions to the
completion time, excessive delay-related costs, or disputes about a contractors
entitlement to EOT or delays costs. Therefore, it is important by the evaluator to
consider and refer all the information that related to delays, which can assist them in
evaluating EOT application (BLR, 1985). It will be prudent to seek advice about the
procedures and all the information that needs to be submitted for EOT application
from an architect, engineer or a quantity surveyor, who act as an evaluator when a
contractor wishes to apply EOT in relation to delays.

1.3 Problem Statement

The contractors duty is to give the architect as much information as he can

about the cause of delays and so assist the architect in performing his duty, as
mentioned in clause 23(1) PAM 98, the notice (for extension of time) shall contain
sufficient information and reason why delay to completion will result. The
contractors failure to provide information if requested is one of the contractors
mistakes in the application of EOT. No action would be taken by the employer if the
contractor failed to submit such information unless the actions are stated in the
contract. The contractors failure to provide related information of delays puts
himself at a disadvantage on proof of entitlement to EOT.

The next mistake is the submission of work programme by the contractor is

not detailed and unrealistic. In Malaysia, generally, the programme of works as
prepared by the contractor is usually not detailed, not realistic or not have the
activities properly linked to show the critical path. It is usually used for show only
more than anything else which is the cause of many incidents where EOT was not
 5

granted even when the contractor rightly has its entitlement to EOT if a proper
programme of works was presented and all the information related to delays was
provided (Entrusty Group, 2006).

1.4 Research Aims and Objectives

The aim of this study is to identify and recommend the best way to reduce the
common mistakes by the contractor in the application of extension of time. To
achieve this aim, the following objectives have been identified:

1. To identify the information that needs to be considered in evaluating

extension of time application.

2. To identify the common mistakes by the contractor in the application of

extension of time.

3. To identify the ways to reduce the mistakes by the contractor in the

application of extension of time.

1.5 Research Scopes and Limitations

Basically, this research project focuses on explaining provision of EOT in

PAM 98 and PWD 203A standard form of contract. Furthermore, several common
law cases related to EOT will be used to support explanation and arguments. The
scope of this research also will be focusing on the study of the information that needs
to be considered by the evaluator in evaluating EOT application. This research is
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limited to professionals (evaluator) working in quantity surveying, architecture and

civil engineering firm located in Johor Bahru area. Besides, the study would be
made to determine the common mistakes by the contractor relating to the information
on the application for EOT. Hence, the view of the Quantity Surveyor, Architect and
Engineer to reduce the mistakes is essential towards improving the current mistakes
of the contractor in the application of EOT.

1.6 Importance of the Study

From the facts as mentioned before, it can be concluded that all the
information related to delays are very important to assist the evaluator to recommend
or grant EOT to the contractor. The contractor needs to provide sufficient
information in order to assist the evaluator in the evaluation process. It is important
to identify the information that needs to provide by the contractor in order to get a
fair and reasonable extension of time. This research is not only focused to the
information that related to the work programme, but it is also considered other
relevance information (supporting documents) that caused delays to take into account
by the evaluator and to determine whether the contractor is entitle to EOT or not.

One of the common mistakes that occurred in EOT application is when the
information related to delay was not provided by the contractor. Besides, there are
other mistakes that need to be identified to avoid risk of failure to accurately assess
delays in the application of EOT and after that knowing the ways to reduce the
mistakes. With this study, the contractor could indeed benefit from this studys
outcome and have more knowledge about the improvement of the preparation for
EOT application in order to speed up the evaluation of the architect to establish
contractors entitlement for EOT and to avoid disputes about contractors entitlement
for EOT.
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1.7 Research Methodology

A few stages of work need to be carried out in order to achieve the stated
objectives. Implementation of the stages of work is arranged to ensure the research
can easily be done and impressive. This approach is to ensure that all relevant
information can be collected and precisely analyzed. Stages of work for this research
are elaborated as follows:

1. Planning and pre-discussion

The process involved in this stage is survey need to be carried out to identify
area of study, for example the study in the aspect of construction contract and all the
relevant issues. Detail discussion with supervisor can assist to find out idea about the
area of study to be done. Next process is to determine project topic and objectives
and state the scope and limitation of project to achieve the objectives.

2. Pre-Study

Pre-study is carried out to get a clear description about the research. The
literature reviews provide useful guidelines and information on EOT provision in
construction contract. Those literature reviews were also used to guide the process
of extracting the idea and relevant issues, and to easily prepare the research process.

3. Identify Data

Data that needs to be identified is primary data and secondary data to fulfil
the research objectives.
 8

4. Data Collection

This process is the most important process to do the research. All the data
collected is arranged into a form that can be studied easily. Data collection for this
research can be divided to two types:

a) Primary Data

Collection of primary data is an important process to get the source of

information and for the purpose of analysis. It has been obtained from
questionnaires of the quantity surveyor, architect and engineer as a practitioner, who
has extensive experience and knowledge in evaluating EOT.

b) Secondary Data

Secondary data has been obtained from reading and studying from printed
materials such as standard form of contract (PAM 98 and PWD 203A), books,
journals, articles, previous study, and seminar papers to study the information of
delay and EOT in construction contracts. Those literature reviews were also used to
guide the formation of questionnaire design.

5. Analysis of Data

Primary data is analyzed in order to achieve the research objectives. Besides,

summary and suggestion of the research are prepared based on the results from the
analysis. The methods to analyse the data are detailed elaborated in chapter 4 to ease
the process of analysing data.
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6. Writing and Completion

All the information will be arranged to understandable form for the purpose
of writing before submission to the supervisor. Next is correction process before
documentation process can be done. Finally, the complete project is ready to be
submitted on the submission date.
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PRE-DISCUSSION

Detail discussion with supervisor Detail review on thesis, articles and

books

IDENTIFY AREA OF STUDY

SELECTION OF TOPIC

DISCUSSION WITH SUPERVISOR

LITERATURE REVIEW

IDENTIFY DATA & DATA SOURCES

1st Stage
.

DATA COLLECTION

PRIMARY DATA SECONDARY DATA

Questionnaire survey Books, articles, seminar papers, journals,

PAM 98 & PWD 203A Standard Form
of Contract

2nd Stage
.

ANALYSIS & INTERPRETATION OF DATA

RESEARCH WRITING

REVISION & CORRECTION

COMPLETION
3rd & 4th Stage
.

DOCUMENTATION

SUBMISSION OF PROJECT 5th Stage

.

Figure 1.1: Research Methodology

 CHAPTER 2

PROVISION OF EXTENSION OF TIME IN CONSTRUCION CONTRACTS

2.1 Introduction

The legal prevention is of general application in contracts and is to the effect

that one party cannot impose a contractual obligation on the other party where he has
impeded the other in the performance of that obligation. Given the complexity of
construction projects, the very real possibilities of variations, the difficulties of
coordination and other unforeseen issues it is, unless some relief is available, almost
impossible for the employer to avoid falling into the trap of prevention. Therefore,
extensions of time clauses provide this relief (Lawrence, 2001).

Extension of time provisions preserve the contractors obligation to complete

within a specified time and in doing so the provisions preserve the employers right
to liquidated damages, when by prevention, he has delayed the contractor and is
responsible in part for late completion. It is common to provide an express power for
the EOT for completion and if an extension has been granted it operates wholly or
partially as a defence to a claim for liquidated damages from the original completion
date. If there is no express power to extend for a delay which is not the fault of the
employer, the contractor takes the risk of that delay and will not avoid liquidated
damages (Lawrence, 2001).
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A fundamental point is that the time for completion can only be extended
where the contract permits, and strictly in accordance with the contract provisions. If
delay is caused by some event which the contract does not cover, then the contractor
cannot claim an extension (Murdoch and Hughes, 1992). Time extensions may be
justified when the contractor experiences delay caused by the labour disputes, fire,
extremely unreasonable weather conditions, acts or neglect on the part of employer
or a nominated contractor, or other causes beyond the contractors control (Harold,
1976). Without an EOT clause, the contractor is under a strict obligation to complete
on time unless he is prevented from doing so by acts or breaches of the employer or
by operation of the law (Vincent; Michael, 1984).

2.2 Contract Provision for Extension of Time

All construction contracts usually contain provisions for time extension and
monetary claim in the event of delay. The relevant events causing delay which shall
be the ground for the contractor to apply for an EOT are detailed and stated under
PAM 1998, clause 23, PWD 203A clause 43. Any event falling outside the listed
events will not entitle the contractor to any EOT (Entrusty Group, 2006; PAM 1998,
JKR 203A). The events for delay can be categorized into three major groups, which
are the delays by the contractor, by the client, or by a third party or neutral events
(other than contractor and client) (Hashim, 2001; Sundra Rajoo, 1999).

The delaying events that are entirely due to the contractor itself are
commonly termed as culpable delay. It is sometimes called inexcusable or non-
qualifying (for EOT) delays. Strictly, culpable delay is the situation where the
contractor has failed to complete the works on completion date and has no
entitlement to an EOT let alone monetary compensation. Culpable delay is also
sometimes used to describe the situation prior to the date for completion where the
 13

contractor has fallen behind programme of schedule without cause for extension
(Entrusty Group, 2006).

If the delaying events are due to defaults by the employer and/or his agents
(compensable delays), the contractor will be entitled for both time and monetary
claim (depends on the wording of the contract the parties have entered into).
Compensable delays occur when the owner or consultant has delayed the contractor
in the completion of the work. It entitles the contractor to additional compensation
and the contractor may be granted EOT and money. The examples for this event are
late decision or information of the Architect/Engineer/S.O, late site delivery,
compliance with the Architect/Engineer/S.O, delay by the employers agents, delays
by nominated subcontractors/suppliers, etc. For the delays due to a third party or
excusable delays, the contractor is entitled for time extension but no monetary claim.
The causes due a third party are those affecting a delay by those other than contractor
and the client, and by element of nature (Entrusty Group, 2006; Hashim, 2001;
Abdul Rahman, 2006).

The grant of an EOT does not carry any automatic entitlement to extra
money. The test for granting EOT and the consequential right to loss and/or expense
can be displayed in Table 2.1 (Basar, 1997). The clauses which related to relevant
events causing delay which EOT may be given, together with description and
explanation are indicated in Table 2.2 (PAM 98; PWD 203A; Lim, 2004, Vincent,
1990; Sundra Rajoo, 1999).

Table 2.1: Reasons of delay that can entitle a contractor to claim extension of
time and loss and/or expense

Reason of Delay Extension of Time Loss and/or Expense

Contractors fault (non-excusable) No No
Employers fault (compensable) Yes Yes
Nobody fault (excusable) Yes No
 15

Table 2.2: Relevant events causing delay which extension of time may be given
Description under PAM Description under PWD
Event Clause Clause Explanation
98 203A

1. Force Mejuere 23.7(i) Force Mejuere 43(a) Force Mejuere Force mejuere is a term derive from French law
and is used with reference to all circumstances
independent of the will of man and which are not
in his power to control. It is unanticipated event
or an event that one cannot reduce to control (e.g.
earthquake).

2. Exceptionally 23.7(ii) Exceptionally inclement 43(b) By reason of any Inclement weather means severe stormy, harsh or
inclement weather exceptionally inclement merciless weather/ climate.
weather weather
The emphasis is on the exceptional nature of the
inclement weather and the meaning has to be
applied considering two factors. The first factor is
the kind of weather that may be expected at the
site at the particular time when the delay occurs
and the second factor is the stage in which the
works have reached.

The reference to meteorological records of local

weather over a considerable period of time may
be helpful in showing that the weather is
exceptional for that area exceeding what may on
the evidence of past years be reasonably
expected.
 16

Table 2.2: Relevant events causing delay which extension of time may be given
Description under PAM Description under PWD
Event Clause Clause Explanation
98 203A

3. Insurance 23.7(iii) Loss or damage occasioned
Contingencies by one or more of the
contingencies referred to in
clause 20.A, 20.B.1 or
20.C.1 as the case may be.
43(d) By reason of loss or damage This applies to extension of time granted for
occasioned by anyone or more rebuild or repair of damages or loss to the
of the contingencies referred to works, caused by fire, storm, tempest,
in clause 36 hereof (provided
lightning, flood, earthquake, aircraft and
end to the extent that the same
is not due to any act,
other aerial devices or articles dropped
negligence, default or breach therefrom, riot, civil commotion and in
of contract by the contractor or respect to claim from insurances.
any subcontractor, nominated
or otherwise, whether in
falling to take reasonable steps
to protect the works or
otherwise).

4. Civil 23.7(iv) Civil commotion, strike or
commotion, lockout affecting any of the
strikes, lockout trades employed upon the
works or any of the trades
engaged in the preparation,
manufacture or
transportation of any goods
or materials required for the
works.
43(h) By reason of any action due
to local combination of
workmen, strike or lockout
affecting any of the trades
employed upon the works,
provided the same are not
due to any unreasonable act,
neglect or default of the
contractor or of any
subcontractor, nominated or
otherwise.
The events are limited to only local
combination of workers, strikes, or lockout
affecting the trade employed upon the works.
Local combination of workers probably
covers obstructive industrial activities short
of a strike.
It should be noted that the contractor must
not have the local combination, strike or lock
out, such as through a failure to pay the
workmens wages.
 17

Table 2.2: Relevant events causing delay which extension of time may be given
Description under PAM Description under PWD
Event Clause Clause Explanation
98 203A

5. Architects/ 23.7(v) Compliance of architects 43(e) By reason of SOs The instructions referred to are summaries in
S.O.s instructions under clauses instructions issued under the stated clauses. The contractors
instructions 1.2, 11.2, 21.1 or 21.4. clause 5 hereof, provided entitlement to an EOT is subject to the
that such instructions are not proviso that the instruction is not issued due
issued due to any default or to any default or breach of contract by the
breach of contract by the contractor or by those for whom he is
contractor or any responsible.
subcontractor, nominated or
otherwise.

Table 2.2: Relevant events causing delay which extension of time may be given
Description under PAM
Event Clause
98
6. Late 23.7(vi) Contractor not having
instructions, received in due time
drawings or necessary instructions,
level drawings, details or levels
from the architect for which
he had specifically applied
in writing provided that the
application was made on a
date having regard to the
date for completion was
neither unreasonable close
to the date on which it was
necessary for him to receive
them.
18
Description under PWD
Clause Explanation
203A
43(f) By reason of the contractor The failure of the architect/ SO to provide the
not having received in due contractor with further reasonably necessary
time necessary instructions, information to amplify the drawings or bill of
drawings, level or quantities as and when necessary or in good
instructions, in regard to the time puts the employer in breach of contract.
nomination of That notwithstanding, it is essential in order
subcontractors and/or to sustain a claim for an EOT for the
suppliers provided in this contractor to have made a specific written
contract, from the SO due to application to the architect/ SO for the
any negligence or default of information and this must have been done at
the SO and for which he the right time.
shall have specifically
applied in writing on a date
which having regard to the
date for completion stated in
the appendix to these
conditions or to any EOT
then fixed under this
conditions, was neither
unreasonably distant from
nor unreasonably close to
the date on which it was
necessary for him to receive
the same.

Table 2.2: Relevant events causing delay which extension of time may be given
Description under PAM
Event Clause
98
7. Delays on the 23.7(vii) Delays on the part of
part of nominated subcontractors
nominated or nominated suppliers for
subcontractors the same reasons as set out
or suppliers in the sub-clauses 23.7(i) to
23.7(vi) and sub-clauses
23.7(viii) to 23.7( xii).
Description under PWD
Clause
203A
43(k) By the delay on the part of
the nominated
subcontractors and/or
nominated suppliers of their
works and such delay shall
be caused by the same
reasons affecting their work
as stated above in sub-
clauses (a) to (f) inclusive
(provided that the same are
not due to any act,
negligence, default or
breach of contract by the
nominated subcontractor
and/or nominated supplier
and/or the contractor, or any
of the servants or agents of
such nominated
subcontractor or nominated
supplier or the contractor).
19
Explanation
Delay on this ground is very common but it
does not include a situation where the
nominated subcontractor or nominated
supplier has ceased work altogether, for
example through receivership or liquidation.
The contractor is allowed EOT on account of
delays on the part of the nominated
subcontractors or nominated suppliers for the
same reason as set out in the clause 23.7,
PAM 98 and 43, PWD 203A. Essentially,
the contractor is entitled for an EOT if the
delays of the nominated subcontractors or
suppliers fall within the same relevant events
for which the contractor himself if in delay
would be given an EOT.
 20

Table 2.2: Relevant events causing delay which extension of time may be given
Description under PAM Description under PWD
Event Clause Clause Explanation
98 203A

8. Delay on the 23.7(viii) Delay on the part of artists, 43(i) By delay on the part of This provision permits the employer to carry
part of artists, tradesmen or others artists, tradesmen, or others out the work not forming part of the contract.
tradesmen or engaged by the employer in engaged by the Government The employer accepts responsibility for delay
others engaged executing work not forming in executing work not on the part of such people. This is however
by the part of this contract. forming part of this restricted to delay in the execution of their
employer contract. work and does not extend to delay caused by
their returning to carry out remedial work
after purported completion.

9. Delay in the 23.7(ix) Delay in the supply of - - It must be noted that there is no express
supply of materials and goods which provision in the conditions to allow for the
material and the employer had agreed to possibility of the works being carried out
goods supply for the works using materials and goods which are to be
supplied by the employer. But such
circumstances do in reality exist and if there
is a delay caused by the employer in
supplying the materials and goods, the
contractor should be entitled to an
appropriate EOT. This could possibly
include instances where the delay is caused
by the employer having supplied the
materials and goods on time but they proved
defective either before use or after being built
into the works. In such situation, the
employer should indemnify the contractor.

Table 2.2: Relevant events causing delay which extension of time may be given
Description under PAM
Event Clause
98
10. Testing and 23.7(x) Opening up for inspection
inspection any work covered up or the
testing of any work,
materials or goods in
accordance with clause 6.3
(including making work in
consequence of such
opening up or testing)
unless the inspection or test
showed that the work,
materials or goods were not
in accordance with the
contract.
11. Act of 23.7(xi) Any act of prevention or
prevention or breach of contract by the
breach of employer not mentioned in
contract by the this clause 23.7.
employer
Description under PWD
Clause
203A
- -
- -
21
Explanation
This clause requires the contractor to provide
test report and samples before commencing
work. Generally, architect is reluctant to
open up, unless there is high degree of
suspect of the works and premature defects
arising. The contractor can recover the cost
and time of opening up, testing and making
good, unless this has been provided for in the
contract bills or unless the inspection or test
shows that the works, materials or goods are
not in accordance with the contract.
This is a useful clause, because of employers
agent, action of constant interruption, on
large projects these days. If the contractor
alleges that there has been an act of
prevention or breach of contract by the
employer, the architect can continue to
administer the contract and grant EOT as and
when he considers these appropriate.
 22

Table 2.2: Relevant events causing delay which extension of time may be given
Description under PAM Description under PWD
Event Clause Clause Explanation
98 203A

12. Disputes with - - 43(c) By reason of directions
neighbouring given by the SO
owner consequential upon disputes
with neighbouring owners
provided the same is not due
to any act, negligence or
default of the contractor or
any subcontractor,
nominated or otherwise.
The delay must have arisen as a result of the
direction given by the SO consequential to a
dispute by the Government, or possibly the
contractor, and the neighbouring owner,
though not necessarily of the adjacent site.
The commonest dispute here is over the
boundary of the site as a result of the dispute,
the delay could be occasioned by the
reconstruction or suspension of the work or
by a restricted method of working as directed
by the SO.

There is however the proviso that the dispute

must not be due to any act, negligence or
default of the contractor or for those whom
he is responsible, the commonest being
erroneous setting out resulting in boundary
encroachment.
 23

Table 2.2: Relevant events causing delay which extension of time may be given
Description under PAM Description under PWD
Event Clause Clause Explanation
98 203A

13. Delay in giving - - 43(g) By reason of delay in giving This is to be read in conjunction with clause
possession of possession of the site as 38(d), PWD 203A where the SO is
site provided under clause 38(d) empowered to issue and so issue, an
hereof. instruction revising the date for possession
due to the inability or failure on the part of
the employer to give possession of the site on
the date for possession fixed in the letter of
acceptance.

14. Inability to - - 43(j) By the contractors inability
obtain for reason beyond his
materials or control and which he could
goods not reasonably have
foreseen at the date of
closing of tender of this
contract to secure such
goods and/or materials as
are essential to the proper
carrying out of the works.
This applies only if the securing of the goods
or materials are beyond the contractors
control, but the shortage must have been one
that could not have reasonably been foreseen
at the date of the closing of the tender. It
should be noted that this clause is not
applicable for shortage of labour even though
essential for the execution of the works.
 24

2.3 Purposes of Extension of Time

The operation of EOT clause modifies the liability of the contractor to

complete the works by the date for completion specified in the appendix and to LAD
to the employer upon the failure of the contractor to meet the deadline. It imposes a
duty on the architect/ S.O to grant a fair and reasonable EOT for the completion of
the works in certain specified circumstances. The effect of extending the time for
completion prevents the architect/ S.O from issuing the Certificate of Non-
completion until and unless the revised completion date has passed (Lim, 2004).
Extension of time clauses, therefore have various purposes (Brian, 1997):

a) To retain a defined time for completion

b) To preserve the employers right to liquidated damages against acts of
prevention
c) To give the contractor relief from his strict duty to complete on time in
respect of delays caused by designated neutral events

2.4 Benefits of Extension of Time

The express provisions for EOT in building contracts obviously benefit the
contractor who will not be liable to pay damages for delay during the period for
which time is validly extended. In addition and less obviously, the power to extend
time is also for the employers benefit, for the following reason (Murdoch and
Hughes, 1992).

At common law, the contractors obligation to complete the works by the

specified date is removed of the employer delays the contractor in the execution of
the works. Thus if the contract administrator issues and instruction which increases
 25

the amount of work to be done, or is late in giving the contractor necessary

instructions, the specified completion date no longer applies. In this situation, time is
said to be at large and the contractors obligation is merely to complete the works
within a reasonable time. In order to fix what is reasonable, all the circumstances of
the particular project must be taken into account, but in many cases, it will simply
mean that the amount of delay for which the employer is responsible will be added to
the old completion date (Murdoch and Hughes, 1992).

The importance of losing the fixed date is that, a contractor who may be
liable to pay damages for delay which is his fault, can no longer be made liable for
liquidated damages. Even where the delay caused by the employer is a very small
part of the overall delay, the employer cannot simply discount this and claim
liquidated damages for the remainder. The liquidated damages provision fails
altogether, and the employer can claim only for losses actually due to the delay. It is
therefore very much in the employers interest to extend time for delays which are
his fault, thus enabling claims for liquidated damages from the revised completion
date (Murdoch and Hughes, 1992).

2.5 Procedures for Claiming an Extension of Time

In the usual course of events, the initiative for taking action under EOT
clause will come from the contractor when he realises that the progress of the works
is delayed. The contractor is not required to give notice of a delay which will be
caused by some expected future event. He has only to give notice when it becomes
apparent to him that the progress of the works is delayed. It seems clear that the
contractor is bound to notify the architect/ S.O of all delays to the progress and not
merely those caused by events listed in the clause (Brian, 1997). Nevertheless, the
architect is not prohibited to give EOT without received any notice of delays from
the contractor (Nor Ainah, 2001).
 26

The clause in the standard form requires the contractor to inform the architect
in writing of the delay fact when he realizes that the progress of the works is delayed.
Basically, the contractors need to give a notice in reasonable time that stated relevant
causes that resulted to delays. The contractor also needs to explain about the
expected impact, and estimation of time extension needed, with the notice or
subsequently (Nor Ainah, 2001). The notice shall contain sufficient information and
reasons why delay to completion will result. The contractors failure to provide such
information can be a factor which the architect can consider in assessing the EOT
(Sundra Rajoo, 1999).

On receiving the written notice from the contractor, the architect, if he

satisfied that the cause of the delay comes within one of a number of ground listed, is
to grant an EOT. The architect is to consider making an EOT independently in the
light of his knowledge of the progress of the works and of other matters affecting or
likely to affect its progress (Sundra Rajoo, 1999). The architect must then fix a new
completion date which is fair and reasonable in the circumstances. The architect also
has power to fix a new completion date after the date of practical completion of the
building (Manson, 1968). If the architect/ S.O decides that the completion date will
not be affected, he should notify the contractor of his decision, although this is not
expressly stated. The contractor must seek recourse under clause arbitration if he
wishes to challenge that decision (Lim, 2004).

The standards form of contract used in Malaysia include a procedure relating

to the granting EOT. Variously, these procedures include the submission of an initial
notice concerning the delay, submission of back up details to support the initial
notice and further details to keep up to date the information previously submitted.
Table 2.3 indicates the procedure for an extension of time under PAM 98 and PWD
203A standard form of contract (Michael, 2001).
 27

Table 2.3: Procedures for an extension of time under PAM 98 and PWD 203A standard form of contract

Clause Contractors Obligations Clause S.Os / Architects Obligations

23.1 If and when it become reasonably apparent that the
progress of the works is being or likely to be delayed,
forthwith of the occurrence of such event notify the
architect in writing identifying the relevant events
causing the delays, giving particulars of the expected
effect and estimate of the EOT required.
PAM 98
23.2 Upon receipt a contractors notice, consider events causing delay
and by written notice to the contractor give a fair and reasonable
EOT.
23.3 He regard to the sufficiency of the particulars and estimates
submitted by the contractor, ascertain and fix such new date for

completion within a reasonable time form receipt of the notice.

23.1 The notice shall contain sufficient information and
reasons why delay to completion will result. 23.5 Not fix a date for completion earlier that the Date of Completion
stated in the Appendix.
23.3 Submit to the architect his application for EOT complete
with particulars and estimates in a reasonable time
before the Date of Completion.

23.4 Constantly use his best endeavours to prevent delay.

43 Upon it becoming reasonably apparent that the progress 43 If in his/ her opinion the completion of the works is likely to be
PWD 203A

of the works is delayed, forthwith give written notice of delayed or has been delayed by specified events so soon as he/
delay to the S.O. she is able to estimate the length of the delay.

43 Constantly use his best endeavours to prevent delay.

 28

2.6 Conclusion

The phrase extension of time is common to most construction contracts.

Simply, the phrase means the postponement of the date by which completion of the
contract works is to be expected. One of the contractors obligations under the
building contract being the completion of the works on time usually expressly
specified within the contract terms.

The significance and effects of EOT provisions in construction contracts is

two folds. First, the EOT affect the extent to which the contractor is liable for
liquidated damages in the event of delays to the completion of the works within the
stipulated completion date. Second, EOT is granted to the contractor due to delay by
the employer. In addition, EOT provisions specified the events as grounds upon
which the contractor may be entitled to an EOT and serve to streamline the role of
architect/ S.O. in determining the contractors right to an EOT.
 CHAPTER 3

THE REQUIREMENTS IN THE APPLICATION FOR AN EXTENSION OF

TIME

3.1 Introduction

An EOT is granted if a contractor has been delayed and the cause of the delay
is one that gives the contractor an entitlement under the contract. A contractor
should be required to supply facts about the delay, including identifying the event
that led to the delay. The contractor must also provide proof of the events that were
allegedly responsible for the delay, including the actions or inactions of the architect/
S.O or other events beyond his control, and to demonstrate that the delay affected the
critical path activities and hence delayed completion.

Invariably, an assessment or evaluation of EOT will be made based on the

programmes submitted by the contractor. It may seem surprising therefore that while
most contracts call for an as-planned programme, many do not expressly require
them to be taken into account when evaluating EOT. However, the courts, in tune
with practise, regularly make their decisions taking into account evaluation based on
as-planned programme.
 30

3.2 Proof of Entitlement

All claims whether for loss and expense, extra cost, or for EOT, should meet
the legal requirement of linking damage with cause. A claim for loss and expense or
extra cost is not effective without a cause and a claim for EOT is not effective
without a relevant event. Standard forms of contract display the principle by
requiring each and every claim to stand on its own merits (Brian, 1997).

Standard forms of contract usually require the contractor to give notice of

delays or make his application within reasonable time of the happening of the
delaying event and to provide such details and particulars information as are
necessary to assist the architect/ S.O in making his decision (Brian, 1997).

The burden to prove the delays will directly rests on the contractor whether
the application is made before or after completion and whether the delaying event is
the employers fault or neutral. The contractor will have to produce evidence that
delay occurred and that the cause of the delay gave an entitlement to an EOT if the
contractor wishes to challenge liquidated damages by obtaining an EOT from the
contract administrator or arbitrator. Consequently, it is up to the contractor to keep
records as evidence of both delay and cause. The strength of the contractors case
will depend on the quality of his records (Brian, 1997).

It is not only important to the contractor to keep the records. A similar

burden rests with the architect/ S.O to protect the employers position. Ideally, both
parties have the same mind as the contract progresses on the causes and extents of
any delays. There is probably no effective substitute for the monthly progress
meeting at which the parties make their own report, and they jointly agree by
discussion what should be placed on record as the true state of affairs (Brian, 1997).
 31

The records kept on construction projects will be the main source of

information on which claim for time or additional payments will be established by
the contractor or assessed by the contract administrator. The importance of
producing adequate delay documentation has been recognized for many years. There
is a multitude of different types of records including correspondence, meeting
minutes, delivery notes, progress records, site diaries, day work sheets, photographs
and invoices. However, if these are not related clearly to specific delaying events
they are unlikely to provide the required clarity of evidence needed to substantiate a
claim effectively. Therefore, separate and independent report will often be required
which are specifically aimed at documenting and substantiating a delay (Stuart,
2006).

Besides delay records and monthly progress meeting as information needed

to prove the delays, programme of work is also important as evidence to establish
contractors entitlement to EOT. A delay to a contract activity will not necessarily
cause delay to completion of the whole of the works or a milestone if the affected
activity is not on the critical path. However, instructing additional work to an
activity that was not on the critical path could change the programme relationship
such that the activity becomes part of the critical path. Further, a contractor may
claim that the variation instruction caused the contractor to take workers off a critical
activity and take longer time to construct the works.

The effectiveness of the contractors programme as a scale for the

measurement of delays is depend on how frequently of the contractor update his
programme. As the contractor updates the programme in regular basis to show
actual start dates, durations and completion dates, and completion dates of significant
activities, is at least a credible record of progress even if it says nothing on the actual
causes of any delays. The programme can provide a detailed picture which should
satisfy the tests of good evidence by referring to the programme indicators on when
variations, revisions and the like were ordered, instructions were given, and other
events were encountered (Brian, 1997).
 32

The contractor who fails to produce an effective and realistic programme puts
himself at a disadvantage on proof of entitlement to EOT. The contractor must show
that he has suffered delay and that this delay has affected completion of the works.
Then, he must show that the delay was caused by a relevant event and not his own
deficiencies and difficulties (Brian, 1997).

3.2.1 Information That Needs to be Considered in Evaluating Extension of

Time Application

Upon receipt of the contractors notice, the architect is to consider making an

EOT independently in the light of his knowledge of the progress of the works and of
other matters affecting or likely to affect its progress. As part of his duty owed to
both the employer and the contractor, he should approach the task in a methodical
and systematic way. If necessary, he should explain how he has arrived at his
decision and the weight he has given to the various factors involved. Amongst the
sources of information which he may utilize to monitor and assess the delay are:

a) the contractors notice of delay and particulars (application letter)

b) the works programme
c) as-built works programme
d) records of when operations and activities actually began and finished
e) site progress meeting minutes and records
f) contractors day-work sheet
g) site staff reports and diaries
h) contractors progress reports
i) contractors method statements and working cycles
 33

The information that needs to be submitted by the contractor in the

application of EOT is detail elaborated in the following topic. If the architect
concludes based on the sufficient information received from the contractor that the
cause of the delay is within the relevant events as listed in the contract, he must
decide whether completion of the works has been or likely to be delayed beyond the
current date for completion. The architect must then give a fair and reasonable EOT
subject to clauses 23.3, 23.4 and 23.7, PAM 98 and fix a new date for completion.

3.2.1.1 Construction and Progress Records

There are a multitude of different types of records kept on construction

projects, which are documented with varying degrees of rigour depending on who is
responsible for their completion, as well as being dependant on project management
effectiveness from one project to the next.

Progress records are commonly kept by the contractor and the architect/ S.O.
independently. If at all possible, these records should either be jointly taken or
agreed at the time of compilation. The following list of records should be considered
a minimum to be kept by the contractor that can be used as the main source of
information in quantifying delays (Michael, 2001; David, 1984).

1. A master programme together with subsequent updates

A programme should be updated on a regular basis to provide good
contemporaneous evidence of what happened in the project, in case of dispute.

2. A comparison of master programme with actual records

The contractors programme could be of relevance in considering rates of
progress and if there was a question of determination of the contractors
 34

employment for lack of progress, under express terms or at common law, it could
be some interest as evidence.

3. Site diaries in a standard format

A daily diary should be maintained by each member of the field staff. The book
is a quasi-legal document and should be neatly and accurately recorded. An
entry should be made everyday, whether or not work was performed.

4. A drawing register kept up to date as new drawings are issued and incorporating
issue dates
Drawings of clarification or change, or drawings that contain supplemental
information should be filed at the field office, in addition to a complete set of all
contract drawings as bid. The evidence of a drawing is often crucial. If revisions
have taken place, the date and nature of the revision should be noted on drawing.
The drawings provide clear evidence of architects instructions to the contractor.

5. A weekly log of activities commenced and completed

6. A weekly log of those areas which were considered problematic

7. Progress meetings
Minutes meetings may provide a vast resource of information for claims
preparation. In order to have credibility the minutes must be approved by the
other various parties involved in the meeting who probably had no hand in the
preparation of the minutes contractor.

Other documents which are not listed from the previous list such as project
daily reports and tests of materials can also be used as information in quantifying
delays (David, 1984).

1. Project daily reports

A daily construction report containing a description of the work commenced,
new work started, status of work in progress, manpower and equipment at the
 35

site, weather, and visitors to the site. If no work was performed at all, a daily
report should still be filed, stating no work. On projects where several
inspectors are involved, this report is compiled from each inspectors daily record
of work progress.

2. Tests of materials
A record should be kept of all material samples sent out to laboratory for testing
as well as those tests performed at site. The report should include space for later
inclusion of the test results as well as the location of the structure where the
particular material was to be installed.

3. Correspondence
Correspondence, written by one person for the eyes of another, is potentially the
best sort of evidence save only for documents (such as the contract) agreed and
signed by both parties. Copies of all correspondence concerning the project that
have been sent to the resident project representative should be maintained and
filed by date.

Letters are an extremely valuable source of evidence because they indicate

intentions and attitudes at the time of writing. Letters must be read with care and
always in the context of other letters and documents. Written evidence is always
useful provided that it is clear. A letter from the contractor asserting that a
particular situation exists (for example, lack of drawings) is persuasive in the
absence of a letter from you refuting the assertion.

Records should be kept as to when particular works activities have been

carried out and what resources were used to carry the works. In situations where the
employer or his agents have breached the contract or instructed variations or taken
other actions that could entitle a contractor to additional time, the marked up copy
of the contractors program maintained by the architect/S.O must clearly show when
such events occur, what work activity is affected, what effect the events may have on
the critical path, and whether the terms of the contract, the contractor has an
entitlement to an EOT.
 36

3.3 Common Mistakes by the Contractor in the Application of Extension of

Time

Most contracts do not require the contractor to do more than give notice of
delays, maintain records and provide particulars. Provided that the contractor has
provided details of all events, dates, what work was affected and the like, it appears
that the contractual provisions have been satisfied and the obligation is then on the
architect to decide what extension is reasonable on the basis of the particulars
provided and/ or on the basis of further information obtained from other sources.
Many contractors only provide information (often insufficient) and rely on the
architect to make a reasonable EOT. This tactic can be successful, but there is a risk
that the extension made will be insufficient. Not all is lost, as the contractor can
always present his case at a later date, hoping to persuade the opposition that more
time is justified. The problems with this approach are (Thomas):

a) It is usually more difficult to persuade someone to change their mind after

they have made a written EOT unless there is additional evidence which
can be used to explain a change in the period of the extension.

b) There will almost certainly be a period of protracted discussion during

which the current (extended or otherwise) completion date and the
progress of the works are inconsistent with a realistic programme and a
subsequently revised extended completion date.

Claims for EOT probably cause more disputes than any other contractual or
technical issues. There are several mistakes done by the contractor in the application
of EOT which elaborated below.
 37

3.3.1 Major Mistakes

Major mistakes which can lead to obstacles to prompt settlement of claims for
EOT applications are (Thomas):

a) Late, insufficient or total lack of notice of delay on the part of the contractor
b) Failure to recognise delay at the appropriate time or failure to describe the
cause of delay
c) Poor presentation of the application to show how the progress of the work has
been delayed

3.3.2 Lack of Proper Baseline Schedule

The first contractors mistake is the non-availability of proper programme

reflecting the actual site progress at the time of the event of the claim. It is common
fact that there is often a lack of a proper as planned baseline construction schedule
with which to aid comparison with an as-built construction schedule in times of delay
analysis or assessment or evaluation of EOT. Very real project pressures to get the
work done usually result in the as-built construction schedule (if any in the first
place) not being updated periodically. Procedures of acceptance of the baseline as-
planned construction schedule are also not formalised as there is a tendency for
employers agent to request for several revisions of the contractors as-planned
schedule. Constant revisions of the baseline as-planned programme may sometimes
continue even though actual works may have commenced on site. This prevents any
meaningful analysis form being carried out.
 38

3.3.3 Lack of Proper Site Records and Insufficient Quality of Information

Proving the extent of delays, especially delays which overlap to a delay

which is continuous and causes slowdown in the overall project progress is a
constant issue. Disputes over the calculation of time and the validity of the formulae
used in the calculation are the main reasons for prolonged negotiation. Records to
substantiate any calculations are usually not kept or not updated. Records or
information of the master programme, critical path networks, resources allocation,
site diaries and correspondence are given insufficient attention.

The production of information in proving delay is often of insufficient quality

to enable an effective investigation into issues of delays and disruption to be
undertaken in retrospect, as observed by Major and Ranson (1990):

It is all to common, when seeking to establish what actually happened

on a project, to find that even a considerable amount of investigation
will produce only an incomplete picture. It will often be necessary to
analyse minutes of progress meetings, valuations, diaries, and various
charts and programmes which neither individually nor collectively
enable an actual progress chart to be produced or a detailed history of
the project to be written. This is a common and substantial area of
failure in site and head office management.

The quality and rigour with which records are kept varies widely
between different organizations. Many have different procedures for keeping
records and on many jobs quality procedures for record keeping are not
implemented effectively. Inadequate records as information to delays can
lead to delays in assessment of EOT claims (Stuart, 2006).
 39

3.4 Practical Ways for Minimising Contractors Mistakes in the Application

of Extension of Time

Contracts conditions are clearly and unambiguously drafted to identify the

exact factors which constitute valid delays to the project. The procedural
requirement for applying EOT is set out clearly. Before signing the contract, the
contractor should fully comprehend what events the contact considers claimable
in terms of time. The contractor should also be aware of the notice requirements
for submitting claims for EOT (Lawrence, 2001).

There must be an agreement and acceptance of the baseline programme.

There should be in place a procedure for formal acceptance of the final as-planned
schedule. This schedule will serve as that all-important baseline, a record of the
contractors intent in carrying out the works. Subsequent evaluation or assessment of
EOT and delay will be facilitated with the baseline as-planned programme finalised
and accepted (Lawrence, 2001).

The contractor is considered investing in computerised scheduling systems

such as the Primavera Project Planner or Microsoft Project. The contractor need to
updated their work programme by using such software because such software speed
up the calculations and are versatile tools in comparing as planned and as-built
schedule (Lawrence, 2001). The contractor is required to regularly update work
programme to reflect project progress and changes. Then, the contractor should
keep reliable and accurate progress and programme records to assist
contemporaneous assessment of the cause and effect of project changes (Stuart,
2006). In addition, the contractor can refer previous common law cases which
related to entitlement to EOT to get an idea about the effective preparation of EOT
claim to eliminate their mistake. The judge in the English case of Balfour Beatty
Construction Ltd v The Mayor and Burgess of the London Borough of Lambeth
(2002), gave a good summary of the information a contractor should provide to
establish its entitlement to EOT:
 40

a) A reliable original programme

b) The establishment of valid critical paths initially and at every later
material point in time
c) Sound revisions on the occurrence of every event to demonstrate cause
and effect
d) A means of demonstrating the effect of concurrent or parallel delays

The contractor also needs to implement a proper claim administration

system. An effective administration of the contract is of utmost importance in
minimising EOT disputes. The voluminous backload of data required to substantiate
a point claims clearly to the need for an established and efficient contract
administration system (Lawrence, 2001).

Besides, the implementation of a document management system must be

considered and done by the contractor. The key to effective documentation is that
the crucial data required are highlighted clearly and simply for recording. The
contractors management must identify the information pertinent to the substantiation
of claim for time due to the employers delay. As effective documentation is a key
principle of the ISO 9000 Quality Management Standards, contractor should consider
implementing the ISO Quality Standards for their company if they have. This
documentation system must also be extended to include the subcontractors to ensure
the timely documentation and furnishing the essential data to substantiate any claims
for time extension (Lawrence, 2001).
 41

3.5 Conclusion

Where the notice form the contractor was clear and well supported with
relevant documents to demonstrate a possible or actual delay to the progress of the
works due to the particular events, not only was the assessment of the architect/ S.O
will sped up to establish contractors entitlement for EOT, the architect/ S.O was in a
position to quickly advice the employer and initiate pro-active measures to minimise
delays and ensure the timely progress of the works. It is therefore advisable for the
contractor to retain the information pertaining to work programme, which are a
master programme together with subsequent updates and a comparison of the
programme with actual as-built records. In addition, the contractor is also advisable
to keep the projects factual record such as variations, correspondence, minutes of
meetings and progress reports.
 CHAPTER 4

RESEARCH METHODOLOGY

4.1 Introduction

This chapter outlines a methodology that can be used to guide the research.
The information needed for this research was obtained from two principal sources
which are literature reviews and questionnaire survey. The method to analyse the
data also detailed elaborated in this chapter to ease the process of analysing data.
The questionnaires were analyzed in two methods, which are frequency analysis and
average index analysis.
 43

4.2 Literature Review

For the second type of data in this study, it is based on comprehensive

literature review on the contract provision for extension of time in the standard form
of contract and text books. In addition, information related to the problem was
obtained from reliable sources which in this case were from the internet for recent
journals published and articles, and from the seminar paper on matters related to
delay and extension of time. The information was help in resuscitating the problem
at hand. Text books related to construction contract were used as well and the books
were available from the university library. The books were to give the general
overview of delay and extension of time and were to enhance the researcher to be
focused on the problem statement. The literature reviews in this study were also
used to guide the formation of questionnaire design.

4.3 Selection of Respondents

The targeted respondents were professionals from consultant organization

including quantity surveying, architecture and engineering consultants located in
Johor Bahru. Addresses of consultants for the survey are selected randomly from
The Professional Journal of The Institutions of Surveyors, Malaysia and list of
respondents in previous study.

In this study, the questionnaires were handed over manually to 50

respondents. This is to ensure that the questionnaire form will be received by the
target person and it is much easier to collect. The hand manual method is also target
to pass to the respondents such as the director and also those higher management
level person or project executive, who are more experienced to response the matter
of evaluating extension of time application.
 44

4.4 Research Design

A questionnaire survey form has been prepared for this research as shown in
appendix A. It was base on the literature reviews from journal papers, seminar
papers, previous study, standard form of contract and also articles from internet. The
questionnaire survey is aimed to get the answer or opinion regarding to EOT
application from the construction practitioner who has experience in evaluating EOT.
The questionnaire survey will include the information in evaluating EOT application
and the common mistakes by the contractor in the EOT application. The ways to
reduce the mistakes by the contractor in the application for an EOT are also stated in
the questionnaire. The details of the preparation of the questionnaire survey are
discussed in the following section.

4.4.1 Questionnaire Survey Design

The steps required to design and administer a questionnaire include defining

the research objectives, determining the sampling group, writing the questionnaire,
administering the questionnaire and interpretation of the results. The discussion will
concentrate on how to formulate the questionnaire design for this research.

The questionnaire survey design were intended to be as simple as possible but

to be full of table in information gathering in 12 pages, double sided of paper. There
are rating scale technique and also fill in the blanks method for optional if the
respondents have any views or opinions to add for this research. The respondent are
oblige to tick at the appropriate box and the appropriate rating scale for each section.
 45

The questionnaire has divided to four sections, which are Section A for
generally, Section B for information, Section C for common mistakes by the
contractor, and Section D for ways to reduce the mistakes. Section A is aim to get
general information of the respondents such as respondents name, post, year of
experience, and representing firm/ consultant. From this section, we may know the
view from variety consultants, different post and total experience of respondent.
Section A also aims to get the background of projects that have experienced by the
respondents such as standard form of contract that used in the project, type of
project, whether their project usually need application for EOT or not, and
significance of the reasons of delay which EOT may be given. The significance of
the reasons of delay needs to be answered with five rating scales as follows.

1 - Never
2 - Seldom
3 - Sometimes
4 - Often
5 - Very Often

Section B will state the information that needs to be considered in evaluating

EOT. There are 13 information summarized form the literature reviews and also
form the previous study, which are application letter (notice of delay), as-planned
schedule, as-built schedule, weather record, drawings, site diaries, site memo, project
daily report, variation order, architects instructions, minutes of meeting, test of
materials or operating test, and correspondence. The respondents can also add any
information in the provided space if they have any additional views. There are five
rating scales to be selected for this section as shown below.

1 - Not Considered
2 - Less Considered
3 - Moderately Considered
4 - Highly Considered
5 - Very Highly Considered
 46

Next, the common mistakes by the contractor in the application of EOT are
described in Section C. There are 8 mistakes in this section that have to fill in. The
question is about the common mistakes by the contractor in the application of EOT
and the mistakes are simplified from the literature reviews and listed in the following
point.

a) Late or lack of notice from the contractor

b) Failure to recognise delay or failure to describe the cause of delay
c) Failure to stated the exact contractual provision which is being relied
upon
d) Failure to stated the date when the delay commenced and the period of
delay
e) Poor presentation of the application to show how the progress of the work
has been delayed
f) Lack of proper baseline schedule
g) Lack of proper site records and particulars relied upon
h) Insufficient quality of information (information is not kept and not
updated)

The question in Section C needs to be answered with rating from scale 1 to 5

as shown below.

1 - Never
2 - Seldom
3 - Sometimes
4 - Often
5 - Very Often

Last Section, Section D is aims to identify the ways to reduce the mistakes by
the contractor as listed in Section C. The ways to reduce the mistakes are listed as
follows.
 47

a) Be aware of the notice requirements for submitting application for EOT

b) Fully comprehend what events the contract considers claimable in terms
of time
c) There must be an agreement and acceptance of the baseline programme
(or formal acceptance of the final as-planned schedule)
d) Keep reliable and accurate progress and programme records
e) Implement a proper claim administration system
f) Implementation a document management system

There are 5 rating scales for question in this section to know the degree of
contribution toward each of the way as listed above. The question in Section D also
needs to be answered with rating from scale 1 to 5 as shown below.

1 - Very Low Contributing

2 - Low Contributing
3 - Medium Contributing
4 - High Contributing
5 - Very High Contributing

4.5 Analysis Method

There are two methods that will be used in analysing the collected data which
are frequency analysis and average index. Frequency analysis is used in analysing
general information in Section A of the questionnaire and this method will show the
frequency, percentage and in certain questions in number. Next method is average
index and it is used in analysing Section B, C and D and this method will show the
average index and rating scale. The feedback from questionnaires will be analysed
through a computer program, Microsoft Excel. There are also other tools for
analysing technique such as SPSS, but the researcher used Microsoft Excel because
 48

this research only involved not more than 50 data to be analysed and it can use a
simple computer program, Microsoft Excel.

4.5.1 Frequency Analysis

Frequency analysis is a method to decompose a function, wave or signal into

its frequency components so that it is possible to have a frequency spectrum. The
frequency analysis is used to represent results of data analysis of the number of
frequency of response that the respondent gives to different variables in the
questionnaire survey. The result will be tabulated in the form of frequency number
and percentage according to total respondents. The frequencies can also be
represented in the form of tables, pie charts and bar charts for graphic result.

4.5.2 Average Index Analysis

The average index analysis for each variable is calculated by using the
formula as shown below (Al- Hammad, 1996):

a1x1
Average Index =
xi

Where,

a1 = constant expressing the weight given to i

x = variable expressing the frequency of response for i = 1, 2, 3, 4, 5,n
 49

Based on the assumed values stated earlier,

(Section A & Section C)

x1 = frequency of the Never and corresponding to a1 = 1

x2 = frequency of the Seldom and corresponding to a2 = 2
x3 = frequency of the Sometimes and corresponding to a3 = 3
x4 = frequency of the Often and corresponding to a4 = 4
x5 = frequency of the Very Often and corresponding to a5 = 5

(Section B)

x1 = frequency of the Not Considered and corresponding to a1 = 1

x2 = frequency of the Less Considered and corresponding to a2 = 2
x3 = frequency of the Moderately Considered and corresponding to a3 = 3
x4 = frequency of the Highly Considered and corresponding to a4 = 4
x5 = frequency of the Very Highly Considered and corresponding to a5 = 5

(Section D)

x1 = frequency of the Very Low Contributing and corresponding to a1 = 1

x2 = frequency of the Low Contributing and corresponding to a2 = 2
x3 = frequency of the Medium Contributing and corresponding to a3 = 3
x4 = frequency of the High Contributing and corresponding to a4 = 4
x5 = frequency of the Very High Contributing and corresponding to a5 = 5

Average index will be used in analysing each question in Section B, C, D,

and one question in Section A (Abdul Majid and McCaffer, 1997). In section A,
there is only one question that needs to use average index analysis. In order to
determine the significance of reasons of delay, the questionnaire rating scale for
reasons of delay in Section A can be classified as indicated in the following table.
 50

Table 4.1: The classification of the rating scales in Section A of the

questionnaire
Rating Scale Average Index (AI)
Never 1.00 AI < 1.50
Seldom 1.50 AI < 2.50
Sometimes 2.50 AI < 3.50
Often 3.50 AI < 4.50
Very often 4.50 AI 5.00

In Section B, the classification of the rating scales to determine the levels of

consideration of information in evaluating EOT application are as follows.

Table 4.2: The classification of the rating scales in Section B of the

questionnaire
Rating Scale Average Index (AI)
Not considered 1.00 AI < 1.50
Less considered 1.50 AI < 2.50
Moderately considered 2.50 AI < 3.50
Highly considered 3.50 AI < 4.50
Very highly considered 4.50 AI 5.00

Next, in order to determine the common mistakes by the contractor (Section

C), in this study, the similar classification of the rating scales as indicated in Section
A have been used. The classification of the rating scales are indicated in table 4.3.
 51

Table 4.3: The classification of the rating scales in Section C of the

questionnaire
Rating Scale Average Index (AI)
Never 1.00 AI < 1.50
Seldom 1.50 AI < 2.50
Sometimes 2.50 AI < 3.50
Often 3.50 AI < 4.50
Very often 4.50 AI 5.00

There is also classification for ways to reduce the mistakes in order to

determine the contribution of the ways in reducing the mistakes by the contractor as
described in Section D of the questionnaire.

Table 4.4: The classification of the rating scales in Section D of the

questionnaire
Rating Scale Average Index (AI)
Very low contributing 1.00 AI < 1.50
Low contributing 1.50 AI < 2.50
Medium contributing 2.50 AI < 3.50
High contributing 3.50 AI < 4.50
Very high contributing 4.50 AI 5.00

4.6 Conclusion

In order to achieve the objectives of the study, the research methodology has
been established. This study was carried out based on literature reviews and
questionnaire survey.
 CHAPTER 5

RESEARCH ANALYSIS AND DISCUSSION

5.1 Introduction

This chapter analyses the data collected from the questionnaires and the
methods used to analyse are Frequency Analysis and Average Index Analysis. There
are four sections from the questionnaires to be analysed which are general
information (Section A), information in evaluating EOT (Section B), common
mistakes by the contractor in the application of EOT (Section C) and ways to reduce
the mistakes (Section D). The collected data from the questionnaires were tabulated
and analyzed according to their ranking on relative index. Tables created from their
rating scale shown to represent their ranking.
 53

5.2 Data Analysis for Questionnaire Survey

The collected data from the questionnaires were analyzed in two methods.
There are frequency analysis and average index. Frequency analysis is used in
analysing general information in Section A of the questionnaire and this method will
show the frequency, percentage and in certain questions in number. The frequencies
are represented in the form of tables, pie charts and bar charts. Next method is
average index and it is used in analysing Section B, C and D and this method will
show the average index and rating scale. The researcher used Microsoft Excel in
order to generate the result.

5.2.1 Analysis for General Information of the Respondent

Analysis of the respondent for questionnaire survey will be divided in three

main categories, which are respondent organization, post, and experience. The total
number of respondents that completed and returned the questionnaire sets was 30.

Engineering,
5, 17%

Quantity
Surveying, 15,
50%
Architecture,
10, 33%

Figure 5.1: Respondent organization

 54

Table 5.1: Respondent organization

Respondent Organization Frequency Percentage

Architecture Firm 10 33%
Engineering Firm
5 17%
(Civil & Structural)
Quantity Surveying Firm 15 50%
Total 30 100%

Figure 5.1 and table 5.1 show the respondent organization for questionnaire
survey. Most of the respondents was from quantity surveying firm, 50%, followed
by architecture firm, 33% and engineering firm (civil & structural), 17%. The
professional men from consultant or firm usually have experiences in evaluating
EOT especially those from Quantity Surveying firm because normally quantity
surveyor will act as an evaluator to evaluate EOT for government project and
architect for private project. Other than that, engineering firm (Civil & Structural)
may give their advice to S.O. or client about contractors entitlement for an EOT.

Project
Executive, 5,
17% Quantity
Surveyor, 10,
Manager/ 33%
Director, 4,
13%

Engineer, 2,
7% Architect, 9,
30%

Figure 5.2: Respondent post

 55

Table 5.2: Respondent post

Respondent Post Frequency Percentage

Quantity Surveyor 10 33%
Architect 9 30%
Project Executive 5 17%
Manager/ Director 4 13%
Civil and Structural Engineer 2 7%
Total 30 100%

Variable post represent by the questionnaire survey as shown in figure 5.2

and table 5.2 where the highest were quantity surveyor, 33% because Quantity
Surveyor is usually administrate the contract and evaluate EOT. 30% of the
respondents were Architect and they also have experience in evaluating EOT
especially for private project which used PAM 98 standard form of contract. The
next highest respondents by post were the Project Executive, 17%, followed by
Director 13%, and Civil Engineer, 7%. Project Executive is the post that manages
the duties in the construction project for the firm. Director from the quantity
surveying and engineering firm which have extensive knowledge and experiences
also participate in answering the questionnaire. The other post is civil and structural
engineer which usually monitor the progress of work in construction site, and can
identify the causes of delay in the project.

More than 10
years, 8, 27% Less than 5
years, 13,
43%

5 to 10 years,
9, 30%

Figure 5.3: Respondent experience

 56

Table 5.3: Respondent experience

Respondent Experience Frequency Percentage

Less than 5 years 13 43%
5 to 10 years 9 30%
More than 10 years 8 27%
Total 30 100%

Year of experience of the respondents can be classified to three categories as

shown in figure 5.3 and table 5.3. From the pie chart and table, 43% of the
respondent having less than five years of experience. Because of time constraints,
the researcher can only get more feedback from the respondents who have less than
five years of experience. Nevertheless, 30% of the respondents have five to ten years
of experience, and 27% of respondents have more than 10 years of experience. This
reflects that the answer is still reliable because most of the respondents have five and
more years of experiences which make the total value 57% from respondents which
having five to ten years and more than 10 years of experience.

5.2.2 Analysis for Background of Project

Analysis of the project which have experienced by the respondents can be

divided to four categories which are standard form of contract, types of project,
application for EOT and reasons of delay which EOT may be given.
 57

30

25
No. of respondents 20

15
26
10

10 12
5
3
0
PAM 98 PWD 203 PWD 203A Others
Standard form of contract

Figure 5.4: Standard form of contract used in the construction project that the
respondents have experienced

Table 5.4: Standard form of contract used in the construction project that the
respondents have experienced

Standard Form of Contract Number of Respondents/ User

PAM 98 26
PWD 203A 12
PWD 203 10
Others 3

Figure 5.4 shows the standard form of contract used in the construction
project by the respondents. The reasons of delays as stated in the next questions are
based on PAM 98 and PWD 203A standard form of contract. So, it would be easier
for the respondents to answer the questions when they have experienced in using the
contracts because of their knowledge and experienced. Most of the respondents have
experienced in using PAM 98 standard form of contract with 26 of the respondents
as indicated in table 5.4. This was followed by PWD 203A, 12 respondents, PWD
203, 10 respondents, and others 3 respondents. Basically, PWD 203A and PWD 203
have same provision for EOT and almost same with provision in PAM 98. Other
 58

standard form of contract used in the construction project that the respondents have
experienced is FIDIC.

30
27
26
25 Residential
22
No. of respondents

19 Commercial building
20
High storey building
14 Office building
15
12 Factory
9 School
10
Mosque
4 Others
5

0
Types of project

Figure 5.5: Types of project that the respondents have experienced

Figure 5.5 shows the types of project that the respondents have experienced.
In general, it can be seen that there was a building project to be selected by the
respondent in the questionnaire. It is because all those building project as listed in
the questionnaire can be considered as a complex project and most probably can lead
to delay and thus application for an EOT by the contractor. 27 of the respondents
have experienced in residential project and this was followed by commercial building
with 26 respondents. High storey building and office building are also experienced
by more than half of the respondents with 22 and 19 of the respondents. It was
followed by factory and school project, with 14 and 12 of the respondents. Only 9 of
the respondents have experienced in mosque project. Others project include
clubhouse, landscape and infrastructure.
 59

No, 7, 23%

Yes, 23,
77%

Figure 5.6: Application for extension of time in construction projects

77% of the respondents said that most of their construction projects usually
need application for EOT as shown in figure 5.6 and 23% said no application for
EOT. This reflects that the actual construction projects usually need application for
EOT and it means the project usually cannot be completed at the time originally
scheduled.

Next analysis is reasons of delays as stated in the standard form of contract.

There are 14 reasons of delay have been identified from PAM 98 and PWD 203A
standard form of contract. Table 5.5 shows the reasons of delay which EOT may be
given, ranked in order of average index. The data collected indicated that the
extremely often reason of delay which EOT may be given was architects/
superintending officers instructions. This was followed by late instructions,
drawings or level, and delay on the part of nominated subcontractors or suppliers,
under same category or rating scale. The findings indicated that the most often delay
usually come from the employer and this may result in the application for an EOT by
the contractor. The extremely seldom reasons of delay is force mejuere and this
shows that the contractor was rarely apply for an EOT based on reason of force
mejuere.
 60

Table 5.5: Reasons of delay which EOT may be given

Average Rating
Rank Reasons of delay
Index Scale
1 Architects/ S.Os instructions 3.77 Often
2 Late instructions, drawings or level 3.63 Often
Delay on the part of nominated subcontractors
3 3.60 Often
or suppliers
4 Exceptionally inclement weather 3.10 Sometimes
Delay in the supply of materials and goods by
5 2.87 Sometimes
the employer
6 Delay in giving possession of site 2.77 Sometimes
Delay on the part of artists, tradesmen and
7 2.73 Sometimes
others engaged by the employer
8 Inability to obtain materials or goods 2.70 Sometimes
9 Testing and inspection 2.30 Seldom
Act of prevention or breach of contract by the
10 2.17 Seldom
employer
Insurance contingencies (loss and damage the
11 2.17 Seldom
works)
12 Disputes with neighbouring owner 1.80 Seldom
13 Civil commotions, strikes, lockout 1.67 Seldom
14 Force mejuere 1.60 Seldom

5.2.3 Analysis for Information That Needs to be Considered in Evaluating

Extension of Time Application

There are a lot of related documents or supporting documents which can be

used as information of delay or information to verify the delay that needs to be
considered by the evaluator in evaluating EOT application. Different reasons of
delay have different level of consideration for information in evaluating EOT.
 61

This section analyses the data collected in Section B from the questionnaire
survey. Generally, there are 14 reasons of delay were listed in the questionnaire
form but only three reasons were selected to be analysed, which are architects/
S.Os instructions, late instructions, drawings or level, and delay on the part of
nominated subcontractors or suppliers. The reasons of delay to be analysed were
selected because all of the respondents have experienced in facing such reasons and
they fully answered these three reasons, and the reasons are always happened in
construction project or directly said it is under often category of the rating scale.
Not all of the respondents answered the other reasons of delay because they said that
they never experienced for such reasons and not able to answer the questions. They
skipped from answering the reasons of delay that they never experienced. In order to
maintain the uniformity of 30 respondents, the rest of the reasons have not been
analysed by the researcher.

5.2.3.1 Information for Delays Relating to Reason of Architects/

Superintending Officers Instructions

The result in table 5.6 shows that the architects/ S.Os instructions was the
most highly considered in evaluating EOT application. This was followed by
variation order, minutes of meeting and other information as indicated in the table.
Architects/ S.Os instructions can be used as a good information in verifying the
delay. Usually, the instructions are related to a variation. Therefore, the variation
order was in the second ranked of mean score for highly considered. Test of
materials and weather records are least considered in evaluating EOT application
because such information was not related and not provided any good information of
delays relating to reasons of architects/ S.Os instructions.
 62

Table 5.6: Information that needs to be considered for the reason of architects/
superintending officers instructions
Average
Rank Information Rating Scale
Index
1 Architects/ S.Os instructions 4.37 Highly Considered
2 Variation Order 4.27 Highly Considered
3 Minutes of Meeting 4.10 Highly Considered
4 Drawings 4.07 Highly Considered
5 Correspondence 3.97 Highly Considered
6 Application letter 3.90 Highly Considered
7 As-planned schedule 3.80 Highly Considered
8 Site memo 3.77 Highly Considered
9 As-built schedule 3.73 Highly Considered
10 Site diaries 3.70 Highly Considered
11 Project daily report 3.67 Highly Considered
12 Test of material/ operating test 1.83 Less Considered
13 Weather records 1.73 Less Considered

5.2.3.2 Information for Delays Relating to Reason of Late Instructions,

Drawings or Level

In general, drawings are the highest ranked for highly considered in

evaluating EOT due to reason of late instructions, drawings and level as shown in
table 5.7. The evidence of a drawing is often crucial. If revisions have taken place,
the date and nature of the revision should be noted on drawing. The drawings
provide clear evidence of architects instructions to the contractor which also put
together the architects/ S.Os instruction under highly considered. Other
information also highly considered in showing that the contractor has specifically
applied in writing to the architect/ S.O for the necessary instructions, drawings or
 63

levels. Variation order is moderately considered in this reason of delay in showing

that the late instruction or drawings is caused by late confirmation in writing for the
instructions that requiring a variation and also time to provide new revised drawings.
Test of materials and weather records are least considered because such information
was not related to this reason of delay.

Table 5.7: Information that needs to be considered for the reason of late
instructions, drawings or level
Average
Rank Information Rating Scale
Index
1 Drawings 4.17 Highly Considered
2 Application letter 4.10 Highly Considered
3 As-planned schedule 4.10 Highly Considered
4 Architects/ S.Os instructions 4.07 Highly Considered
5 As-built schedule 3.93 Highly Considered
6 Site memo 3.80 Highly Considered
7 Minutes of Meeting 3.77 Highly Considered
8 Site diaries 3.73 Highly Considered
9 Project daily report 3.63 Highly Considered
10 Correspondence 3.57 Highly Considered
11 Variation Order 3.33 Moderately Considered
12 Test of material/ operating test 1.63 Less Considered
13 Weather records 1.53 Less Considered
 64

5.2.3.3 Information for Delays Relating to Reason of Delay by Nominated

Subcontractors or Suppliers

As-planned schedule, as built schedule, application letter, project daily report,

site memo and site diaries were found to be the information that highly considered in
evaluating EOT due to reason of delay by nominated subcontractors or suppliers as
indicated in table 5.8. As-planned and as built schedule remained as the highest and
second highest ranked of highly considered because the schedule or work programme
is very important to show how the delay by nominated subcontractor or suppliers can
affect the work progress and cause delay to completion of the whole of the works.
Correspondence, minutes of meeting, architects/ S.Os instructions are moderately
considered in evaluating EOT for this reason. This could be due to the facts that
such information is not the best sort of evidence for this reason. But it can be used to
indicate the intentions and agreement by both parties which can cause delay on the
part of the nominated subcontractors or suppliers. Drawings, weather records, and
test of materials are not really helpful in evaluating EOT for reason of delay by
nominees, and therefore in can be categorized under less considered of the rating
scale.
 65

Table 5.8: Information that needs to be considered for the reason of delay by
nominated subcontractors or suppliers
Average
Rank Information Rating Scale
Index
1 As-planned schedule 4.03 Highly Considered
2 As-built schedule 4.00 Highly Considered
3 Application letter 3.90 Highly Considered
4 Project daily report 3.67 Highly Considered
5 Site memo 3.60 Highly Considered
6 Site diaries 3.53 Highly Considered
7 Correspondence 3.43 Moderately Considered
8 Minutes of Meeting 3.40 Moderately Considered
9 Architects/ S.Os instructions 2.93 Moderately Considered
10 Variation Order 2.63 Moderately Considered
11 Drawings 2.47 Less Considered
12 Weather records 1.83 Less Considered
13 Test of material/ operating test 1.50 Less Considered

5.2.3.4 Summary of Information That Needs to be Considered in Evaluating

Extension of Time

The findings indicated that there was a lot of information that needs to be
considered in evaluating EOT. Amongst the source of information which the
evaluator may utilize and highly considered to assess or evaluate the delay for all
three reasons as mentioned previously are application letter, as-planned schedule, as-
built schedule, project daily report, site memo and site diaries. This could be due to
the fact that such information can provide useful and best evidence in presenting the
causes of delay in construction project.
 66

A clear pattern which emerged from the study was the level of consideration
for information of delays is different relating to different reasons of delay. For
example, drawings are highly considered and remained as the highest ranked of
information for reason of late instructions, drawings or level, whereas drawings are
less considered for reason of delay by nominated subcontractors or suppliers.

5.2.4 Analysis for Common Mistakes by the Contractor in the Application of

Extension of Time

Insufficient quality of information and poor presentation of the application to

show how the progress of the work has been delayed remained as the highest
common mistakes by the contractor in the application of EOT. Both mistakes are
related to information of delays and this could most probably be due to poor
document management system. Late or lack of notice from the contractor remained
as the third ranked of the common mistakes. Lack of notice of delays from the
contractor reflects that there have been some tendencies for contractors to apply for
EOT nearing the completion of the works. This was followed by lack of particular
site records, failure to state the exact contractual provision, lack of proper baseline
schedule, and finally, failure to state when the delay commenced.

The findings indicated that all the common mistakes by the contractor were
often in the application of EOT as indicated in table 5.9. Both mistakes are related
to information of delays and this could most probably due to poor document
management system to keep and updated all the relevant information of delays. In
addition, it could also be due to poor organisation and lack of awareness of
contractors on the importance of presenting the evidence in EOT application.
 67

Table 5.9: Common mistakes by the contractor in the application of EOT

Average Rating
Rank Common Mistakes By The Contractor
Index Scale
Insufficient quality of information (information is
1 4.00 Often
not kept and not updated)
Poor presentation of the application to show how
2 4.00 Often
the progress of the work has been delayed
3 Late or lack of notice from the contractor 3.97 Often
Failure to recognise delay or failure to describe
4 3.90 Often
the cause of delay
Lack of particular site records and particulars
5 3.90 Often
relied upon
Failure to state the exact contractual provision
6 3.83 Often
which is being relied upon
7 Lack of proper baseline schedule 3.80 Often
Failure to state the date when delay commenced
8 3.70 Often
and the period of delay

Other than common mistakes as indicated in the table, there are also
additional views from the respondents about the common mistakes by the
contractors. First, the application is lack of supporting documents such as purchase
order and delivery order. Second, the contractor always submitting inappropriate
progress report and information given such as labour, material and machineries
schedule are not detailed and not updated. Nest mistake is submitting late
application with irrelevant information. The information provided by the contractor
in the EOT application usually not related to the cause of delay. Final view from the
respondents about the common mistakes by the contractor is normally the contractors
apply for EOT more than the actual or realistic EOT because they expecting that the
architect or consultant will reduce the time requested by the contractors.
 68

5.2.5 Analysis for Ways to Reduce the Mistakes by the Contractor in the
Application of Extension of Time

Table 5.10 shows the ways to reduce the contractors mistakes in the EOT
application, ranked in order of average index. Main way ranked by the respondents
was implementation of a document management system. Keep reliable and accurate
progress and programme record was the second highest ranked way which
contributed in reducing the mistakes. This was followed by two ways in the same
ranked: fully comprehend what events the contract considers claimable in terms of
time, and implement a proper claim administration system. Be aware of the notice
requirements for an EOT and agreement of the as-planned schedule also tend to
highly contribute in reducing the mistakes. Be aware to give notice of delays is often
crucial because standard forms of contract usually require the contractor to give
notice of delays or make his application within reasonable time of the happening of
the delaying event. In short, the findings indicated that the respondents felt that all
those ways as listed in the questionnaire survey form were highly contributed in
reducing the mistakes.

As we know, the highest and second highest common mistakes by the

contractor were related to information of delay. Therefore, the highest and second
highest way to reduce or minimise the mistake also related to information system
which are document management system and keep accurate progress and programme
records. Both ways can justify application for an EOT to the contract due to
disruption of work progress.
 69

Table 5.10: Ways to reduce the mistakes by the contractor in the application of
EOT
Average Rating
Rank Ways To Reduce The Mistakes
Index Scale
Implementation of a document management High
1 4.37
system Contributing
Keep reliable and accurate progress and High
2 4.30
programme records Contributing
Fully comprehend what events the contract High
3 4.13
considers claimable in terms of time Contributing
High
4 Implement a proper claim administration system 4.13
Contributing
Be aware of the notice requirements for High
5 4.03
submitting application for extension of time Contributing
There must be an agreement and acceptance of the
baseline programme High
6 4.03
(formal acceptance of the final as-planned Contributing
schedule)

There are also other additional suggestions by the respondents in reducing the
contractors mistakes. First, it will be much easier to submit the application to
architect in report format with cover letter. Therefore, all the supporting documents
will be incorporated and can avoid further inquiry and longer time to evaluate EOT.
Next, the application must be submitted earlier with complete and relevant
supporting documents and information. Early submission of the application can
avoid longer time in evaluating EOT. Relevant information is necessary to assist the
evaluator in making his decision. Last view from the respondent is the
implementation of a proper site management in order to keep accurate delay
information and can identify the exact delay problems at construction site.
 70

5.3 Conclusion

Based on the analysis presented in this chapter, it can be concluded that all
the information listed in the questionnaire survey form were considered in evaluating
EOT application but the level of consideration is different relating to different
reasons of delay. Insufficient quality of information in the EOT application is one of
the common mistakes by the contractor. This common mistake and other common
mistakes as listed in the questionnaire survey form were frequently happened in the
application of EOT. The mistakes can be reduced by applying ways as raised in the
questionnaire and comments given by the respondents. All those ways are highly
contributed in reducing the mistakes by the contractor in the application of EOT.
 CHAPTER 6

CONCLUSION AND RECOMMENDATION

6.1 Introduction

This chapter is the last chapter of the study and it includes the
recommendations based on the findings and conclusions. The aim of this study is
identify and recommend the best way to reduce the common mistakes by the
contractor in the application of extension of time. Recommendations will be
described on how to reduce the mistakes in the application for an EOT. The study
has also help in identifying the most effective way of reducing mistakes in the
application of EOT.
 72

6.2 Conclusion

Basically, it can be concluded that all objectives stipulated in Chapter 1 have

been successfully achieved. There are three objectives that had been set at the
beginning of this study. These three objectives are: to identify the information that
needs to be considered in evaluating extension of time application; to identify the
common mistakes by the contractor in the application of extension of time; and to
identify the ways to reduce the mistakes by the contractor in the application of
extension of time.

For the objective number one, the information that needs to be considered in
all three reasons of delays as mentioned previously are application letter, as-planned
schedule, as-built schedule, project daily report, site memo and site diaries. To sump
up, the findings for the objective number two indicated that insufficient quality of
information and poor presentation of the application to show how the progress of the
work has been delayed remained as the highest common mistakes. For the objective
number three, it can be concluded that the contractors mistakes in the application of
EOT could be best controlled or reduced by implementation of a document
management system and properly keep the accurate information for the reasons of
delay. In addition, the findings indicated that the respondents felt that all the ways to
reduce the mistakes by the contractor in the application for EOT were highly
contributed in reducing the mistakes.
 73

6.3 Recommendations

Based on the findings, the recommendation to all contractors is to improve

the preparation of a proper EOT application for the consideration of the architect/
engineer/ quantity surveyor/. In any application for an EOT, and whether or not
there is a requirement to give details and particulars, it is good practice to include the
following:

a) A description of the cause of delay

b) The contractual provision which is being relied upon
c) The date when the delay commenced and the period of delay (giving
details of intermittent effects if appropriate).
d) The date of notice of delay, specifying the reference of the relevant
document
e) A summary of records and particulars relied upon
f) A description of the event and effects on progress
g) A diagrammatic illustration showing the status of the programme,
progress and current completion date prior to the commencement of the
delay

The main key to effective ways in reducing the contractors mistakes is a

proper documentation system in order to identify and properly keep the accurate
information for the reasons of delay. From the findings, implementation of a
document management system is a best way to control or reduce the common
mistakes by the contractor in the application of EOT. Procedures of ISO 9001:2000,
Quality Management System Requirement could be implemented in order to keep
accurate information of delays and identify the exact causes of delay. A documented
procedure can be established through the implementation of ISO to ensure that the
information is readily identifiable and retrievable. Electronic Document
Management system (EDM) can also be implemented by the contractor. The aim of
EDM is to create an environment within which disparate forms of information can be
linked together in the context of project to achieve easy access and control.
 74

Computer systems keep track of revision and record to which documents have been
issued. These systems store and retrieve structured and unstructured information
electronically as well as updating as required. Proper documentation of information
can avoid the information from not being kept and not updated.

Other than documentation system, it was recommended that the application

for EOT must have been made by the contractor at the correct time in order to avoid
late or lack of notice of delay from the contractor. The contractor needs to submit
the notice earlier or when the delay becomes apparent to the contractor that the
progress of the works will be delayed.

Next recommendation is request must be made officially in order to keep all

site records and particulars related to delay. For example, in order to found an
application for EOT relating to reason of late instructions and drawings, the
contractor must have specifically applied in writing to the architect/ S.O for the
necessary instructions, drawings, details or levels. All requests for information from
the contractor shall be made officially and clearly specifying the details with
deadline of expected information required. Lack of particular site records can be
avoided by made the requests officially.

From the recommendations, we can concluded that notice, contemporary

records and programme are all practical matters which can only be addressed by
ensuring that adequate contract administration procedures are being followed from
the date of commencement of the works. Whilst the architect, engineer, or quantity
surveyor must do their best to evaluate the length of any EOT which may be due,
irrespective of the lack of notice and particulars given by the contractor, contractors
cannot complain if the extension made on the basis of inadequate information does
not live up to their expectation. Therefore, it will be prudent to seek advice from a
consultant who specialise in evaluating EOT when the contractor wish to apply EOT
in relation to delays.
 75

6.4 Limitation of the Study

The research done has several limitations such as the information that needs
to be considered by the evaluator in EOT application is only focused on the reasons
of delay for architects instructions, late instructions, drawings or levels, and delay
on the part of nominated subcontractors or suppliers. Although this research only
focused to those three reasons of delay, it has reached and fulfilled the objective as to
identify the information that needs to be considered in evaluating EOT application.

6.5 Recommendation for Further Study

The contractors duty is to give the architect as much information as he can

about the cause of delay as so assist the architect in performing his duty. Other than
contactors duty, there is also architects duty to deal with requests for an EOT.
There is an issue about an architect/ engineer duty in exercising a duty to deal with
request for an EOT, whether he can reduce the period of time to which the contractor
is already entitled to reflect omissions which have reduced the work content on the
critical path. Clause 24.3(d), CIDB standard form of contract requires the S.O to
consider the effects of omissions or decrease in the provisional quantities when
deciding on any EOT. It does not, however, mention any entitlement to reduce the
contract period or any extended period already granted. It was recommended that
one study should be prepared about an architects/ engineers/ a quantity surveyors
duty to deal with request for an EOT in giving a fair and reasonable EOT to the
contactor. This research could indeed benefit the employer and contractor to gain
more knowledge about an architects/ engineers duty in exercising his power to
extend time in order to speed up the evaluation of the architect to establish
contractors entitlement for EOT and to avoid disputes about contractors entitlement
to EOT.
 REFERENCES

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Penerbitan Akademik Universiti Teknologi Mara.

Manson, K. (1968). Building Law For Students. London: Cassell Ltd.

Murdoch, J.; Hughes, W. (1992). Construction Contracts: Law and Management.

London: E & FN Spon.

Haji Hashim Sikan (2001). Delay and Extension of Time In Construction Contract.
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Lim, P.K. (1998). Evaluation of The Contractors Claim For Extension of Time.
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Entrusty Group (2006). Is The Contractor Still Entitled To Extension of Time When
There Is Concurrent Delay?. Master Builders Journal. 4th Quarter: 101-103.

Kevin, R. (2005). Analysing Extension of Time: What The Courts Have To Say.
Master Builders Journal. 1st Quarter: 74-75.

Duncan Wallace, I.N. (1995). Hudsons Building and Engineering Contract. Volume
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Vincent, P.S. (1990). The Malaysian Standard Form of Building Contract. Kuala
Lumpur: Malayan Law Journal Sdn Bhd.
 77

Vincent, P.S and Michael Furmston (1984). A Building Contract Casebook. Great
Britain: BSP Professional Books.

Lim, C.F. (2004). The Malaysian PWD Form of Construction Contract. Petaling
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Brian, E. (1997). Liquidated Damages and Extensions of Time. UK: Blackwell

Science Ltd.

Martin, R. (2005). Delays and Extension of Time. 52 Contractual Issues Relevant To

Malaysia and Their Resolution. 27 January 2005. Kuala Lumpur: James R.
Knowles; Lecture 2, 13-16.

Harold, D.H. (1976). Building Contracts For Design and Construction. 2nd Edition.
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Lawrence, T. (2001). Effective Measures For Minimising Disagreements Concerning

Extension of Time. Conference On Avoiding & Resolving Disputes In
Construction Contracts. 17 18 January 2001. JW Marriott, Kuala Lumpur: The
Asia Business Forum.

Michael, C. (2001). Formulation, Preparation & Presentation of Claims. Conference

On Avoiding & Resolving Disputes In Construction Contracts. 17 18 January
2001. JW Marriott, Kuala Lumpur: The Asia Business Forum.

Stuart, M. (2006). Record Keeping For Contemporaneous Delay Analysis: A Model

For Effective Event Management. Construction Management and Economics.
October December 2006. 1007-1018.

Basar Juraimi (1997). Time Delays, Claims Procedures and Documentation.

Continuing Professional Development Course On Contracts. 12 13 August
1997. Crystal Crown Hotel, Petaling Jaya.
 78

Abdul Rahman; Berawi, M.A; Berawi, A.R.; Mohamed, Othman and Yahya (2006).
Delay Mitigation in the Malaysian Construction Industry. Journal of
Construction Engineering and Management. February 2006. 125-132.

David, M.C. (1984). Contractors Claims: An Architects Guide. London: The

Architectural Press.

Sundra Rajoo (1999). The Malaysian Standard Form of Building Contract (The PAM
1998 Form). 2nd Edition. Kuala Lumpur: Malayan Law Journal Sdn Bhd.

Nicholas, J,C. (2005). Causation and Delay In Construction Disputes. Oxford:

Blackwell Publishing Ltd.

Reg Thomas. Construction Contract Claims. Macmillan.

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Maintenance Construction in Saudi Arabia. Journal of Management in
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Majid, A.M.Z. and Mccaffer (1997). Non Excusable Delays In Construction.

Loughbourough: Phd Thesis.

Koo, C.K. (2003). The Assessment of Claims For Extension of Time In The
Construction Industry In Malaysia. Skudai: Universiti Teknologi Malaysia.

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PWD 203A Standard Form of Contract.

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http://www.managingprocurement.commerce.nsw.gov.au. Last accessed:
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 79

BIBLIOGRAPHY

Cherry, I.S. (1985). JCT 80 and The Contractor. Great Britain: Butterworths.

Dennis, F.T. (1984). Standard Contracts For Building. New York: Longman Inc.

Hughes, G.A. (1985). Building and Civil Engineering Claims In Perspecctive. 2nd
Edition. New York: Longman Inc.

Burke, H.T. (1976). Claims and The Standard Form of Building Contract. The
Chartered Institute of Building.
 APPENDIX A

Questionnaire Survey Form

 QUESTIONNAIRE FORM

RESEARCH SURVEY

CONTRACTORS APPLICATION FOR AN EXTENSION OF

TIME

This questionnaire form consists of four sections:

Section A: Generally
Section B: Information
Section C: Common Mistakes by the Contractor
Section D: Ways to Reduce the Mistakes

Research Objectives:
1. To identify the information that needs to be considered in evaluating extension of
time application.
2. To identify the common mistakes by the contractor in the application of extension of
time.
3. To identify the ways to reduce the mistakes by the contractor in the application of
extension of time.

PREPARED BY:

NORHANA BINTI DANIAL

MASTER OF SCIENCE (CONSTRUCTION MANAGEMENT)
 82

SECTION A: GENERALLY

1.0 RESPONDENT

NAME OF RESPONDENT : _________________________________________

POST : _________________________________________
YEAR OF EXPEREINCE : _________________________________________
NAME OF COMPANY : _________________________________________
ADDRESS : _________________________________________
SIGNATURE : _________________________________________

COMPANYS SEAL

2.0 BACKGROUND OF PROJECT

1. Standard form of contract used in the construction project that you have experienced
(Please tick () ALL option applicable)

PAM 98 PWD 203A

PWD 203 Others: ___________________

2. Type of project that you have experienced (Please tick () ALL option applicable)

Residential High Storey Building

School Mosque

Commercial Building Factory

Office Building Others: ___________________

 83

3. Most of your projects usually need application for extension of time (Please tick ()
one option applicable)

Yes No

4. In your opinion, please rate the significance reasons of delay which extension of time
may be given (Please () where applicable according to the appropriate scale)

Very
Never Seldom Sometimes Often
Often
Reasons That Could Justify Extension of
No. (1) (2) (3) (4) (5)
Time
1. Force mejuere
2. Exceptionally inclement weather
3. Insurance contingencies (loss and damage to
the works)
4. Civil commotions, strikes, lockout
5. Architects/ S.Os instructions
6. Late instructions, drawings or level
7. Delay by nominated subcontractors or
suppliers
8. Delay by artist, tradesmen and others
engaged by the employer
9. Delay in the supply of materials and goods
by the employer
10. Testing and inspection
11. Act of prevention or breach of contract by
the employer
12. Disputes with neighbouring owner
13. Delay in giving possession of site
14. Inability to obtain materials or goods
 84

SECTION B: INFORMATION

This section of the survey aims to identify the information that needs to be considered in
evaluating extension of time application. Please tick () where applicable according to
the appropriate scale.

5. Based on your experiences, what are the documents which can be used as the main
source of information relating to different reason of delays that needs to be submitted
by the contractor in the application for an extension of time, and needs to be
considered by the evaluator in evaluating extension of time application?

Very
Not Less Moderately Highly
Highly
Considered Considered Considered Considered
Considered
Documents As The Main Source of
No. Reasons (1) (2) (3) (4) (5)
Information In Evaluating EOT
Application letter
1. Force
Mejuere As-planned schedule

As-built schedule

Weather record

Drawings

Site diaries

Site memo

Project daily report

Variation order

Architects/ S.Os instructions

Minutes of meeting

Tests of materials/ operating test

Correspondence

Others:
 85
* Contd. Please tick () where applicable according to the appropriate scale

Very
Not Less Moderately Highly
Highly
Considered Considered Considered Considered
Considered
Documents As The Main Source of
No. Reasons (1) (2) (3) (4) (5)
Information In Evaluating EOT
Application letter
2. Exceptionally
inclement As-planned schedule
weather
As-built schedule

Weather record

Drawings

Site diaries

Site memo

Project daily report

Variation order

Architects/ S.Os instructions

Minutes of meeting

Tests of materials/ operating test

Correspondence

Others:

Application letter
3. Insurance
contingencies As-planned schedule
(loss and
damage to the As-built schedule
works
occasioned by Weather record
contingencies
as stated in Drawings
the contract)
Site diaries

Site memo

Project daily report

Variation order

Architects/ S.Os instructions

Minutes of meeting

Tests of materials/ operating test

Correspondence

Others:
 86
* Contd. Please tick () where applicable according to the appropriate scale

Very
Not Less Moderately Highly
Highly
Considered Considered Considered Considered
Considered
Documents As The Main Source of
No. Reasons (1) (2) (3) (4) (5)
Information In Evaluating EOT
Application letter
4. Civil
commotion, As-planned schedule
strikes,
lockout As-built schedule

Weather record

Drawings

Site diaries

Site memo

Project daily report

Variation order

Architects/ S.Os instructions

Minutes of meeting

Tests of materials/ operating test

Correspondence

Others:

Application letter
5. Architects/
S.Os As-planned schedule
instructions
As-built schedule

Weather record

Drawings

Site diaries

Site memo

Project daily report

Variation order

Architects/ S.Os instructions

Minutes of meeting

Tests of materials/ operating test

Correspondence

Others:
 87
* Contd. Please tick () where applicable according to the appropriate scale

Very
Not Less Moderately Highly
Highly
Considered Considered Considered Considered
Considered
Documents As The Main Source of
No. Reasons (1) (2) (3) (4) (5)
Information In Evaluating EOT
Application letter
6. Late
instructions, As-planned schedule
drawings or
level As-built schedule

Weather record

Drawings

Site diaries

Site memo

Project daily report

Variation order

Architects/ S.Os instructions

Minutes of meeting

Tests of materials/ operating test

Correspondence

Others:

Application letter
7. Delay by
nominated As-planned schedule
subcontractor
or suppliers As-built schedule

Weather record

Drawings

Site diaries

Site memo

Project daily report

Variation order

Architects/ S.Os instructions

Minutes of meeting

Tests of materials/ operating test

Correspondence

Others:
 88
* Contd. Please tick () where applicable according to the appropriate scale

Very
Not Less Moderately Highly
Highly
Considered Considered Considered Considered
Considered
Documents As The Main Source of
No. Reasons (1) (2) (3) (4) (5)
Information In Evaluating EOT
Application letter
8. Delay by
artists, As-planned schedule
tradesmen and
others As-built schedule
engaged by
the employer Weather record

Drawings

Site diaries

Site memo

Project daily report

Variation order

Architects/ S.Os instructions

Minutes of meeting

Tests of materials/ operating test

Correspondence

Others:

Application letter
9. Delay in the
supply of As-planned schedule
materials and
goods by the As-built schedule
employer
Weather record

Drawings

Site diaries

Site memo

Project daily report

Variation order

Architects/ S.Os instructions

Minutes of meeting

Tests of materials/ operating test

Correspondence

Others:
 89
* Contd. Please tick () where applicable according to the appropriate scale

Very
Not Less Moderately Highly
Highly
Considered Considered Considered Considered
Considered
Documents As The Main Source of
No. Reasons (1) (2) (3) (4) (5)
Information In Evaluating EOT
Application letter
10. Testing and
inspection As-planned schedule

As-built schedule

Weather record

Drawings

Site diaries

Site memo

Project daily report

Variation order

Architects/ S.Os instructions

Minutes of meeting

Tests of materials/ operating test

Correspondence

Others:

Application letter
11. Act of
prevention or As-planned schedule
breach of
contract by As-built schedule
the employer
Weather record

Drawings

Site diaries

Site memo

Project daily report

Variation order

Architects/ S.Os instructions

Minutes of meeting

Tests of materials/ operating test

Correspondence

Others:
 90
* Contd. Please tick () where applicable according to the appropriate scale

Very
Not Less Moderately Highly
Highly
Considered Considered Considered Considered
Considered
Documents As The Main Source of
No. Reasons (1) (2) (3) (4) (5)
Information In Evaluating EOT
Application letter
12. Disputes with
neighbouring As-planned schedule
owner
As-built schedule

Weather record

Drawings

Site diaries

Site memo

Project daily report

Variation order

Architects/ S.Os instructions

Minutes of meeting

Tests of materials/ operating test

Correspondence

Others:

Application letter
13. Delay in
giving As-planned schedule
possession of
site As-built schedule

Weather record

Drawings

Site diaries

Site memo

Project daily report

Variation order

Architects/ S.Os instructions

Minutes of meeting

Tests of materials/ operating test

Correspondence

Others:
 91
* Contd. Please tick () where applicable according to the appropriate scale

Very
Not Less Moderately Highly
Highly
Considered Considered Considered Considered
Considered
Documents As The Main Source of
No. Reasons (1) (2) (3) (4) (5)
Information In Evaluating EOT
Application letter
14. Inability to
obtain As-planned schedule
materials or
goods As-built schedule

Weather record

Drawings

Site diaries

Site memo

Project daily report

Variation order

Architects/ S.Os instructions

Minutes of meeting

Tests of materials/ operating test

Correspondence

Others:
 92

SECTION C: COMMON MISTAKES BY THE CONTRACTOR

This section of the survey aims to identify the common mistakes by the contractor in the
application of extension of time. Please tick () where applicable according to the
appropriate scale.

6. Based on your experiences, what are the common mistakes by the contractor in the
application of extension of time?

Very
Never Seldom Sometimes Often
Often

No. Common Mistakes (1) (2) (3) (4) (5)

1. Late or lack of notice from the contractor
2. Failure to recognise delay or failure to
describe the cause of delay
3. Failure to stated the exact contractual
provision which is being relied upon
4. Failure to stated the date when delay
commenced and the period of delay
5. Poor presentation of the application to show
how the progress of the work has been
delayed
6. Lack of proper baseline schedule
7. Lack of proper site records and particulars
relied upon
Insufficient quality of information
8.
(Information is not kept and not updated)

Others (please specify)

________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
 93

SECTION D: WAYS TO REDUCE THE MISTAKES

This section of the survey aims to identify the ways to reduce the mistakes by the
contractor in the application of extension of time Please tick () where applicable
according to the appropriate scale.

7. In your opinion, what are the suggestions to improve the submission of extension of
time application in order to reduce the mistakes by the contractor?

Very Low Low Medium High Very High

Contributing Contributing Contributing Contributing Contributing

No. Ways To Reduce The Mistakes (1) (2) (3) (4) (5)
1. Be aware of the notice requirements
for submitting application for
extension of time
2. Fully comprehend what events the
contract considers claimable in terms
of time
3. There must be an agreement and
acceptance of the baseline
programme
(formal acceptance of the final as-
planned schedule)
4. Keep reliable and accurate progress
and programme records
5. Implement a proper claim
administration system
6. Implementation of a document
management system

Others (please specify)

________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________

THANK YOU FOR YOUR TIME AND SUPPORT. Please feel free to add any additional views
on the subjects.