Hi,
Not sure I agree with Jon here.
First, you cannot take work out of a package of contracted work to give it to someone else, for any reason, unless there is a precise and explicit agreement to do so. Such an action will usually amount to a repudiatory breach of contract. The contract makes clear the right to correct defects and damage to the subcontract works at 82.1. Arguably however this is not damage to the subcontract works.
Second, this sounds to me like a subcontractor risk has occurred. To the extent a relevant insurance does not cover the cost arising from that risk occurring then the subcontractor bears the cost (clause 85.4). That cost is met by the subcontractor firstly through a deduction to the account (50.2 amounts to be paid by or retained from the subcontractor) or, at law, as an abatement to the value of the work. Either way will end up in the same position of a payless notice being issued against the subcontract account explaining the reason for and calculation of the deduction.
Not sure I agree with Jon here.
First, you cannot take work out of a package of contracted work to give it to someone else, for any reason, unless there is a precise and explicit agreement to do so. Such an action will usually amount to a repudiatory breach of contract. The contract makes clear the right to correct defects and damage to the subcontract works at 82.1. Arguably however this is not damage to the subcontract works.
Second, this sounds to me like a subcontractor risk has occurred. To the extent a relevant insurance does not cover the cost arising from that risk occurring then the subcontractor bears the cost (clause 85.4). That cost is met by the subcontractor firstly through a deduction to the account (50.2 amounts to be paid by or retained from the subcontractor) or, at law, as an abatement to the value of the work. Either way will end up in the same position of a payless notice being issued against the subcontract account explaining the reason for and calculation of the deduction.