Causation - Building Contract Claims - page 137

'Under the JCT conditions, as used here, there can be no doubt that if an
architect is required to form an opinion then, if there is then unused float
for the benefit of the contractor (and not for any other reason such as to
deal with pc or provisional sums or items), then the architect is bound to
take it into account since an extension is only to be granted if completion
would otherwise be delayed beyond the then current completion date.
This may seem hard to a contractor but the objects of an extension of time
clause are to avoid the contractor being liable for liquidated damages
where there has been delay for which it is not responsible, and still to
establish a new completion date to which the contractor should work so
that both the employer and the contractor know where they stand. The
architect should in such circumstances inform the contractor that, if
thereafter events occur for which an extension of time cannot be granted,
and if, as a result, the contractor would be liable for liquidated damages
then an appropriate extension, not exceeding the float, would be given. In
that way the purposes of the clause can be met: the date for completion is
always known; the position on liquidated damages is clear; yet the
contractor is not deprived permanently of ''its'' float.' 399
The rationale behind this statement is not immediately apparent. It is
certainly obiter , because the judge said later that it was not certain that
there was any float in the programme under consideration. It seems that
the judge was referring to the kind of float which a contractor may put in his
programme at the end of all activities, to give himself a cushion if it takes
him rather longer than expected to complete the works. Where it is clear that
the contractor has placed that kind of float in his programme, it is difficult to
discern the difference in law from the situation where the contractor simply
attempts to finish early. That situation has already been considered in
Chapter 6, section 6.3.
Essentially float is simply the space before or after individual activities,
when a group of activities is put together in the form of a programme.
Whether it actually exists at all depends on the extent to which the
programme mirrors reality.
399 Royal Brompton Hospital NHS Trust v. Hammond and Others (No 8) (2002) 88 Con LR 1 at 187 per
Judge Lloyd.