May 2019

Can liquidated damages be recovered after termination?

On 5 March 2019, the English Court of Appeal in Triple PointTechnology Inc v PTT Public Co Ltd [2019] EWCA Civ 230 held that an employer could not rely on a clause imposing liquidated damages (LDs) for delay in circumstances when the contract was terminated.

In reaching this decision, the Court of Appeal has adopted a different position from that adopted in Hong Kong and Singapore, where LDs can be recovered up to termination (in Singapore) and beyond (in Hong Kong).

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Our construction team advises on procurement, risk management and disputes for a wide range of clients, including contractors, owners, consultants and insurers. We have worked on some of the largest and most technically complex projects in the world, in relation to a wide range of industries, in particular in the energy and infrastructure fields.
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