Common use of Liability for Delay Clause in Contracts

Liability for Delay. To the extent that the Contractor has failed to deliver the Initial Availability Requirements or has failed to implement and comply with the Mobilisation Plan and as a consequence the Contractor is unable to provide the Services on or before the Services Commencement Date, the Authority and Related Organisations, without prejudice to its or their other rights or remedies, may recover from the Contractor the costs reasonably incurred in making other arrangements for the provision of the Services up to the Services Commencement Date provided that in the payment of such compensation by the Contractor only the difference in cost between the amount that would have been paid by the Authority for the provision of the Services by the Contractor and amounts reasonably incurred by the Authority for the delivery of the Services by an alternative provider (which the Authority shall take reasonable steps to mitigate) shall be paid by the Contractor to the Authority. The amount which would have been paid to the Contractor shall, for the purposes of this clause, be calculated on the basis of the Contract Price (including any relevant Ramp-Up Payments) that would have been payable pursuant to Schedule 5 (Pricing and Payment Mechanism) based on the applicable Commissioned Volume Band. 9COMPENSATION EVENTS