Prove It As You Go

In every construction project — from utilities and energy to heavy industrial and infrastructure works — change is inevitable. Delays, disruptions and scope growth are part of delivery. What ultimately determines whether time and money can be recovered is not the scale of the disruption, but how well it is recorded, managed and presented during the project.

The recent case of Mainteck Services Pty Ltd v Stein Heurtey SA reinforces a lesson the industry continues to relearn: increased costs alone are not enough — entitlement must be proven through clear records and demonstrable links between events and impacts. This case reinforces the same message as John Holland v Kvaerner, but in even sharper terms, with the concluding sentence:

“In a global claim, if a significant cause of loss is not attributable to the defendant, the claim fails.”

The Lesson: Prove It as You Go

In Mainteck, the contractor argued that multiple employer-related issues caused inefficiencies and additional costs. Whilst this argument initially gained traction, it ultimately failed because the contractor could not sufficiently demonstrate how specific events led to specific losses.

The takeaway is straightforward and highly relevant to live projects:

  • It is not enough to say costs increased.
  • It is not enough to rely on assumptions or probabilities.
  • Each impact must be traceable to an identifiable event and responsibility.

From a commercial management perspective, this reinforces the need to build entitlement progressively, not retrospectively.

Why End-of-Project “Global” Submissions Often Fail

Large, end-of-project submissions that bundle multiple issues together are difficult to substantiate and even harder for the other party to assess. They often fail because they blur:

  • employer-driven events,
  • contractor-driven inefficiencies,
  • neutral or concurrent impacts.

Without clear separation, it becomes a monumental task to demonstrate causation — and without causation, recovery is unlikely.

A structured approach, where potential entitlements are identified, documented and submitted throughout the project, significantly improves credibility and outcomes.

A Practical, Project-Friendly Approach

Rather than preparing one large submission at the end, effective commercial management focuses on:

  • capturing relevant records contemporaneously,
  • linking events to impacts while they are still fresh,
  • presenting discrete, clearly defined entitlement packages during delivery.

This approach makes it simpler for employers or upstream contractors to review, understand and approve, reducing friction and dispute.

Don’t Ignore Conditions Precedent

An often-overlooked risk is conditions precedent embedded in the contract. These provisions may not always be labelled explicitly as “conditions precedent”, but their effect is the same.

Wording such as…

“If the Contractor fails to notify within the stated timeframe, it irrevocably waives and shall be deemed to have irrevocably waived any and all rights to such entitlement.”

…can have serious consequences.

Failure to issue notices, submit information, or comply with timeframes — even where the underlying entitlement is valid — can result in rights being lost entirely. Good record keeping and timely, structured submissions are therefore not just best practice; they are essential to preserving contractual rights.

How CCR Global Supports Project Teams

At CCR Global, we support commercial and project teams throughout the lifecycle of a project — helping to establish effective record-keeping systems, identify and structure entitlement opportunities early, and assist with preparing and managing submissions as the project progresses.

Our focus is on practical commercial management that enhances transparency, preserves contractual rights, and significantly improves the likelihood of recovering both cost and time — while making the process clearer and simpler for all parties involved.

Tags:

Some of our Latest projects