Recovering Payment & Variation Claim in the Process Industry

11 January 2023, Singapore – ASPRI partnered with our Counsel, Mr David Shanmugam from Netto & Magin LCC to bring our members a seminar titled, “Recovering Payment & Variation Claim in the Process Industry” for our first seminar in 2023!

In the first part of the webinar, Mr Shanmugam explained that most contractors were often asked to perform work which they considered they were entitled to payment in excess of the original sum. To claim the excess payment, one must be prepared to prove the following:

1. That it is extra work not included in the work for which the contract sum is payable
2. That there is a promise expressed or implied to pay for the work
3. That any agent who ordered the work was authorised to do so
4. That any condition precedent to payment imposed by the contract has been fulfilled

Mr Shanmugam then stated that there is no one accepted definition of “variation. However, in a lump sum contract, “variation” may be defined as work not expressly or impliedly included in the work for which the lump sum is payable.

In the second part of the webinar, Mr Shanmugam shared various types of risks and consequences of contract breaches and some of the remedies and dispute resolutions to resolve them. He also provided case study to help the attendees get a better understanding.

Mr Shanmugam also offered one to one consultancy sessions for the members to clarify their concerns and doubts following the seminar. The webinar was attended by 30 ASPRI members from 18 companies and they have found it to be insightful.