Public contract challenges - what does the latest judgement mean for contractors?

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A new ruling makes public work more risky for contractors

New risks have presented themselves to developers and contractors as a result of a recent case, Faraday Development Ltd vs West Berkshire Council.

Although the judgment in Faraday was much anticipated, it has significant implications for contracting authorities and has provided developers with a number of new concerns. The Court of Appeal provided some useful guidance in its judgment, but there would appear to be a consensus that the ruling has also made the realm of public contracts more risky for contractors, with a heightened potential for them to be exposed to abortive costs and contractual liabilities. 

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