Universal Extension of Time and Co-sharing of Costs for Contractors Under COVID-19 (Temporary Measures) Act

19 Nov 2020 LegisWatch

On 3 November 2020, the COVID-19 (Temporary Measures) (Amendment No. 3) Bill ("Bill") was passed in Parliament, providing further reliefs for the construction industry which has been affected by the COVID-19 pandemic. The provisions introduced by the Bill will come into force in end-November 2020.

Significantly, two major additional relief measures have been introduced with respect to both public and private sector construction projects, as follows:

(a) Universal extension of time of 122 days, to address delays that arose during the period between 7 April 2020 and 6 August 2020 for construction contracts; and
(b) Co-sharing of additional non-manpower-related costs between contracting parties due to project delays caused by the COVID-19 pandemic.

This update sets out the salient features of the Bill where they relate to the construction industry. For ease of reference, sections of the COVID-19 (Temporary Measures) Act (“COTMA”) highlighted in this update refer to sections of the COTMA as introduced by the Bill.

This update is accurate as of 18 November 2020.

If you would like information or assistance on the above or any other area of law, you may wish to contact the Partner at WongPartnership whom you normally work with or any of the following Partners:

Christopher CHUAH
Head – Infrastructure, Construction & Engineering
d +65 6416 8140
e christopher.chuah@wongpartnership.com
Click here to see Christopher’s CV.

Christopher CHUAH is a Senior Accredited Specialist in Building and Construction Law

Candy Agnes SUTEDJA
Partner – Infrastructure, Construction & Engineering
d +65 6416 8273
e candy.sutedja@wongpartnership.com
Click here to see Candy’s CV.

Candy Agnes SUTEDJA is an Accredited Specialist in Building and Construction Law.