60.1(18): A breach of contract by the Client | NEC Clauses Explained

Reviewed by LazyQS Editorial·Last reviewed: 2026-02-19

Plain English Explanation

This CE is a broad catch-all that covers any breach of contract by the Client that is not already covered by one of the other compensation events. Under NEC4, if the Client breaches an obligation and that breach causes the Contractor loss or delay, it is treated as a CE rather than leaving the Contractor to rely on common law damages.

Examples of breaches that might fall here include: failure to make payment on time, failure to cooperate, unreasonable interference with the works, breach of a specific contractual obligation not covered elsewhere, or actions by the Client's advisers that constitute a breach.

By channelling breaches through the CE mechanism, NEC avoids the adversarial dynamic of common-law damages claims — breaches are priced and assessed through the same process as other CEs.

Key Takeaway

Before invoking 60.1(18), check whether a more specific CE applies — using the catch-all without analysis weakens your credibility and may not succeed where a targeted CE would.

What This Means for Subcontractors

For subcontractors, the equivalent clause catches breaches by the main contractor (acting as the 'Client' under the subcontract). Late payment is a common example — though NEC payment obligations are also governed by separate payment clauses. Use this CE where the main contractor's actions constitute a clear contractual breach that is not covered by the more specific CEs.

Common Risks & Disputes

1Difficulty identifying what constitutes a 'breach' versus a legitimate exercise of contractual discretion
2The PM disputing that the Client's action was a breach rather than an action within their contractual rights
3This CE being used as a catch-all without properly analysing whether a more specific CE applies
4Quantifying loss from a breach — where the breach has consequential effects it can be hard to isolate the CE cost
5Time-bar provisions still applying — you must notify within the required period even for breach-based CEs