In brief illustrate out what liquidated damages (LD) are.
What is the major objective and aim of applying LD to a contract?
At what time in the procurement procedure should the Bid Security be released in favour of respective unsuccessful bidders?
Compute the amount of liquidated damages to be claimed to a supplier who has accumulated 16 weeks of delay on a remaining instalment of 100 laptops out of contract to supply 200 laptops for contract value of Rs 10 million? The clause for liquidated damages goes as follows:
“Liquidated damages will be applied at rate of 0.5% per week of delay up to a maximum of 5% of the cost of undelivered goods.”
Based on the above information, it seems that the contract manager hasn’t followed this contract carefully. What should the contract manager have done to evade this delay beyond remedy?
Illustrate out in detail the three mandatory conditions which should be fulfilled by the bidder/supplier for a bid/performance security to be applicable.