The Penalty for Delay in Administrative Contracts

Abstract

The administrative authority bodies have power to impose penalties on contractors in the case of a breach of obligations agreed upon in the contract. Among these penalties is the delay fine, which is a predetermined monetary penalty established by the administrative body. This fine is imposed on the contractor in case of negligence or inadequately perform the agreed-upon tasks. When any delay leads to damage, the administrative authority has the power to impose this penalty, which has been predetermined and agreed upon. However, the contractor is exempt from this fine if the delay is caused by the administrative authority or by a force majeure.