Loss and expense and extension of time problem

Bristol Street Investments Ltd (BS) has acquired a site at 10 Great North Road, Birmingham
B12. BS has been granted planning permission to build a car showroom and 6 offices above.
The showroom on the ground floor has been designed to provide a display area for the new
cars with access via sliding glass panels from the parking space outside. The showroom will
have 3 small offices partitioned off and accessed from the showroom. The offices above will
be on 3 floors and will be accessed from a separate entrance. There will be no direct access
between the car showroom and the offices above.

The showroom will have a floor area of 100 m2 and each office over the 3 upper floors will
be approx.50m2. The small offices which are to form part of the showroom will each be
approx. 16m2.

BS has signed a JCT 2016 SBC/Q with Connected Construction (CC). CC has worked for a
month and the contractual completion date was 6 months from the start. At this point BS
changed their mind about the small internal offices in the showroom. It said it wanted these
offices to be separated from the showroom with full partition walls and have access direct
to the outside area not via the showroom.

Carrying out this instruction at this stage meant that CC had to rebuild the partition walls to
the new spec, having demolished the previous ones they had just built, re-route the cabling
for the electricity supply to separate it from the showroom, and to do this they had to
extend the electrical sub-contractors contract by a week at a cost of £1000. They had to
employ extra people to cut through the exterior wall to form the new access as they could
not spare labour from rest of the project. This cost £850. This additional work took more
time and CC estimate that the project has been put back by 1 week as a result.

By month three BS signed up an agreement with an Aston Martin agency. Aston Martin is
very keen to put their display models in the showroom as soon as possible. BS agreed that
they can put them there immediately. Because the expensive cars are now in the unfinished
showroom, CC has to make extra security provision which adds £100 per week to the
current security cost. In addition, because the cars are easily damaged, CC decide to use
only 2 men to install and fit the large glass showroom windows to minimise the risk of
damage. Having to take this extra measure because the cars are there is less efficient for CC
and they incur the cost of an extra 7 working days which totals £1400.

About a month before the work has finished, Aston Martin want to use the site for filming a
high budget advert for their cars. For the advert, they hired Daniel Craig (James Bond). He is
going to arrive in a helicopter and while the helicopter hovers he performs an action stunt
of swinging out of the helicopter and landing in an Aston Martin car before driving off.
Although filming does not interfere with the building work, the work force is so engrossed
watching the making of the advert that they hardly do any work. CC estimates it loses about
25 man hours as a result of this disruption, which costs £1250 (25x50).

CC wants to bring a claim for loss and expense and an extension of time against BS. Looking
at the sections on loss and expense claims and extension of time claims in the contract
assess the chances of success, explaining exactly how under the contract they can make the
claim/ or why they cannot make a claim. Work out how much compensation they are
entitled to ask for in relation to the claims.

Briefly describe the procedure they should follow to pursue their claim in order to be
successful.