Para 9.4.9 — NONCONSULT_MANUAL

9.4.9. Limit on total Damages. Deductions on account of damages for delays and performance, put together shall be subject to a maximum of 5% (Five per cent, or any other percentage if prescribed) of the entire value of Contract of Services. In case of inordinate delays, this upper limit shall be 10% (Ten per cent) of the contract value. (Refer para 9.4.2-4.)

9.4.10. Force Majeure 1. A Force Majeure (FM) means extraordinary events or circumstance beyond human control such as an event described as an act of God (like a natural calamity) or events such as a war, strike, riots, crimes (but not including negligence or wrong-doing, predictable/ seasonal rain and any other events specifically excluded in the clause). An FM clause in the contract frees both parties from contractual liability or obligation when prevented by such events from fulfilling their obligations under the contract. An FM clause does not excuse a party's non-performance entirely, but only suspends it for the duration of the FM. The firm has to give notice of FM as soon as it occurs, and it cannot be claimed ex-post facto. There may be a FM situation affecting the purchase organisation only. In such a situation, the purchase organisation is to communicate with the contractor along similar lines as above for further necessary action. If the performance in whole or in part or any obligation under this contract is prevented or delayed by any reason of FM for a period exceeding 90 (ninety) days, either party may at its option terminate the contract without any financial repercussion on either side. 2. Notwithstanding the punitive provisions contained in the contract for delay or breach of contract, the contractor would not be liable for imposition of any such sanction so long as the delay and/ or failure of the contractor in fulfilling its obligations under the contract is the result of an event covered in the FM clause.