Jurisdiction(s):
United Kingdom

Related legal acts

Key definition

Suspension definition

What does Suspension mean? In construction practice, suspension means a temporary halt to all or part of the works, usually under an express contractual power of the employer (or contract administrator/project manager) to instruct a pause, or by the contractor exercising a right to suspend performance for non‑payment, until a further notice lifts the hold and work recommences. It is a descriptive term used across standard forms (for example, JCT and NEC) rather than a single statutory definition; its legal effect turns on the contract and, for non‑payment, on statute. Key features typically include: formal notice requirements; limits on scope and duration; obligations to secure...

Construction suspension rights, procedures under HGCRA 1996 s 112 and contracts: notices, costs/time, wrongful suspension; impact of IA 1986 s 233B; JCT, NEC and FIDIC (England, Wales and Scotland)

Published by a LexisNexis Construction expert

Practice notes

This Practice Note

This Practice Note explores both statutory and contractual entitlements, in particular their scope and effect, to halt the carrying out of obligations under a construction agreement, chiefly triggered when an employer defaults on paying sums that are due. That statutory entitlement is found in section 112 of the Housing Grants, Construction and Regeneration Act 1996 (HGCRA 1996), which sets out the timing and mechanisms for exercising Suspension in practice. This Practice Note then reviews how the standard form JCT, NEC and FIDIC suites address suspension arising from the HGCRA 1996 or from non-payment, and also examines broader contractual grounds for a contractor to pause performance of its obligations (ie not just because of non-payment). Suspending works can be an effective means of applying pressure to an employer who is failing to settle invoices (whether entirely or within the due time). However, in the absence of clear contractual terms or statutory authority, a contractor enjoys no general entitlement to suspend works, and doing so may amount to wrongful suspension (see ‘Wrongful suspension’ below) and the ruling in Energy Works v MW High Tech...

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Web page updated on 21/05/2026

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