INTRODUCTION The Board of the Privy Council recently clarified on clause 19.6(c) of the Yellow Book (1999) edition, holding that whilst the Contractor is expected to proceed with works on the assumption that the contract will be completed and without anticipating early termination the Contractor entered into “a bad bargain” by committing to pay 30% cancellation fees to the third party. The case further expounds on the burden of proof required for the Contractor to succeed under clause 19.6 (c) of the FIDIC General Conditions of Contract specifically the Yellow Book, (1999) edition
