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News 19th of April 2022 By Evelien Callewaert

Rising material costs: the contractor’s problem alone?

Rising material costs: the contractor’s problem alone?

Price adjustment clause

  • +The price adjustment must be bidirectional: prices must be able to reduce as well as increase.
  • +Objective parameters must be used and the contractor must state clearly which parameters may affect the price.
  • +The price adjustment can only be applied to a maximum of 80% of the originally agreed price.
  • +Only the real costs may be taken into account and these must represent their actual share in the cost price.
  • +The price adjustment cannot simply be coupled to a fixed index such as the consumer price index or health index.

Unforeseen circumstances

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We base our advice on current legislation, interpretations and legal doctrine. This does not prevent the administration from being able to challenge it or to change existing interpretations.
Evelien Callewaert
Evelien Callewaert