Home > Terms > English, UK (UE) > Limitation of cost clause

Limitation of cost clause

Provision in 'cost-reimbursement' type contracts under which a contractor must issue a written notification to the principal (customer), when the estimated total cost of the project or work is expected to be either higher or significantly lower than the original estimate.

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  • Part of Speech: noun
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  • Industry/Domain: Law
  • Category: Contracts
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