Liquidated Damages Calculator
Calculate liquidated damages for project delays. Considers LD rates, approved EOT, caps, and generates comprehensive delay penalty assessments.
AED 50,000,000
Extension of Time already approved
AED 50,000 per day
Max LD: AED 5,000,000
| Project Type | Daily Rate | Typical Cap |
|---|---|---|
| Residential Villa | 0.05% - 0.1% | 10% |
| Commercial Building | 0.1% - 0.15% | 10% |
| Infrastructure | 0.05% - 0.1% | 10-15% |
| Government Projects | 0.1% | 10% |
Delay Days
60
LD Amount
AED 3,000,000
LD %
6.00%
Delay Period
60 days
(Gross: 90 days - EOT: 30 days)
LD Amount
AED 3,000,000
6.00% of contract value
Notes:
- LD must be a genuine pre-estimate of loss to be enforceable
- Penalty clauses may be void under UAE law
- EOT claims should be assessed before applying LD
- Review contract for specific LD provisions
- LD cap typically ranges from 5-15% of contract value
FINANCIAL DISCLAIMER
This calculator provides INDICATIVE FIGURES for reference purposes only.
Important:
1. Results are based on standard formulas and user-provided inputs. Actual contractual amounts may differ based on specific contract terms and conditions.
About This Calculator
This Liquidated Damages (LD) Calculator helps contractors and employers calculate delay penalties per contract terms. Determine LD exposure considering daily rates, approved EOT, contractual caps, and sectional completion provisions. Essential for financial planning and dispute avoidance in UAE and Gulf construction contracts where LD clauses are standard practice.
When to Use This Calculator
- Calculating potential LD exposure during project execution
- Verifying employer's LD deduction calculations
- Assessing financial risk of project delays
- Negotiating LD caps in contract negotiations
- Preparing for dispute resolution on LD claims
How to Use This Calculator
Enter contract details
Input contract value, completion date, and sectional milestones if any
Define LD terms
Enter daily LD rate and maximum cap (typically 5-10% of contract value)
Input approved EOT
Add any approved extension of time to adjust completion date
Enter actual completion
Input actual or forecast completion date
Review LD calculation
View delay days, LD amount, and cap application
Typical Scenarios in UAE & Gulf Projects
120M AED contract with 0.1% daily LD (120,000 AED/day), 10% cap. Project delayed 95 days beyond adjusted completion date. Calculator shows: 95 × 120,000 = 11.4M AED, but capped at 12M (10%). Net LD = 11.4M AED deducted from final payment.
Mixed-use development with separate LD for retail (0.05%/day) and residential (0.08%/day) sections. Calculator applies 45-day retail delay (LD: 2.25M) and 20-day residential delay (LD: 1.6M) separately, totaling 3.85M AED against combined 8M cap.
Frequently Asked Questions
Take Your Calculations Further
This calculator reflects the logic built into Arkan's construction management platform.
Last Updated: January 2026
Standards Reference: FIDIC 1999 Red Book Sub-Clause 8.7 Delay Damages (2017 edition Sub-Clause 8.8), UAE Civil Code Article 390