The ruling on penalty clauses in construction contracts for delays in completing the agreed-upon work

Question : This leads us to a matter that people now use in construction contracts. For example, one says, "Build me this building or this villa within four months. And for every day beyond that, a certain amount will be deducted from you." Out of greed, some contractors agree to this condition. The custom is that such a period is not sufficient to complete the construction of this apartment or villa.

Answer : This condition is not valid. However, if the period is set as a known duration in which the construction is likely to be completed, then there is no harm in saying, for example, that the period is six months, and any excess will be deducted from you.