WHAT IS A SUBCONTRACT?
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A subcontract is a separate contract entered into by a party to a contract under which it agrees with another person (the subcontractor) that the latter will perform its obligations under the main contract for an agreed sum. Therefore, if Bloggs Haulage has the contract with a major supermarket, it may wish to get Brown Haulage to carry out the work it has contracted to perform. That is done by a subcontract. In this example, the supermarket would usually be obliged to accept Brown's performance, assuming that Brown does all that Bloggs had originally contracted to do. But Bloggs remains liable to the supermarket for t e performance of the main contract and will pick up liability caused by any d fault by Brown. Equally, the supermarket is not entitled to sue Brown for any b each of contract.