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News in Brief: January / February 2018

SMEs will now be able to bid for up to £12Bn of public sector contracts more easily following work by government lawyer Chris Stanley to condense the existing Crown Commercial Service (CCS) contract terms into a new ‘slimline’ Public Sector Contract.

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Reports from the courts: December 2017

Our regular round up of the court cases of most interest to construction comes from Andrew Croft and Simii Sivapalan of Beale & Company Solicitors LLP and focuses on a case highlighting that a high burden of proof of oppressive and unreasonable behaviour will be needed to obtain injunctive relief on those grounds in adjudication.

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Remember: always read the contract

Guest editor Michael Sharp of Herbert Smith Freehills LLP says a recent Supreme Court warning to always read the contract should be taken to heart by lawyers as well as signatories to contracts. Parties are free to allocate risk as they see fit, and the courts will uphold such clauses.

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Guidance Notes seldom read

Our contracts monitor Michael Phipps, Principal of Thurston Consultants, concludes his scrutiny of the JCT’s Repair and Maintenance Contract (Commercial) 2016 with a warning that contracts must be read as they change to reflect new legislation and insurance practice.

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Construction Law Guide to: defects provisions in construction contracts

Sarah Nunnery-Jones of DLA Piper continues our Construction Law Guides series with a look at defects provisions in the main contract forms.

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NEC4 increases consultants’ risk

Will Buckby and Andrew Croft of Beale & Company Solicitors LLP examine the new NEC4 Professional Services Contract and find the changes from the previous contract to be more than simply an evolution. Consultants face increased potential risk, they warn.

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Bringing existing PFI contracts back in-house

Private Finance Initiative contracts came under threat during the party political conference season. Davinia Cowden of CMS details the practical problems that would be faced in bringing them back into public ownership.

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Exemption clauses, risk allocation and ordinary language

Joanne Maclean and Suriya Edwards of Geldards LLP analyse a recent case that underlines the courts’ support for clauses in contracts that are negotiated between parties of equal bargaining power.

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The Bolam test and Montgomery in construction

David Pliener of Hardwicke examines a court ruling in a healthcare industry dispute that has potential implications for the duty of care owed by professionals in construction. A construction test case is inevitable soon, he warns.

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Contractors’ product liability

Insurance expert John D Wright of JD Risk Associates details what is covered under contractors’ product liability policies. Cover for damage to the product itself is usually excluded, but separate cover is available.

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