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Why fluctuation clauses must now be a central feature in JCT contracts

Phil Caton of Aaron & Partners argues that against a background of high construction price inflation contributing to a rising number of contractor insolvencies, fluctuation clauses should be a central feature in JCT contracts.

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Refinements and Reforms of the Arbitration Act 1996: Reforming Landmark Legislation

Vijay K Bange and Paul-Raphael Shehadeh of Duane Morris consider the likely reforms and refinements proposed to the Arbitration Act 1996 following consultations. Proposed reforms represent a welcome update to this landmark legislation, they argue.

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Timing and validity of pay less notices

Stephen McKenna of Quigg Golden analyses a case that highlights the importance of the timely sending of valid payment certificates and pay less notices. Paying parties under construction contracts should ensure that for any pay less notices it issues to be deemed valid, they must refer to respective payment cycles.

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Employer’s Liability and Disease Claims

Insurance expert John D Wright of JD Risk Associates examines issues surrounding employer’s liability insurance and disease claims, which have been a problem for many years and look like keeping the courts busy for years to come.

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Can one adjudication decision be set off against another?

A recent decision in FK Construction Ltd v. ISG Retail Ltd [2023] EWHC 1042 (TCC) provides a useful reminder that limited circumstances apply for set-off to arise in adjudication enforcement, as Millie Leonard and Amanda McGrath of Dentons UK and Middle East LLP report.

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New and proposed legislation: State of play table 282

This table, prepared by Barrett Byrd Associates, provides a regularly amended guide to new and proposed legislation that will affect the construction industry. In addition to EU Directives and UK legislation, the table includes notes highlighting discussion papers issued by both government and non-government organisations, and commentary on the latest developments.

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Legal terms explained: Practical Completion

In a construction context, “practical completion” generally means the completion of works for all practical purposes, notwithstanding any latent defects or “trifling” patent defects (i.e. incomplete and/or defective work of a minor nature).

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Contractors demand abandonment of bespoke contract in favour of NEC

Scotland desperately needs the A9 to be dualled, but unless there is a firmer commitment to funding and a root and branch rethink of the type of contract to be used there could be trouble in capturing contractor interest. Construction Law examines the background to complaints over the use of allegedly outmoded bespoke contracts for procuring roads.

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Reports from the courts: July 2023

Our regular round up of the court cases of most interest to construction comes from Andrew Croft and Ben Spannuth of Beale & Company Solicitors LLP who look at a judgment providing clarification on the use of Part 8 proceedings to resist adjudication enforcement; and another judgment that shows the courts will look to the factual matrix when determining the existence of a common law duty of care.

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The FAC-1 Framework Alliance Contract: A Handbook by David Mosey

Nia Stewart and Genevieve Vaughan of Burges Salmon review the just published handbook written by David Mosey to be used alongside the FAC-1 Framework Alliance Contract, the ‘Gold Standard’ in framework contracting. They welcome the handbook as an invaluable tool to the contract’s use, and value the real life examples of it in practice.

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