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Legal terms explained: Entitlement to damages for defects

In a construction context, a ‘defect’ may arise where there is a failure to complete the work to a specific standard or otherwise in accordance with the contract. Construction contracts often include a definition of ‘defect’, but the precise definition differs depending on the contract. For more information on the meaning of ‘defect’, see our earlier article on defective works.

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The need for innovative solutions

Guest Editor Laura West of CMS argues that a new way of thinking of construction projects is needed to incentivise and drive innovation. Successful innovation projects recognise “innovation” as a separate process rather than trying to bake it into the design or construction phase.

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Reports from the courts – December 2022

Our regular round up of court decisions of most interest to construction from Andrew Croft and Ben Spannuth of Beale & Company Solicitors LLP, analysing a judgment that highlights the importance of serving termination notices strictly in accordance with contractual requirements; and another that underlines the fundamental importance of proper service of a Notice of Adjudication.

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Planning and procuring the digital golden thread

Anne-Marie Friel and Alastair Dale of Pinsent Masons LLP Infrastructure explain why contractors must implement carefully thought out digital procurement and contracting strategies to achieve critical safety and sustainability outcomes for projects.

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Construction Playbooks support drive for change

Shona Frame of CMS examines the private sector response to the government’s Construction Playbook. Although they are both based on the same principles, care must be taken as aspects of them need to be considered in contract documentation.

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High Court provides guidance on complex defects disputes

Mark Lawrence of Macfarlanes reports on a High Court judgment that provides insight into how the TCC will tackle a range of issues likely to arise as Private Finance Initiative contracts come to an end, as well as claims under other contracts.

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Contractor losses flowing from bond calls

Kwadwo Sarkodie and Kiran Giblin of Mayer Brown International LLP look at how contractors can suffer repercussions from the Employer calling on performance bonds. The consequences for a contractor are potentially devastating, they warn.

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When has an implied novation occurred?

Victoria Peckett and Victoria Coffey of Clyde & Co LLP consider a recent judgment that provides a reminder as to when an ‘implied novation’will be considered to have occurred. The case also provides guidance on the meaning of the phrase ‘such consent not to be unreasonably withheld’.

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The true nature of insurance

Insurance expert John D Wright of JD Risk Associates analyses how the courts view the concept of insurable interest. The existence of insurable interest may be challenged in all kinds of unusual circumstances, he warns.

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