Construction Law: January/February 2022

Editor’s comment
Procurement opportunity must be grasped
Editor Nick Barrett says that thanks to several recent procurement related reports construction has been offered a rare opportunity to make significant improvement.

News
This month’s news roundup includes a warning from lawyers that new procurement rules could be open to abuse, an update on the Grenfell Tower Inquiry and details of a large fine received by Balfour Beatty’s American subsidiary for defrauding the US military.

Legal terms explained
Stephanie Lamb and Elissa Patel of Herbert Smith Freehills LLP explain how liability caps and exclusion clauses work.

Guest editor
Constructing the Gold Standard – how to fulfil the potential of frameworks
Professor David Mosey, Centre of Construction Law and Dispute Resolution, King’s College London, author of the recently published ‘Gold Standard’ review of construction frameworks, explains how they could provide impetus to drive a range of benefits including a more profitable industry.

Legislation state of play table
Our regular update of the progress of legislation and new regulations as it passes through the legislative process, prepared by Construction Law staff writers. News editor Steve Dale provides a commentary on a key issue.

Reports from the courts
Our regular round up of the cases of most interest to construction comes from Andrew Croft and Ben Spannuth of Beale & Company Solicitors LLP who look at a dispute over whether a client had verbally agreed to waive liquidated damages; and a rejection of a claim to strike out an action that confirms the high threshold the courts set for such claims.

Analysis
How Building Information Modelling can strengthen your legal strategy
The use of Building Information Modelling (BIM) is on the rise but Stewart Bailey, director of property technology specialist Virtual Viewing, warns that incorrect implementation can increase construction costs, cause delays and carry legal consequences.

CL guides
Design Liability
Our latest Guides series article from Ross Galbraith of DLA Piper considers design liability of both contractors and consultants.

Annual review of 2021
Covid related disputes to continue in 2022
In this review of 2021, Herbert Smith Freehills LLP highlight some of the key developments of the past year, how issues faced by the construction industry have been considered by the courts and what we may expect looking ahead to 2022.

Sustainability featured in Scottish construction law’s year
Shona Frame and Sophie Malley of CMS review some important and wide-ranging developments that took place in Scottish construction law in 2021. Fittingly, as the COP26 event was held in Glasgow, sustainability was a feature of the year, with, for example, consultation launched on energy standards contained in the Building (Scotland) Regulations 2004.

Technology
The cyber threat to construction, engineering and energy
Construction, energy and engineering companies have lagged others in taking steps to protect themselves from the growing number of cyber-attacks. Vijay K Bange and Chris Recker of Duane Morris warn that failing to take preventive measures can lead to expensive litigation.

FIDIC
The bare bones of design and construction under FIDIC
In the third of our series on FIDIC forms Robert Meakin and Dominika Wlodarska of Clyde & Co make a close reading of the opening clauses of the contracts in the 2017 suite.

Insurance
Aggregation or aggravation?
Our insurance expert John D Wright of JD Risk Associates explains why the lack of standard wordings relating to aggregation clauses in insurance contracts means that the high level of litigation over their interpretation is likely to continue.

Alternative dispute resolution
Pre-Action Protocol reforms
In our latest alternative dispute resolution series article Tracey Summerell and Akin Akinbode of Dentons UK and Middle East LLP review proposed Civil Justice Council reforms that will impact on pre action protocols.