Construction Law: July 2018

Editor’s comment
Procurement reform pressure mounts
Editor Nick Barrett says the need for reform of construction’s procurement and contractual regime is being highlighted by the Grenfell Tower disaster inquiry and the Dame Judith Hackitt report.

News
This month’s news round up features an update on project performance at Sellafield; reports highlighting growing payment delays in construction; and a call for contractors to co-operate with the Grenfell inquiry.

Legal terms explained
Lucinda Hill and Michael Mendelblat of Herbert Smith Freehills explain the meaning of no oral modification clauses.

Guest editor
Big ambitions seen in 25 Year environment plan
Guest editor Helen Bowdren of Dentons UK & Middle East LLP says the government’s 25 Year Plan for the Environment may be light on new legal obligations but it does provide useful pointers to possible future policy developments. Net environmental gain might become mandatory, she warns.

Legislation state of play table
Clyde & Co provide an update on the progress of legislation affecting construction as it passes through the UK and EC legislative systems. Tim Axtmann and Hannah Merriam provide a commentary on the Review of Building Regulations and Fire Safety.

Reports from the courts
Our regular round up of the court decisions of most interest to construction from Andrew Croft and Ben Spannuth of Beale & Company Solicitors LLP looks at a Scottish case that highlights the interaction between design obligations and workmanship obligations; and another that introduces a new ground for seeking to resist enforcement of an adjudicator’s decision.

Contracts monitor
No bid no bar to future tendering
Our contracts monitor Michael Phipps, Principal of Thurston Consultants, continues his review of the JCT Tendering Practice Note, moving on to the final stages, including notifying unsuccessful tenderers of the outcome.

CL guide
CL guide to FIDIC
In our latest Construction Law Guide Rachel Chaplin and Alexander Studholme of DLA Piper provide an introduction to FIDIC contracts.

Adjudication
Adjudication enforcement: plugging the gap or opening the floodgates?
David Skelton of Womble Bond Dickinson examines the ‘fast track’ procedure for adjudication enforcement decisions established by the Technology and Construction Court. Defendants to enforcement proceedings have been provided with a new defence by recent cases.

Building regulations
Buildings regulatory framework not fit for purpose
Dame Judith Hackitt’s much-anticipated final report on building regulations and fire safety was published on 17 May 2018. Stephen Radcliffe of Walker Morris LLP considers the report and the implications for the construction industry.

Insurance
Joint names insurance – still a problem for sub-contractors
Insurance expert John D Wright of JD Risk Associates describes the problems for sub-contractors thrown up by joint names insurance policies. Case law has done nothing to remove uncertainties, he argues.

Immigration
Impact of Brexit on the construction workforce
Jessica Pattinson of Dentons warns that the construction industry is facing an unprecedented impact from Brexit as the supply of labour from the EU countries comes under threat. Employers will have to ensure compliance to immigration law.

Retentions
Time to scrap retentions?
Some 40% of construction clients already operate quite happily without requiring retentions and the list is growing. Peter Kitson, partner at Russell-Cooke reviews current practices and examines some alternatives – but why not scrap them, he asks?

Alternative dispute resolution
Ongoing duty of disclosure for arbitrators and adjudicators
In our latest alternative dispute resolution series article Chris Leadbetter of Clyde & Co reports on an appeal court ruling that underlines the disclosure duties of arbitrators and adjudicators.