Construction Law: June 2016

Editor’s comment
All aboard for open contracting
Editor Nick Barrett forecasts long debates about how to introduce the principles of open public sector contracting which is to be trialled on HS2.

News 
Our regular news round up reports on promises of open contracting to be trialled on HS2; research on maximising the benefits of BIM; and a key court ruling on anti-oral variation clauses.

Legal terms explained
Jenny Barnett of Pinsent Masons explains the meaning of prolongation.

Guest editor
Agreements underpin two stage tenders
Guest editor Ed Freeman of Clyde & Co welcomes widening appreciation of the shortcomings of letters of intent, but sees growth of something similar with the pre-construction services agreements that typically accompany two-stage tendering.

Legislation state of play table
Clyde & Co present our regular round up of the progress of legislation affecting construction passing through the EC and UK legislative systems. Chris Kerr and Alexander Gandhi provide a commentary on new support for Building Information Modelling.

Reports from the courts
Andrew Croft and Natalie Ledger of Beale & Company Solicitors LLP review the most recent court decisions of most interest to construction, including one highlighting the problems that can arise when amending standard forms; and one underlining the importance of payment notice clarity.

Contracts monitor
Mixing cases can cause confusion   
Our contracts monitor Michael Phipps, Principal of Thurston Consultants, continues his scrutiny of the RIBA Concise Building Contract 2014. Some risks may be allocated in ways that are unfamiliar, he warns.

Arbitration
Is arbitration hindering case law?
Doubts about the apparent impartiality of an arbitrator were at the centre of a recent action over his involvement in the process, as Vijay Bange of Trowers & Hamlins reports. Bias is not an issue to be raised lightly, the case demonstrates.

Expert determination
Expert determination becoming more familiar
Brett Hartley of Clyde & Co examines the new supply chain transparency reporting obligations under the UK’s Modern Slavery Act 2015. While targeting larger organisations, all tiers of suppliers operating in the construction sector are likely to feel the effects of the new reporting requirements.

Part 36 offers
Offers to settle might not be a safe bet
Ann Levin and Rebecca Scanlon of Herbert Smith Freehills analyse the impact of changes made to the Civil Procedure Rules last year which mean the courts will consider whether Pt 36 offers are genuine attempts to settle.

Utilities
New utilities and concessions regulations to increase clarity
The Utilities Contracts Regulations 2016 and the Concession Contracts Regulations 2016 came into force on 18 April 2016. Stuart Cairns of Pinsent Masons examines the key changes brought in by their introduction.

Payments
Interim payments – a stricter approach?
The payment regime under the Construction Act has come under the spotlight recently with several important cases having come before the courts. Shona Frame and Greg Sibbald of CMS explain the strict approach being adopted.

Insurance
Smoothing the way for settlement
Insurance expert John D Wright of JD Risk Associates examines some issues that can arise when a claim is made under a policy. Prompt notification of claims is crucial, but over-notifying can cause problems, he warns.

Alternative dispute resolution
Can an adjudicator consider more than one dispute?
In our latest alternative dispute resolution series article Christopher Leadbetter of Clyde & Co reports on a ruling on whether an adjudicator can hear more than one dispute at a time.