Construction Law prepares for Brexit

The latest edition of Construction Law arrives on subscriber’s desks this week, with its usual blend of indispensible and expert advice and comment and regular features such as the Legislation State of Play Table from Clyde & Co that monitors the progress of legislation as it passes through the UK and EC legislative systems. With Brexit forcing the unravelling of 40 years of legislation this feature will become more important than ever and our Brexit related analysis will be expanded to keep you fully abreast of the changes.

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Consultation launched on Fee for Intervention disputes

The Health and Safety Executive is seeking views on proposals to revise and make fully independent the process it uses for considering disputes in relation to its Fee for Intervention (FFI) initiative. A consultation began on 21 April and runs until 2 June.

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Contractor awarded £1M after car showroom dispute

Construction company Bell Building Projects (BBP) has been awarded more than £1M in damages after its contract to build a new showroom for a car dealership was terminated while development work was under way.

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Drop in safety inspectors prompts concern

Workers’ lives are being put at risk following a 25% reduction in the number of Health and Safety Executive (HSE) inspectors since 2010 according to trade union Unite.

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Government criticised over schools capital funding

An influential committee of MPs has accused the Department for Education (DfE) of spending “well over the odds” in its bid to create 500 more free schools while existing schools remain in poor condition.

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Construction Law: May 2017

Editor’s comment    
Procurement off the rails
Editor Nick Barrett say the HS2 conflicts of interest controversy suggests that the UK’s procurement problems extend well beyond the usual civil service whipping boys.

News
This month’s news round up focusses on further developments in the Edinburgh school building scandal; a survey alleging a disconnect between law firms and their clients; and a report suggesting employees would not report unethical business behaviour because of career fears.

Legal terms explained
Ann Levin and Kemi Adekoya of Herbert Smith Freehills explain on demand and conditional performance bonds.

Guest editor
Keep calm and carry-on
Guest editor Darryl Royce of Atkin Chambers says the position relating to debt recovery costs in adjudication remains unclear despite a court ruling that many seem to think has brought clarity.

Legislation state of play table
Our regular update of the progress of legislation as it passes through the UK and EC legislative systems comes from Clyde & Co. Jamie Calvy and Emily Morris provide a commentary on the Budget.

Reports from the courts
Our regular review of the cases of most interest to construction from Andrew Croft and Simii Sivapalan of Beale & Company Solicitors LLP focuses on a ruling that highlights the importance of keeping an eye on limitation periods when counterclaims may be likely; and one that underlines the importance of issuing payment and/or pay less notices in time.

Contracts monitor
Consistent wording hard to achieve
Contracts monitor Michael Phipps, Principal of Thurston Consultants, scrutinises the insurance provisions of the JCT Minor Works Building Contract. Keeping insurers abreast of changes to wordings of clauses is essential, he cautions.

CL guides
CL Guide to: Two stage tenders
In the latest of our ‘nuts and bolts’ guides Rachel Chaplin of DLA Piper explains how two stage tendering works. A key benefit of this approach is early contractor involvement, but there are also potential drawbacks.

Collaboration
Collaborative consulting  
Three new forms of professional services contract have been published in the early months of 2017, by the ACE, the IChemE and FIDIC. All seek to promote collaborative ways of working, as Tom Pemberton of Beale & Company Solicitors LLP explains.

Procurement
Teething problems with Scottish public procurement
After a year of life under the new Scottish public procurement rules Graeme Young and Helen Fyfe of CMS Cameron McKenna LLP examine how they are bedding in. The goal of a quicker and simpler tendering process is still to be achieved, they find.

Arbitration
More transparency in arbitration
Raid Abu-Manneh, Juliana Castillo and Rachael O’Grady of Mayer Brown examine the new ICC Rules 2017 and explain their potential impact on construction arbitrations. More transparency is promised, which could be of benefit.

Contracts
Is NEC Option X.15 fit for purpose?
NEC reverses the normal burden of proof for defects, placing the onus on the contractor to prove that his design was not defective. Max Wieliczko and Katherine Doran of Holman Fenwick Willan LLP ask whether NEC’s ‘reasonable skill and care’ contractors’ design option is really fit for purpose.

Insurance
Joint names clauses create own problems
Insurance expert John D Wright of JD Risk Associates reviews the development of joint names insurance clauses in construction contracts, noting that they have not prevented disputes reaching the courts. Who bears the risks in any given situation continues to be a question not always easily answered.

Alternative dispute resolution
Security and arbitral awards
In our latest alternative dispute resolution series article David Owens and Rebecca Evans of Clyde & Co LLP report on a Supreme Court ruling on a very long running dispute that provides clarity on aspects of the arbitration enforcement regime.

News in Brief: May 2017

MACE has opted not to pursue legal action against High Speed 2 Ltd over its botched handling of the procurement process for the £170M phase 2b development partner contract.

To read more of this and every other news story on this site, please log in with your Construction Law membership account details. If you don't have an account, you can get free access to the news on this site and receive a free newsletter on Fridays by creating a Newsletter account. See the panel to the right.

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Keep calm and carry-on

Guest editor Darryl Royce of Atkin Chambers says the position relating to debt recovery costs in adjudication remains unclear despite a court ruling that many seem to think has brought clarity.  

This story is only available to subscribers to the printed edition of Construction Law. If you have a subscription please log in to read the rest of the story.

Reports from the courts: May 2017

Our regular review of the cases of most interest to construction from Andrew Croft and Simii Sivapalan of Beale & Company Solicitors LLP focuses on a ruling that highlights the importance of keeping an eye on limitation periods when counterclaims may be likely; and one that underlines the importance of issuing payment and/or pay less notices in time.

This story is only available to subscribers to the printed edition of Construction Law. If you have a subscription please log in to read the rest of the story.

Consistent wording hard to achieve

Contracts monitor Michael Phipps, Principal of Thurston Consultants, scrutinises the insurance provisions of the JCT Minor Works Building Contract. Keeping insurers abreast of changes to wordings of clauses is essential, he cautions.

This story is only available to subscribers to the printed edition of Construction Law. If you have a subscription please log in to read the rest of the story.