JCT updates standard Design and Build Contract

The Joint Contracts Tribunal (JCT) has launched a new 2016 edition of its Design and Build Contract ‘family’, which it says provides a series of essential updates and enhanced flexibility for users.

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Construction Law: October 2016

Editor’s comment    
Survey reveals procurement gulf
Editor Nick Barrett says Brexit might open an opportunity for worthwhile changes to infrastructure procurement rules, but a survey has revealed the large gulf between what procurement professionals on the client side would like to see and what construction suppliers will find beneficial.

News                  
Our regular news round up includes the launch of a long delayed government consultancy framework; a survey that claims construction is especially vulnerable to slavery; and another survey that reveals a need for greater transparency of the public sector project pipeline.

Legal terms explained
Alistair Price of Pinsent Masons explains good faith.

Guest editor
Contracts can support BIM 
Our Guest Editor Professor David Mosey, Director of the Centre of Construction Law and Dispute Resolution at King’s College London, reviews the legal issues surrounding Building Information Modelling. Recent research points the way towards contracts and procurement that can help achieve BIM Level 3 ambitions, he argues.

Legislation state of play table 
Clyde & Co review the progress of legislation affecting construction as it passes through the UK and EC legislative systems. Chris Kerr provides a commentary on planning for nationally significant infrastructure projects.

Reports from the courts 
Our latest round up of the court cases of most interest to construction from Andrew Croft and Natalie Ledger of Beale & Company Solicitors LLP focuses on a decision highlighting that the natural meaning of the words used will be the primary consideration in the interpretation of construction contracts; and another underlining the importance of agreeing and documenting contract variations.

Contracts monitor
Watch out for paper tiger 
Contracts monitor Michael Phipps, Principal of Thurston Consultants, continues his scrutiny of RIBA’s Concise Building Contract 2014. More careful wording could make it easier to use in places, he argues.

Design information
Design information – a modest proposal
Marion Rich, Director of Legal and Contractual Affairs of the British Constructional Steelwork Association, sees a steady and rapidly growing stream of problems arising from design information shortcomings. Rather than pursuing new initiatives, focus on making existing ones work, she argues.

Contracts
Fee and overhead under NEC3
Laura Tetlow of Pinsent Masons LLP looks at the perceived lack of understanding of what ‘fee percentages’ in NEC3 Engineering and Construction Contracts (NEC3 ECC) are intended to include, highlighting some common pricing conundrums.

Digital construction
Legal implications for BIM Level 3
A fundamental rethink about contractual arrangements will be needed to realise the government’s ambitions for Digital Build Britain, says Shona Frame of CMS. BIM Level 3 will throw up new challenges that will need to be met with appropriate contractual solutions.

Payments
Payment schedules – simple or stitch-up?
Contractors were stunned by a recent court decision that seems to undermine the use of payment schedules as a means of simplifying complicated payment regimes. Vijay Bange of Trowers & Hamlins explains the background and predicts repercussions.

Overseas
Setting up shop in Qatar
Football’s World Cup will be held in Qatar in 2022, creating even more opportunities for construction companies from the UK. Andrew Jones of Dentons reviews the legal and commercial hurdles to be overcome.

Insurance
Subrogation rights – simple in theory complex in practice
Insurance expert John D Wright of JD Risk Associates examines the case law relating to how subrogation impacts on claims under policies. Subrogation rights can be lost because of contractual terms, he warns.

Alternative dispute resolution
Brexit brings unwelcome uncertainty 
Our latest alternative dispute resolution series article by Russell Banfi and Tim Axtmann of Clyde & Co warn that uncertainties surrounding Brexit may contribute to damaging London’s status as an arbitration centre.

Survey reveals procurement gulf

Possibly to the surprise of some, procurement professionals in the UK appear to see Brexit as an opportunity not to scrap the EU procurement directives but to reform them.

Read more

Contracts can support BIM

Our Guest Editor Professor David Mosey, Director of the Centre of Construction Law and Dispute Resolution at King’s College London, reviews the legal issues surrounding Building Information Modelling (BIM). Recent research points the way towards contracts and procurement that can help achieve BIM Level 3 ambitions, he argues.

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Legal terms explained: Good faith

The concept of good faith is a cornerstone of many civil law jurisdictions and is gaining traction in common law jurisdictions such as Australia and Canada. In England and Wales, good faith is still a developing area of law.

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Firm pleads guilty after housing site foreman run over

Surrey based housing developer Crest Nicholson Operations has been fined £800,000 after a contractor was run over by a construction vehicle while working on one of its sites in Wokingham.

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New service aims to prevent project disputes

The Royal Institution of Chartered Surveyors Dispute Resolution Service and project consultancy ResoLex have launched an innovative joint service designed to minimize the prospect of disputes erupting on major infrastructure and property development projects.

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Project Bank Accounts compulsory in Scotland

The Scottish Government has published guidance on the implementation of Project Bank Accounts before they become a requirement in certain public construction contracts from the end of next month.

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Delayed framework to tender

Tender documents have at last been issued by the Crown Commercial Service (CCS) for the long delayed government consultancy framework.

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