Reports from the courts: November 2024

Our regular round up of the court decisions of most interest to construction comes from Andrew Croft, Ben Spannuth and Daniela Miklova of Beale & Company Solicitors LLP who examine a judgment supporting the Scottish law position that an adjudicator’s decision as to liability for their fees cannot be challenged, even if the adjudicator’s decision is later reversed; and another that serves as a reminder that parties are under a duty to mitigate their losses, so only reasonable costs should be incurred owing to another party’s alleged breach, and parties must be able to evidence that such costs have been reasonably incurred.

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Reports highlight causes of disputes and cost failures

Our latest Analysis series article looks at two recent reports that highlight causes of disputes and management failures on projects. Causes are reasonably easy to pinpoint; solutions remain elusive.

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Construction Law Guide to: EPC Contracts

The latest in our CL Guides series comes from Joanne Bennett and Daniel Warren of DLA Piper UK LLP who look at what EPC contracts involve.

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JCT Design and Build 24: Ground condition risk allocation

Michael Allan of Pinsent Masons LLP examines the JCT Design and Build contract treatment of ground conditions risk. Additional provisions and reliefs have been introduced in the 2024 revision to deal with asbestos, contamination and unexploded ordnance.

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Fail to prepare, prepare to fail – mitigating the risk of contractor insolvency

Andrea Leigh of Trowers & Hamlins LLP looks at what can be done to protect against the worst impacts of contractor insolvency. Project Bank Accounts and alliancing contracts are key measures that offer protection to the supply chain.

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Adjudication and collateral warranties

Doug Wass of Macfarlanes looks at the recent Supreme Court decision on whether collateral warranties are to be seen as construction contracts under the Construction Act. The decision brings certainty to what was a confused picture.

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Adjudication enforcement: let’s set-off again!

Karen Gough of 39 Essex Chambers warns that set-off is very unlikely to succeed as a defence to adjudication enforcement proceedings. Recent court decisions show that applications that undermine the prompt payment obligation in the Construction Act may be technically permissible, but will not succeed.

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The claims process

Insurance expert John D Wright of JD Risk Associates explains the process of making a claim under an insurance policy- a potential minefield for the unwary he warns, as there are many reasons why a claim may not be paid in full, or at all.

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Renewable energy disputes – new energy, old disputes

Akil Jackson of Dentons UK and Middle East LLP considers alternative dispute resolution (ADR) in the context of renewable energy contracts, asking what approach is being taken and whether there a preference for a particular type of ADR.

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Legislation state of play table 294

This table, prepared by Alignment Media, provides a regularly amended guide to new and proposed legislation that will affect the construction industry. In addition to EU Directives and UK legislation, the table includes notes highlighting discussion papers issued by both government and non-government organisations, and commentary on the latest developments.

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