Case Study Flashcards
Why didn’t you consider Management Contractor?
This was considered, however seeing as the Client wanted to re-engage with previously appointed subcontractors. During negotiations and to ensure that they are getting paid he wanted to have direct trade contracts with the subbies to ensure payment.
How did you make your Client aware that they needed resource for CM?
I advised the Client that there was 14 different trade packages required at the time to complete the works which would’ve required 14 difference trade contracts which would’ve required administration, several valuations and cost reports. The Client would have to be actively involved in decision making.
What form of contract did you advise for CM?
Construction Management Appointment for the CM
Construction management Trade Contract for the Trade contractors
When the Contractor went into administration what did you do?
I advised the Client to secure the site and potentially hire security, advise them to review the insurance of the site. Contact where materials off-site were stored. I carried out an immediate valuation of the works to ascertain the works complete to date before producing a ‘notional’ final account.
Can you talk me through the ‘Notional’ Final Account?
What would be included in a Final Account statement, Variations, Provisional Sum, Materials on/off site, claims. To advise Client of financial situation.
Some of sub-contractors were owed money, how did you feel when re-negotiating trade packages?
I advised the Client that this would be a risk as sub-contractors may try to claim monies lost from the Client whereas other sub-contractors would not do this and price the works as seen. With a potential risk allowance.
Did you include any monies lost when negotiating to allow them to recover?
I advised the Client that they did not owe the sub-contractors any monies contractually, however I was not privy to the negotiations between parties.
- Why do you think they didn’t take your advice?
Deemed the tender period to be too long and wanted to take on risk and responsibility for Trade Contracts
What is repudiatory breach?
A breach of contract that gives the aggrieved party the right to choose either to end the contract or to affirm it.
I.e, if the Client terminated before contractor’s adminstration confirmed on companys house
Different types of insolvency?
Compsulory Voluntary Arrangment (CVA)
Administration
Liquidation
Different types of defaults under JCT?
Non-compliance with CDM
Non payment
Non-compliant with works
Denied Access to site
Termination timeline?
Default starts
Employer issue notice
if 14 days later the default continues
Then Employer can terminate within 28 days
Termination vs determination
Determination - termination of Contractor employment
Termination - Contract comes to an end
What are the different types of listing definitions?
- Grade 1 – Exceptional interest i.e., Buckingham Palace
- Grade 2* - Particular interesting buildings (5.7%)
- Grade 2 - Special interest (95%)
How do you determine if a building is listed?
The National Heritage List for England (NHLE) contains details on whether a building is listed.
