Case Study Questions

Question 1

Given the last redecoration and repair were in 2012 what were the issues to contend with?

Answer 1

The main issues were the timber windows and the condition of the pointing. The windows at high level had been left for years, so has started to deteriorate significantly. A large number of sashes and cills required replacement, and an even greater number of windows required repair.

I also found that the pointing we in poor condition at high level, where in previous exercises, previous contractors had simply been overpointed. The pointing was failing, and I instructed for a large amount of raking out to a minimum 20mm depth and repointing.

Question 2

What is a letter of intent?

Answer 2

A letter of intent is a document that outlines the intentions of parties involved in a construction project before they enter into a formal contract.

Question 3

When and how are Letters on Intent used?

Answer 3

LOIs are often used as a precursor to an official contract.
They can be useful in situations where work needs to start urgently, but the contract wording is still being agreed.
They may be used to enable a supplier or contractor to pre-order materials or to create a site establishment.
However, parties should only use a Letter of Intent if they have no choice and should not use it as a way to avoid resolving negotiation hurdles.

Question 4

Is a LOI binding?

Answer 4

Generally, a letter of intent is not binding in construction. They come in a variety of forms, with different clauses. A letter of intent only becomes binding if it meets certain conditions.

Question 5

What are the implications if the contract falls through after the LOI?

Answer 5

Generally, If the works are cancelled at any stage prior to the execution of Contract Agreements, a letter of Inspection will often include the allowance for cancellation charges will be computed by the Contract Administrator on the basis that all reasonable abortive costs incurred can be substantiated and agreed will be reimbursed.

Question 6

How did your inspection match up with the PMP report and costs?

Answer 6

Prior to undertaking my inspection, I reviewed the planned maintenance programme report that had been produced, previously.
Given the planned maintenance programme had been issued just over a year prior, the general condition of the building was very similar to what I had found during my inspection.
However, the timber windows and pointing, both appeared to have deteriorated between the planned maintenance inspection, and my inspection for the specification.

Question 7

What is pre-construction information?

Answer 7

Pre-construction information is a vitally important part of construction planning, and is a legal requirement in the planning phase of every project.

At its core, pre-construction information involves collecting, collating, and communicating relevant and reasonably obtainable health and safety information before construction work begins.

The aim is to ensure that all parties involved in any project understand the risks and hazards associated with the work, enabling them to take steps to protect themselves and others.

They commonly include building plans and specifications, environmental assessments and safety assessments.

Question 8

Why is Pre-construction information important?

Answer 8

A well compiled pre construction information pack will help to ensure safety by identifying potential risks and hazards, ensure compliance, allows for efficient planning and coordination, can help prevent costly delays by identifying risks and challenges and allows for effective risk management.

Question 9

What is a Health and Safety file?

Answer 9

A Health and Safety File is a file full of health and safety information that serves as a legal record, benefiting both clients and end users.

It includes all of the information needed for future construction and maintenance work which includes cleaning, alteration, refurbishment and demolition. The information in the file is essential to those doing the work. It alerts them to the risks and helps them to decide how to work safely.

A Health and Safety File has to be prepared for all construction projects as part of CDM regulations.

Question 10

Who is responsible for the Health and Safety file?

Answer 10

The responsibility for coordinating the File lies with the Principal Designer, but all duty holders are responsible for providing relevant information.

If the principal designer’s tenure finishes before the end of the project, the responsibility passes to the principal contractor. Once the project is complete, the file is passed to the client. However, health and safety should always be treated as a wider team effort, with everyone feeding into it where appropriate.

Question 11

What is a section 20 notice?

Answer 11

A Section 20 notice (S20) is a notification from a landlord to leaseholders that they intend to carry out work or provide a service that the leaseholders will be responsible for paying towards.

Question 12

Should you have allowed the two other contractors to submit tenders based upon your concerns?

Answer 12

I informed the client that I did not believe the contractors were suitable for the work at hand. However, the client insisted that they were included to satisfy the leaseholders who has recommended them.

On reflection, I would say that I should not have allowed the client to insist on their inclusion, as it was not beneficial.

Question 13

Should you always accept the lowest tender?

Answer 13

No, accepting the lowest tender is not always the most suitable option, or one that provides the best value.

Question 14

How do you keep contractors on side when submitting unsuccessful tenders?

Answer 14

I always inform contractors when they are unsuccessful and provide as much feedback as reasonably possible for them to consider.

I believe this helps to maintain a good relationship with the contractors, so they are not dissuaded from accepting tender invitations in the future.

Question 15

How and when do you report to unsuccessful contractors on the tender bids?

Answer 15

Following an appointment of a contractor, I will write to each of the unsuccessful contractors informing them that they have not been successful on this occasion. I will be clear and respectful.

I provide some general feedback and try to be as positive as possible, as I believe this helps to maintain a good relationship with the contractors, so they are not dissuaded from accepting tender invitations in the future.

Question 16

What information do you give unsuccessful tendering contractors?

Answer 16

I let the contractors know which areas of the tender, where they were competitive, and the areas where they were not. If they were particularly uncompetitive in any areas, I would also highlight this.

Question 17

What is JCT practice note 6?

Answer 17

JCT Practice Note 6 is a guide to tendering procedures in the construction industry.

It covers topics such as:
The relationship between single-stage and two-stage tendering, How to deal with errors in tenders, Pre-qualification, and Model forms.

Question 18

What is Alternative 1 of the JCT Series 2 Practice Note 6?

Answer 18

Alternative 1 of JCT Practice Note 6 is a procedure for dealing with errors in priced tender documents. Under Alternative 1, when errors are found, the tenderer is given details of the errors and the option to confirm or withdraw their tender. They are not permitted to correct the tender price.

Question 19

What is Alternative 2 of the JCT Series 2 Practice Note 6?

Answer 19

Alternative 2 of JCT Practice Note 6 is a procedure for dealing with errors in priced tender documents. Under Alternative 2, when errors are found, the tenderer is permitted to make amendments.

Question 20

What is a qualified tender?

Answer 20

A qualified tender is a proposal that a contractor submits with limitations or reservations if they can’t or won’t provide the services specified in the proposal documents.

Question 21

What is a relevant event?

Answer 21

An event or circumstance that may impact the progress, completion or cost of a construction project. Relevant events are considered grounds for an extension of time.

Question 22

What is a relevant matter?

Answer 22

When the client is responsible for an event that materially affects the progress of the works.

This enables the contractor to claim direct loss and/or expense that has been incurred.

However, a relevant matter does not always result in a delay to the completion date, which means it may not entitle the contractor to an extension of time.

Question 23

Why did you feel your inspection for the spec of works was insufficient?

Answer 23

I felt the inspection was insufficient due to the large number of additional works that were required to rectify the collar joints.

Although my instruction was to prepare a specification for the external repair and redecoration, I believe that I should have also gained entry into the communal areas or a selection of apartments, to review the condition of the high level windows and the surrounding openings.

Question 24

What is collaborative working under the contract?

Answer 24

Is when the parties work with each other and with other project team members in a co-operative and collaborative manner, in good faith and in a spirit of trust and respect.

Question 25

What is the relevance of the base date in the contract?

Answer 25

The base date is used to allocate risk between the contractor and the client for changes that may occur between the tender and contract signing. Which means the risk of inflation between the base date and contract execution lies with the contractor.

However, if the contract execution date is used as the base date, the employer is responsible for the risk of inflation.

Question 26

When would you use sectional completion?

Answer 26

Sectional completion is a construction contract provision that allows for different completion dates for different parts of a project.

It’s commonly used for large projects that are completed in stages.

Question 27

Explain LAD’s. Are they enforceable without loss?

Answer 27

Liquidated damages are a pre-determined sum of money that a contractor pays to an employer when a construction project is delayed, or the contractor breaches the contract.

They are recoverable without the proof of loss. However, the sum entered within the contract documents must be a genuine pre-estimate of the loss at the time, rather than a penalty.

Question 28

What is a pay less notice?

Answer 28

This is notice issued by the client (or the CA on the client’s behalf) confirming that the client intends to withhold an amount from the sum certified. This notice must be issued no later than 5 days before the final date of payment.

Question 29

Large gap between last decoration in 2012. Why so long? What impact did that have on your spec and approach?

Answer 29

The directors of the management company who own the freehold of the building, had only recently taken over from previous directors, who did not prioritise cyclical repair and redecoration.

I would not say that this changed my approach as I still carried out a pre specification inspection and discussed the works in detail with the client, to fully understand their brief. However, the long period between decoration, did suggest that the decoration may be more involved than would normally be expected for properties that redecorate every 5-7 years as advisable.

Question 30

How urgent were these works deemed?

Answer 30

The planned maintenance programme was issued in 2022, with advice to carry out works in two phases, with phase one commencing in 2023 and phase two in 2024. So fairly urgent.

Question 30

Did actual contract value meet estimated costs in PMP? If not, why not?

Answer 30

The actual costs were slightly higher than the planned maintenance costs.

However, this was largely due to the clients request to include the overhaul and recovering of six balconies, which included amendments to the metal balustrades.

Question 31

You talk about the initial conversations you had with the client. What kind of questions did you ask? How was this communicated and recorded?

Answer 31

I had a good understanding of what sort of repairs and redecorations were required, after reading the planned maintenance report. However, I wanted to understand from the clients, if there were any other aspects that they wanted to be included or if they had any preferences on materials or aesthetics.

I asked questions on elements that were not already being considered, such as the balconies. I also wanted to understand how the property was used by the residents, so that I could ensure the specification was written with consideration to their needs.

Question 32

Could you have done anything to identify the collar joints earlier? What would you do next time if anything to avoid that?

Answer 32

Yes. I believe that I should have conducted a more detailed initial inspection of the higher levels of the building and arranged for access to the communal areas and a handful of apartments, to provide a better view.

For future project I would consider the above, or instructing a drone survey to include the upper levels.

Question 33

What is a collar joint?

Answer 33

Is a vertical space between masonry and a back up construction that can be filled with mortar. It is typically designed to act as a barrier to prevent wind-driven rain from migrating inward.

Question 34

Could you have done anything else repair wise for the collar joints? Did you offer that? Was that ever a consideration?

Answer 34

Yes, but only where the collar joint had not failed. However, as a lot of the collar joints had failed and cracked, the only suitable repair was to rake out the mortar and reinstall. Any other repair would only have been temporary.

The client was also sure that they wanted to carry out a full repair to reinstate the original detail to preserve the building and the traditional methods used.

Question 35

How did you get confirmation of the additional funds? How were the variations presented to the client?

Answer 35

When I first noticed the condition of the collar joints, I raised this with the client and the contractor. As further areas of the building became accessible as scaffolding was being handed over, I continued to update the client.

When I realised that this was a general item, I discussed this with the client, who was keen to ascertain a price for their replacement.

I asked the contractor to provide a price for removing and replacing the collar joints on a wholesale basis. I asked for costs for each level of the building.

I then presented the client with different options and after some negotiation with the contractor, the client confirmed they were happy to instruct the works and had access to the necessary funds.

Question 36

What effects or impacts would have been felt if you did not issue an EoT?

Answer 36

If the contractor had no right to an extension of time and had not completed by the contract end date, I would have issued a non-completion certificate, which signals the start of certain procedures and potential consequences for the contractor, such as liquidated damages.

Question 37

Was the extent of scaffolding not clarified in the specification? Could this have been discussed/clarified earlier to present two better choices to the client?

Answer 37

Yes, this was clarified in the specification and all other contractors submitted a price for this item without any qualifications. On reflection, this is something that I could have clarified with the contractor at an earlier stage, before the post tender interview.

However, at this stage, they were still one of the most eligible contractors for consideration.

Question 38

Why did you discard the cheapest contractor (who was recommended by a leaseholder)? Was it justified?

Answer 38

Yes, I believe the discarding of this contractor was justified, for two reasons.
1. The contractor failed to comply with Alternative 1, and did not stand by their price. Instead, they submitted a revised cost.
2. Even if the contractor had stood by their cost, their submitted price for the decoration work was abnormally low and could have lead to them cutting corners when carrying out the works.

Question 39

How would you execute the contract better in the future?

Answer 39

I would ensure that a more thorough inspection from ground and of higher elements using other access measures, is undertaken prior to finalising the specification, to include any reasonably foreseeable issues.

I would be firmer with the client and insist that only contractors with relevant experience and those that are suitable for the project are included within the tender list.

Lastly, I would be more programme focused, and ensure that reference to the programme is made during every site meeting and report. This will help to identify delays as early as possible so they can be navigated or avoided.

Question 40

How does the PMP and the works spec work with one another?

Answer 40

The planned maintenance programme is a report and capital expenditure plan that a client would use as a guide to programme when certain works are required and budget costs. However, the PMP cannot be used as a specification, as it is only a report with recommendations.

A detailed specification is required for each area of work, which should then be tendered. When writing the specification, the PMP can be used as a guide for the surveyor.