Contract Administration Flashcards
Could an e-mail constitute a contract document?
Yes - There needs to be an offer of services and fee, acceptance of that, and the intention to create legal relations
What is a contract?
A contract is an exchange of an act or promise between two or more individuals or business entities. It involves one party (or a group of parties) offering something of value to another party (or group) as payment for a service, item, action, etc.
How are JCT and SBCC different?
SBCC is the Scottish College or ‘branch’ of the JCT and produces building contracts for Scotland by adapting JCT contracts to meet Scottish law and practice.
Key difference - no intermediate contract in SBCC.
What is the Preamble?
Section of the contract which is used to help interpret the rest of the document.
It can include a description of the parties involved or a summary of the tender process.
Should be short and concise - any further details will be included in the main contract document.
What are Preliminaries?
provide a description of a project that allows a contractor to assess costs which, whilst they do not form a part of any package of works, are required by the method and circumstances of the works.
What is an Extension of Time?
What are Relevant Events?
Named Subcontractor versus Domestic Subcontractor
Named - a subcontractor chosen by the client prior to the main contractor being appointed, they are named in the tender and the main contractor can object to using them if they have specific objections.
Domestic - simply the subcontractor chosen by the main contractor to carry out a particular section of the works.
Novation versus Assignment
Novation - a mechanism whereby one party can transfer all its obligations under a contract (and benefits of the contract) to a third party.
Assignment - where contractual benefits are transferred but the contractual burdens are not transferred.
What is the defects liability period?
The duration at the end of the contract, usually a year (but the exact period is confirmed in the contract) after the practical completion certificate has been issued whereby the contractor undertakes to rectify at their own expense any defects that arise due to materials and workmanship.
