Contract Administration (Submission) Flashcards
What is the difference between a JCT Minor Works, Design and Build and Standard Building Contract?
A) JCT Minor Works Contracts are generally designed for use on projects which are short, small and simple in nature.
It follows the traditional procurement route where the design is completed by the Employer’s professional team, such as the drawings and specification, and then a contractor is appointed to construct the works.
Alternatively, there is a MW with CDP for designing specific parts of the works.
A JCT MW shouldn’t be used where:
1) A project is complex,
2) A BOQ is needed,
3) The project has multiple phases or sections, or if works need to be carried out by named specialists.
B) Standard Building Contracts are intended for:
1) Large or complex construction projects, 2) Procured via the traditional procurement route,
3) Where detailed contract provisions are needed.
SBC are available:
1) With Quantities > Where the works have been designed by or on behalf the Employer and there is a BOQ specifying the quality and quantity of works.
Therefore the contractor’s risk is limited to price only and the employer takes the risk of errors in the bill.
2) Without Quantities > Where the works have been designed by or on behalf of the Employer but there isn’t a BOQ.
Here the contract documents will include drawings, specification and Schedule of Rates. The contractor’s risk includes both price and quantity.
3) Approximate Quantities > This is a remeasurement form of contract with no contract sum. It’s used where the design isn’t completed at the time of execution, an approximate BOQ has been prepared and construction needs to be commenced prior to the design being completed.
C) Design and Build is where the contractor is responsible for the design and construction and the contractor’s proposals form the basis of the contract. There isn’t a mention of an architect or QS but instead there is an Employer’s Agent.
What have been the main changes to the JCT 2016 suite since 2011?
1) Revision of the Interim Payment Regime
2) Introduction of the Common Valuation Date
3) Insurance Provisions (such as Option C)
What is the Intermediate Building Contract?
Designed for works that are:
1) Simple in nature; and
2) Require all the recognised industry trades and skills with detailed contract provisions.
3) It has more extensive control procedures than the MW but less detailed than the SBC.
4) Works can be carried out in parts.
What documents did you include with your tender pack for Greenwich?
1) Preliminaries
2) Pre-construction information
3) Drawings
4) Specification
5) Invitation to Tender
6) Form of Tender
What is a Final Certificate?
Final Certificate is issued by the CA confirming that a construction contract has been fully completed.
Issued at the end of the rectification period, releasing all remaining money due to the contractor, including any retention.
By this stage all patent defects should have been remedied and any adjustments to the contract sum agreed and all claims settled.
Can a Final Certificate be disputed?
Yes, it can be disputed within 28 days of issue.
If the Employer intends to pay an amount that is different to what is show on a Final Certificate, what does the Employer need to do?
The Employer must issue a Pay Less notice detailing the amount they intend to pay and the basis for its calculation.
When is a Final Certificate issued?
On completion of the rectification period and the resolution of patent defects.
What is the Interim Valuation Date?
IVD is the date one month following the date of possession. It determines the Due Date for each Interim Payment.
What is the Due Date?
The Due Date is 7 days after the Interim Valuation Date and the Final Date for Payment is 14 days following the Due Date.
