Contract Practice Flashcards
What are the Relevant events
They are events that entitle the contractor to extension of time
What are the relevant Events
/ Variations
/ Instructions
/ Execution of an approx quantity
/ Deferment of possession of the site
/ Suspension by the contractor from non-payment
/ The carrying out of work by statutory authorities
/ Impediment, prevention or default by the employer
/ Loss or damages occasioned by the specified perils
/ Exceptionally adverse weather
/ Strike
/ Terrorism
/ Force Majeure
/ Exercise of any statutory power
Main items you would include in a interim Valuation
/ preliminaries
/ Measured work
/ Variations
/ Materials on site
/ Materials off site
/ Loss and expense
/ Retention
What is retention of title clause
/ Where a subcontractor retains the ownership of materials until they are paid for by the contractor
What is a fixed price contract
/ Where adjustments to the contract sum are limited to changes in statutory contributions
What is the date for completion
It is the date fixed and stated in the contract
how does this differ from the completion date
This is the date of completion that may be adjusted with EOT
What is partial possesion
Where the employer requests and the contractor consents to the employer taking possession of the works before the date for completions
What are collateral warranties
/ They create contractual links between the main parties of a contract with an external third party
/ Used in case of main contractor insolvency
What are the common clauses in a collateral warranty
They should mirror the main contract
What is an assignment
Where the rights and benefits of one contractual party are transferred to another
What is novation
Novation is where a new contract transfers the rights and obligations of one contractual party to a new third party
/ Assignment is the transfer of contractual rights or contractual benefits only as burdens
What is reasonable skill and care
Ordinary skill and cared expected of an competent man carryout out a service
What is fitness for purpose
/ The provision of a service that is suitable for the employers intended purpose
/ It is a more onerous obligation
what is the difference between insurance and indemnity
Indemnity is to protect against legal responsibilities or to compensate
insurance is a fund that enabale the indemnifying party to make any payments that may arise
