Contract Practice - Level 3 Flashcards
Manchester Project -Tell me more about your advice on the selection of the most appropriate subcontract form. What criteria did you use?
I reviewed the CDP elements in the contract, which included the design of the steelwork. Therefore, to ensure that the Structural Steel Design was compliant, I advised that ISG should appoint a structural engineer to undertake the design of the required steelwork where they could then provide a collateral warranty for the works.
What pricing document did you use based on the selected option. Explain.
I used a contract sum analysis document which broke down the works into sections so that they could be analysed and then used within the contract as the basis for calculating payments due to the contractor as the works progress.
Tell me about the advice you gave on contract amendments. What terms were amended.
The subcontractor’s liability for liquidated damages was capped at 10x the subcontract amount, where this was amended in the Progress and Completion Section of the subcontract particulars document.
Explain the risks associated with amending standard forms of contract.
The more you change a contract the greater the risk of something slipping through the net.
It’s been drafted by members from professional associations from a number of different parties (clients, main contractors, adjudicators).
The amendment could interfere with other parts of the contract.
Usually, amendments are in favour of the person doing the amendments.
Tell me about your experience in dealing with sub-contractors’ claims.
I have had experience with a decorating contractor who was claiming for excessive re-visits due areas of works that were being damaged due to other subcontractors not finishing their works or amended snags to their works, this was mainly the drylining company. I would therefore ask the subcontractor to photograph these damages, mark up the area on a plan and submit them as part of their claim. Therefore, this information could be forwarded onto the drylining company as a contra-charge.
