Contract responsibilites

Question 1

What are the essentials of a contract?

Answer 1

• Offer and acceptance
• Intention to create legal obligation
• Genuine consent
• Capacity
• Consideration
• Possibility of performance
• Contract documentation and features
• Deposit and signing a contract

These elements must be present for a contract to be legally enforceable.

Question 2

Define a contract.

Answer 2

A contract is an agreement which gives rise to obligations which are enforced or recognised by law

Contracts create legally binding obligations between parties.

Question 3

What occurs during the exchange of contracts in property transactions?

Answer 3

All has been agreed, neither side can pull out, buyer has paid a deposit, it becomes a legally binding document

The deposit is usually ten percent of the property value.

Question 4

What is the purpose of a search in property transactions?

Answer 4

To ensure people are aware of what they are getting and to prevent issues

A search must be produced by the local council.

Question 5

What are the components of a search?

Answer 5

Up to 4 parts

These parts are required to ensure comprehensive awareness of property issues.

Question 6

What types of information can be found in the land registry?

Answer 6

• Land home ownership
• Mortgages
• Charges
• Easements
• Restrictive covenants
• Right of way
• Past ownerships
• House prices

The land registry is the main source of information relating to land.

Question 7

Name the three methods to solve disputes in construction.

Answer 7

• Courts
• Arbitration
• Mediation

Each method has its own processes and implications.

Question 8

True or False: Courts are typically a quick and inexpensive method for resolving construction disputes.

Answer 8

False

Courts can take a long time and are often expensive.

Question 9

What are the three different arbiters for different aspects of building?

Answer 9

• RIBA (design)
• CIOB (management)
• RICS (money)

Each arbiter specializes in a specific area of the construction industry.

Question 10

What is mediation?

Answer 10

A flexible and confidential process used to settle a dispute between two or more parties

Mediation is often less formal and can be quicker than arbitration or court.

Question 11

Fill in the blank: Disputes in construction are usually between the _______ and main contractor.

Answer 11

[client]

Issues often arise from lateness, quality, or financial disagreements.

Question 12

List some common causes of disputes between clients and contractors.

Answer 12

• Lateness
• Quality
• Money

These issues can lead to significant conflicts in construction projects.