JCT Flashcards

1
Q

What does JCT stand for?

A

Joint Contracts Tribunal.

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2
Q

What are some of the contracts in the JCT family?

A

Standard Building Contract.
Intermediate Building Contract.
Minor Works Building Contract.
Maior Proiect Construction Contract.
Design & Build Contract
Management Building Contract.
Construction Management Contract.
JCT Constructing Excellence Contract.
Measured Term Contract.
Prime Cost Building Contract.
Repair & Maintenance Contract.
Homeowner Contract.

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3
Q

What are key proiect characteristics which influence which JCT contract is used?

A

Size, value and type of project.
Need for contractor design.
Certainty on final cost.
Appetite for risk ownership and risk transfer.
Employer experience
Programme requirements.

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4
Q

When would vou use the JCT Minor Works Contract?

A

The contract is designed for smaller, basic construction projects where the work is of a simple nature.
Minor Works Building Contracts are suitable for projects procured via the traditional method

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5
Q

What are the key features of the JCT Minor Works Contract?

A

The employer is responsible for the design. The employer (through its advisers) will need to provide drawings, a specification, or work schedules to specify the quantity and quality of work at tender stage.

If the appointed contractor is to be responsible for designing specific parts of the works, then a Minor Works Building Contract with contractor’s design must be used.

The Minor Works Building Contract is not suitable where the project is complex enough to require bills of quantities, detailed control procedures, or provisions to govern work carried out by named
specialists

Minor Works Building Contracts are normally administered by the architect or a contract administrator.

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6
Q

When would vou use the JCT Intermediate Contract?

A

The contract is designed for construction projects involving all the recognised trades and skills of the industry, where fairly detailed contract provisions are needed, but without complex building service installations or other specialist work.

Intermediate Building Contracts are suitable for projects procured via the traditional method.

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7
Q

When would vou use the JCT Standard Building Contract?

A

Designed for large or complex construction projects where detailed contract provisions are needed, suitable for projects procured via the traditional method.

The employer is responsible for the design. However, Standard Building Contracts also have optional provision for a ‘Contractor’s Designed Portion’ if the appointed contractor is to be responsible for the design of specific parts of the works.

Works can be carried out in sections.

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8
Q

When would you use the JCT Major Project Construction Contract?

A

Designed for large-scale construction projects where major works are involved.

It is used by employers who regularly procure large-scale construction work and the work is carried out by contractors with the experience and ability to take greater risk than would arise under other JCT contracts.

Major Project Construction Contracts are suitable for projects procured via the design & build method.

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9
Q

What are the key features of the JCT Major Project Construction Contract?

A

Often in Major Projects, a ‘novation’ agreement is put in place so that the architect or designer who initially worked with the employer continues to complete the design under the responsibility of the contractor.

The employer usually employs a representative to exercise their powers and functions under the contract.
Project can be carried out in sections.

The employer and contractor have their own detailed in-house procedures, so only limited procedures need to be set out in the contract conditions.

The contractor is responsible for the design, as well as completing the works.

The scale of design work to be carried out by the contractor can vary.

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10
Q

When would you use the JCT Design & Build Contract?

A

The JCT Design & Build Contract is designed for construction projects where the contractor carries out both the design and the construction work. Design & build projects can vary in scale, but the Design & Build Contract is generally suitable where detailed provisions are needed.

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11
Q

What are the key features of the JCT Design & Build Contract?

A

The scale of design work needed to be carried out by the contractor can vary greatly on design & build projects

Contractor will complete a design based on a concept provided through the employer’s advisers or will be responsible for producing and completing the design right from the outset.

The design requirements and responsibility of the contractor in design & build projects go beyond that covered in a traditional contract with a contractor’s designed portion.

The emplover normally uses an agent to administer the contract.

Works can be carried out in sections.

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12
Q

When would you use the JCT Prime Cost Contract?

A

Designed for projects that require an early start on site, often for alterations or urgent repair work (such as fire damage).

Usually the exact nature and extent of the work is not known until the project is underway, so full design documents are not completed until work has commenced.

Suitable for projects procured via the traditional method, using a cost reimbursement or cost-plus payment structure.

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13
Q

When would you use the JCT Measured Term Contract?

A

Designed for use by employers who have a regular flow of maintenance, minor works and improvements projects that they would like to be carried out by a single contractor over a specified period.

Measured Term Contracts are suitable for projects procured via the traditional method, using a measurement payment structure.

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14
Q

When would you use the JCT Construction Management Contract?

A

For use on construction projects where the employer appoints separate trade contracts to carry out the works and a construction manager to oversee the completion of the works for a fee.

Construction management contracts are suitable for projects procured via the management method.

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15
Q

What are the key features of the JCT Construction Management Contract?

A

Works can be carried out in sections.

The contract is used where separate contractual responsibility for design, management and construction of the project is desired.

The employer provides the design and enters into direct separate trade contracts with suppliers to carry out the construction of the works.

The construction manager is appointed by the employer to manage the project and act as an agent on the employer’s behalf.

The construction manager also administers the conditions of the trade contract.

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16
Q

When would you use the JCT Management Building Contract?

A

Management Building Contracts are suitable for large, complex projects, where flexibility and an early start on site is required

Construction is completed under a series of separate works contracts, which the management contractor appoints and manages for a fee.

The management contractor employs works contractors to carry out the construction and the works contactors are directly and contractually accountable to the management contractor.

Works can be completed in sections.
The employer is responsible for the design and this is usually supplied to the management contractor by the architect or design team working on the employer’s behalf.

17
Q

What are the main options for insuring the works under a JCT contract?

A

Option A - The contractor takes out and maintains joint names all risks insurance of the works for new buildings.

Option B - The employer takes out and maintains the joint names all risks insurance of the works for new buildings.

Option C - The only option referring to renovations and involving existing structures. This is where the employer takes our and maintains a joint name all risks insurance of the works and the policy also insures the existing structure and contents against ‘specified perils’.

18
Q

What is contractor’s ‘all risk’ insurance?

A

The essence of the contractor’s ‘all risk’ cover is protection against the physical loss or damage to the works being undertaken.
Sometimes referred to as ‘CAR insurance’.
The policy will pay for repair or replacement of the insured works following damage caused by an insured event.

19
Q

What are specified perils?

A

Specified perils tend to be significant events that would cause very significant damage to the works, including but not limited to:
Fire
Explosions.
Earthquakes.
Flooding, etc.