JCT Contract Flashcards
Please explain the components of a JCT Contract?
- Agreement
- Recitals
- Articles
- Contract Particulars
- Attestation
- Condition
- Schedules
What is included in the agreement of the contract?
States who the contract is between, including names and addresses
1. The employer
2. The contractor
How many recitals are there?
There are 13 in total
What is the First Recital?
States the employer wished to carry out and the address
Where would you find in a JCT contract the CDP elements?
The CDP will be documented in the second recital of a JCT Contract
What is Recital 3?
Details the drawings
What is the Fourth Recital?
The 4th recital details what contract documents the employer must supply to the contractor
What is the Fifth Recital?
Details what pricing document has been used by the contractor
What is included in the Sixth Recital?
Document which describes the contractor’s proposals in response to the design elements documented in the Second Recital
What is included in the Seventh Recital
The employer confirms satisfaction of the employer’s requirements.
What is included in the Eighth Recital
Status of the employer
What is included in the Ninth Recital?
IRS Schedule produced by employer
What is included in the Tenth Recital?
CDM Regulations - if the job is notifiable
What is included in the Eleventh Recital?
Division of work into sections
What is included in the Twelfth Recital?
If the contract is supplemented by a Framework agreement
What is included in the Thirteenth Recital?
If Supplementary provisions apply
What are the 6 supplementary provisions?
- Collaborative Working
- Health and Safety
- Value Engineering
- Sustainability
- Performance Indicators
- Disputes
How many Articles are there in the JCT contract?
9
What is Article 1 and what does this require of the contractor?
Article 1 is the contractors obligation to carry out the work in accordance with the contract documents
What is Article 2?
The contract sum
What is Article 3?
States who is the Contract Administrator in the contract
What is Article 4?
States who is the quantity surveyor for the contract.
What is Article 5?
States who is the principal designer for the contract
What is Article 6?
States who is the principal contractor for the project
What is article 7?
Right to adjudicate
What is Article 8?
Right to arbitration
What is Article 9?
Right to legal proceedings
Under Clause 2.5 of the contract how long can the employer defer possession of site?
Maximum period of 6 weeks
What is stated in clause 2.23.2 of the contract particulars?
Liquidated damages
What is stated in clause 2.3
Rectification period
Where would you find the correct level of PI cover for CDP?
Clause 6.19
Where would you find the requirements for collateral warranties?
Under clause 7.3 of the contract
What options of insurance are there?
Under clause 6.7 and schedule 1:
Option A – New build where Contractor insurers Works
Option B – New build where Employer insurers Works
Option C – Alterations or Extensions where Employer insurers Works & ES
Is it possible to have a contract that is GMP?
Many contracts can be amended to make them a GMP contract, however if circumstances changes due to risk items or employer changes the contractor will be entitled to claim for loss which will lead to client misunderstanding and false expectations.
JCT Constructing Excellence uses the term GMP, but does allow contract sum to be adjusted for change or risk.
Under a JCT D&B Contract, is there a precedence between the employer’s requirements and contractor’s proposals?
No - there is confusion on this matter as an agreement could not be reached during drafting
Should a standard form be ammended?
No necessarily but some are common and fairly standard, such as removal of fluctuation provision. Most standard forms will require some amendment but this should be kept to a minimum to preserve the essential nature of the JCT.
What is a lump sum contract?
A lump sum contract requires the contractor to perform its obligations identified in the construction contract and complete works for a specified sum of money excluding compensation events.
What is a fixed price contract?
The contract sum is not to be adjusted for price/inflation increases.
Under D&B contracts what are the contractor’s obligations?
- Complete the design of the work - reasonable skill and care
- Carry out and complete the construction of the works in a proper and workmanlike manner.
What is the contractor’s design liability under D&B?
Reasonable skill and care, NOT fit for purpose (Clause 2.17.1)
What is the default rectification period on D&B?
6 months
Whose cost is it if the employer’s requirements are not in accordance with Statutory requirements?
The contractor
What if there are discrepancies in contractor prposals?
Contractor asks employer to recommend a resolution and must bear this cost.
What if there is a discrepancy in the employers requirements?
The contractor proposal prevails, unless the employer wants to change this document which will constitute a change
When can a contractor temrinate
- Non payment
- Date of possession differed by 2 months on D&B
