Law Additional Flashcards
Advantages of using a standard form of contract
Avoids writing terms for each project
Familiarity from use and experience
Fairly represents interests / allocating risks
Savings in negotiation and drafting time/cost
Accurate supply chain quotations
Contract document 3 sections
Articles of agreement
Conditions of contract
Appendices
Articles of agreement
Identify parties to contract
what is to be constructed
what is to be pad
what parties have agreed to do
Conditions of contract
Facts for carrying out contract
Starting / completion date
Liquidated or delay damages
Appendices
Facts for carrying out construction
Specification
Bill of Quantities
NEC4 Clause 17.1
PM to give instruction resolving any ambiguity or inconsistency
NEC Stand For
New Engineering Contract
NEC Key Issues
Mutual trust
Co-operation
Good Project Management
Reduce conflicts / confrontation / adversarial situations from early warning requirement
NEC Contract Objectives
More flexible in scope
Greater stimulus to good PM
Simple wording / clearer
Risks managed proactively and identified as part of contract
New features of NEC4
Multi-party alliance contact integrating a risk and reward model
Advanced guidance and practical advice to contract users
NEC4 Core Clauses
General Contractors main responsibilities Time Quality Management Patment Compensation Events Title Liabilities and insurance Termination
Main Option Clauses
Option A - Priced contract with activity schedule
Option B - Priced contract with bill of quantities
Option C - Target contact with activity schedule
Option D - Target contract with bill of quantities
Option E - Cost reimbursable contract
Option F - Management Contract
Option A
Design and build
Option B
Tells contractor quantity of work
Option C
No Lump Sum
Option D
Traditional Contract
Option E
Pure cost plus contact
least used
Most Popular
Option C / D
JCT
Joint Contracts Tribunal
JCT Attempts
To provide balance between Employers Contractors Sub-contractors Consultants On an number of contractual issues
Conditions of Contract JCT
9 Sections
Defintions and Interpretation Carrying out the Works Control of the Works Payment Variations Injury / Damage / Insurance Assignment, Performance bonds, Guarantee, 3rd Party rrights Termination Settlement of disputes
The 8 Schedules of JCT
Design Submission Procedure Variable and Acceleration Quotation Insurance Options Code of Practice Third Party Rights Forms of Bonds JCT Fluctuations Option A Supplemental Provisions
Differences of JCT 2005/16
BIM being incorporated
Comply with Public Contract Regulations
Update provisions relating to named specialists
Requirements to reflect CDM regs
NEC4 Optional CLauses
Changes in Law
Inflation
Delay damages
Termination by Client
