Legal Context influencing Building Contracts

Question 1

Sale of Goods Act 1979

Answer 1

• implies terms into contracts for sale of goods regarding title correspondence, with description, quality and fitness for purpose and sale by sample.

Question 2

The Supply of Goods and Services Act 1982

Answer 2

applies to contracts for:

• works and materials
• hire of goods
• contract services - implies terms regarding care and skill, time of performance and Consideration.

Question 3

Unfair Contract Terms Act 1977

Answer 3

Renders exclusion clauses void that:

• exclude liability for death or injury resulting from negligence
• exclude liability for sections of Sale of Goods and Supply of Goods and Services Acts where they are operating against any person dealing as a consumer.

Question 4

The Housing Grants, Construction and Regeneration Act 1996

Answer 4

Contracts falling into the definition of the Act must contain:

• the right to stage payments
• the right to notice of the amount to be paid
• the right to suspend work following non-payment
• the right to take disputes to Adjudication.

Question 5

The Contracts (Rights of Third Parties) Act 1999

Answer 5

• enables third parties to enforce terms against person who is a party to the contact
• third party rights may be granted if contract states this
• the third party must be identified within the contract - the contract may expressly exclude or limit liability.