W&C Contract Revision

Question 1

Why would you use a SBC

Answer 1

For larger works designed or detailed on behalf of the employer

Drawings and specification supplied to the contractor which define scope and quality of the work.

The contract is administered via a CA

Question 2

What are the articles of a contract

Answer 2

It sets out the parties obligations and agreed legal course of action.

1) contractors obligations
2) contract sum
3) Contract Admin / Architect
4) QS
5) Principle Designer
6) Principle Contractor
7) Adjudication
8) Arbitration
9) Legal proceedings

Question 3

What is included in Section 1 of the contract?

Answer 3

Interpretations

Question 4

What is included in Section 2 of the contract?

Answer 4

1) contractors obligations

2) possession

3) supply of documents
Construction info

4) errors discrepancies and divergences

5) CDP design work

6) fees, royalties and patent rights

7) unfixed materials and goods

8) adjustment of completion dates
Relevant events

9) practical completion, lateness and Liquidated damages

10) partial possession

11) defects

12) CDP

Question 5

What is included in Section 4 of the contract?

Answer 5

Section 4 = payment

Contract sum and adjustments

Interim payments

Payless notices

Retention

Loss and expense

Question 6

What is included in Section 5 of the contract?

Answer 6

Section 5 = Variations

Question 7

What is included in Section 6 of the contract?

Answer 7

Section 6 = Injury, damage and insurance

Personal injury and property damage

Insurance of the works and existing structures

Professional indemnity insurance

Joint fire code

Question 8

What is included in Section 7 of the contract?

Answer 8

Assignment
Performance Bonds
Guarantees
Third party rights
Collateral warranties

Question 9

What is included in Section 8 of the contract?

Answer 9

Section 8 = termination

By employer

Default by contractor
Insolvency of contractor
Corruption and regulation

By contractor

Default by employer
Insolvency of employer

Question 10

What is included in section 9 of the contract?

Answer 10

Settlement of disputes

Mediation
Adjudication

Question 11

What are contract recitals?

Answer 11

The statements that provide background information about the intent of a contract.

Question 12

What is the liability of CDP portions

Answer 12

£10,000,000
Ten million

Question 13

How long is the defects liability period

Answer 13

12 months

Question 14

What is retention set at

Answer 14

5%

Question 15

What is the contractors public liability insurance set as?

Answer 15

£20,000,000
20 million

Question 16

How is PC defined and certified?

Answer 16

When works are complete to a standard when the employer can occupy the space, aside from minor snagging. Beginning of the defects liability period.

The CA will issue a certificate of practical completion which may include

• Practical completion statement
• Letters of reliance
• Principal designer letter of comfort
• Principal designer H&S file
• O&Ms
• Snagging list