Money, money, money: a look at payment issues in construction contracts

The final in our series of January refreshers looks at payment, specifically at the terms of the Construction Act, payment disputes, and what happens in the event of insolvency. The Construction Act The Housing Grants, Construction and Regeneration Act 1996 as amended by the Local Democracy, Economic Development and Construction Act 2009 – better known…

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Houston, we have a problem: Standard of Workmanship & Defects

In last week’s article we looked at risk allocation in a construction contract. In this, our slightly delayed (luckily no LADs apply!) but penultimate article in our series, we turn our attention to: Standard of workmanship and design; and Defects. Standard We are all familiar with the requirement in construction contracts to carry out works…

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Time after Time: Amey LG Ltd v Aggregate Industries UK Ltd [2019] EWHC 3488 (TCC)

Amey, the main contractor in relation to refurbishment works of Sheffield’s road network, engaged Aggregate as subcontractor to undertake surfacing, planning and civil engineering works. The court granted two declarations concerning the deadline for submitting a final statement under a subcontract and Aggregate’s right to refer interim payment disputes to adjudication. The subcontract provided that…

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Everwarm Ltd v BN Rendering Ltd [2019] EWHC 3060 (TCC)

The Scottish Government launched the Home Energy Efficiency Programme Area Based Scheme in 2014, aiming to increase funding of external wall insulation and consequently reduce fuel poverty in Scotland. Everwarm, a provider of energy efficiency advice, secured a great deal of work under the scheme and, in order to keep up with demand, outsourced a…

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Allocation of Risk

Continue at your own risk Construction projects involve a number of variables, each of which present risk– market forces, weather conditions, grounds conditions and workforce issues (to name a few favourites!) all of which can cause delays and/or impact on cost. It essential, therefore, for parties entering into a construction contract to: fully assess the…

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Up first: Liquidated Damages

What we already know (or should know…) Liquidated and ascertained damages, otherwise known as ‘LADs’, are an agreed fixed sum which act to compensate the Employer if the Contractor is in default. In the context of construction contracts LADs apply to delay. If a Contractor fails to complete by the Date for Completion the fixed…

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