Contract practice SoE Flashcards
How did you determine the questions for the PQQ?
I produced a list of questions, to determine the contractor’s relevant experience, capacity for the years ahead and insurance requirements.
I would always relate it back to the client brief, whom wanted to get on site quickly so programme was important.
There was also a strict budget therefore cost certainty was a driving factor.
What is NEC?
NEC was first published in 1993 as the New Engineering Contract. It is a suite of construction contracts intended to promote partnering and collaboration between the contractor and client. It is now in its fourth edition, NEC4.
Why did you chose a Minor works with design portion?
Given the CSA was less than £250k and the works were simple in nature.
It was felt it was most appropriate.
The contractor’s design portion was the intrusive surveys.
What’s the difference between sectional completion and partial possession?
Would you typically advise a client against partial possession?
Partial possession requires the contractor’s consent whilst section completion is a contractual obligation for the contractor to meet.
In Belfast 1 and 2, we had issued non-completion certificates and there was no provision for sectional completion in the contractor. Therefore, Partial possession was the best option.
Why was there not sectional completion in the contract?
We forecasted the programme and had various tender responses which all deemed it possible to carry out the project from one continuous start to finish. Going from possession of site to Practical Completion.
What constitutes Practical Completion?
What would your advise to the client be if they wanted you to award PC and to occupy the site but it wasn’t practically complete?
Practical Completion is not defined in the JCT Suite of Contracts and is a vague concept.
it is reliant upon the architect’s and EA’s opinion that works are complete, it should not be conditional.
If i felt the building was not practically complete, I would try and explain to the client why we believe this is the case and the consequences as PC certificates can’t be rescinded once issued.
I would also advise them on the implications of PC, such as insurance requirements, contractor no longer liable to LADs and release of half the Retention.
How long is the typical rectification period?
6 month for JCT intermediate and D&B but usualy changed to 12 months so can be exposed to all four seasons.
3 months in minor works.
How would you deal with a defect that is beyond the contract rectification period?
Depends on if the Contract was signed underhand (6 year limitation period) or deed (12 year limitation period)
After the defects liability period, the building owner does not have a contractual right to insist that the contractor rectifies defects not notified during that period. The building owner must instead seek redress in an action for damages, for breach of contract, or for negligence. In the case of dwellings there is a statutory remedy provided by the Defective Premises Act 1972. These rights of action are not perpetual; actions for breach of contract are time barred after six years from the date of the breach (usually the completion of the building although with a failure of design the breach may have occurred earlier), or for a contract under seal, the period is 12 years
What are vesting certs and what happens if you were to lose materials once the cert was issued?
Vesting certificates can be used as evidence that ownership vests in the client upon payment, defeating third party claims such as claims of retention of title, and can help to identify items, if for example, the contractor becomes insolvent before the items have been delivered to site.
If lost there would be insurance polices in place to replace. When these materials are stored on a contractor’s yard they are still under their insurance policy.
