Case Study

Question 1

Why are you so adverse to recommending a Letter of Intent for a client?

Answer 1

• lack of robustness
• relevant case law, eg Turner&Townsend vs Abbey Trust
• potential ambiguities

All lead to LOI’s being in advisable

Question 2

Why do you believe additional professional fees would need to be required for the works if another contract was issued? It’s the same amount of works?

Answer 2

• programme was longer due to additional scope introduced
• execution & administration of another contract

Question 3

Is a letter of intent a contractual agreement?

Answer 3

• it’s a letter
• unless signed by both parties, or terminology suggests it is a legally binding contract
• I would also recommend my clients seek legal advice regarding LOI’s

Question 4

What challenges were presented for the refurbishment of 200BPR?

Answer 4

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Question 5

What was the cost £m2 of the asbestos removal?

Question 6

Is there a cost limit on the NEC short form?

Question 7

What could you have done if the design was not complete? How could the contractor have priced the works?

Answer 7

• I am aware they could have implemented Prov Sums, but generally NEC does not allow for Prov Sums under unamended versions
• Could have continued design through construction, but client required cost certainty before entering into main contract

Question 8

What is the GIA of 200BPR?

Answer 8

5,000 m2