It is readily accepted that products, goods, components and materials have to be reasonably fit for their purpose. That is, after all, what statute provides (Sale of Goods Act 1979 and The Supply of Goods and Services Act 1982). But does this also extend to something as big as a construction ...
Now for some magic: this blog is about invisible clauses. Implied Terms If your contract does not have enough terms to be workable, clauses can be added (implied) to make it work properly. They can be added as a result of: (1) Custom (2) Laws or statutes (3) Cases on a similar type of contract. At ...
A net contribution clause is common in appointments and collateral warranties on construction projects. It was the bane of my life as a lawyer! Sharing Losses with Contributions An architect had written his own appointment and included his own version of a net contribution clause, which stated: Our liability for loss or damage ...
If you have to compensate someone for injuries caused when part of your property falls onto them, you may need to pass that loss to others. This article looks at a recent case to discover who was liable. A family were seriously injured in June 2007 when a concrete shopfront and ...
A construction project can be divided into distinct phases. This blog reviews the key decision crunchpoints. But for a wider view see my slideshare on the stages of a construction project. From the Start The project begins when a client considers she has a business need which may be met ...
You can't fail to be aware of the debate going on in the media (social and hard copy) as a result of the announcement from Carillion that it was going to extend its payment terms for subcontractors to 120 days. Buy why does it matter so much? Cashflow is King As far back ...
What are Collateral Warranties? In the construction industry, warranties are unusual documents. The two parties to the warranty (the companies who sign the contract) rarely meet. The parties have little communication with or control over the other. My definition of a warranty is that it is a contract entered into between a member ...
How to Bonds Work? A bond is a contract which allows the recipient (the employer) to bring a claim against the bondsman (a bank or insurance company) if a 'trigger event' occurs during the construction project. They often expire at practical completion of the works and are limited to claims up ...