With any bond and all guarantees, it is imperative that the document continues to provide a form of surety throughout the life of a project. That means the document has to continue to bite even where there are changes to the project: whether that is changes to the scope, the programme, ...
A few years ago, a developer (Gubbins) appointed an engineering firm (Grimes) for a housing development. Grimes agreed to design a road and the drainage, and obtain the relevant s38 agreement (for adoption of the road by the local authority). That work had to be completed by March 2007. It wasn’t. ...
Imagine you own a patisserie in London and part of your shopfront falls onto a passing pedestrian (a whole family of them). If you had recently had works done to your shopfront then, as the shopowner who is good with patisserie and not really a connoisseur of construction, you might ...
There are five essentials for a contract: offer acceptance intention to create a contract consideration (the price or a promise) and certain & complete terms. A random bundle of letters will rarely be enough for a contract (the image is from Yorkshire Sculpture Park). Whether your letter of intent ...
Warranties, in construction, are unusual documents. The two parties (the companies who sign the warranty) rarely meet and have little communication with and no control over each other. A warranty is: a contract entered into between a member of the project team (the warrantor) and a tenant, purchaser or funder (the ...
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. The precise rules for bringing a claim depend on the words of the bond itself. Getting paid under bonds The ...