Category: STAR

Subcontract flow-down

Subcontractor agreements (subcontracts) are often intended to be back-to-back with the main contract but this can lead to ambiguity and inconsistency for a subcontractor. What happens when the contractor’s works contract sets out a higher quality standard than that in the subcontractor’s contract? Back-to-Back Many subcontracts include clunky attempts to

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Time: essential, critical or desirable?

A contract for the completion of goods, works and services often states an agreed works period or completion date. But is that period/date essential, critical or desirable? An essential term is one without which there is no contract. Under English law, if the parties do not agree a period or

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Create balance

It’s easier to learn from the mistakes of others so let me tell you about one of the worst works contracts I’ve ever reviewed. Although just over 6,000 words (10 pages) long, the building contract was incredibly one-sided because of these terms: A right for the client to cancel the

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5 signs of bad contracts

Even without recessions, pandemics and a ‘cost of running a business’ crisis, not everyone can afford to invest in the legal documents to support their business. However, there are five issues to avoid with writing or using contracts. Copying content If you copy and paste your contract content (irrespective of

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Certainty in practice

When it comes to certainty there are two hurdles for a contract to overcome: Is there enough certainty on essential terms for there to be a binding contract in law? If there is a contract, are all the terms certain enough for the court to interpret and enforce them? This

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Limits, insurance and what is reasonable

One of the most common misconceptions I come across, when delivering contract awareness training to consultants or contractors, is the belief that an insurance policy limits your liability to your clients. It doesn’t. Insurance is merely an asset against which your clients could bring a claim. The impact of the

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Trust and scepticism

As you know, I am a big fan of contracts being tools to enhance trust. This post is inspired by Episode 98 of The Hearing (a legal podcast) on Trust and Scepticism for Lawyers, featuring Dr Larry Richard, Ann Rainhart and Michael Callier. What is trust? Dr Larry Richard says

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Cognitive bias and contracting

What is a cognitive bias? These are shortcuts to help us act and think efficiently, and (in the past) to survive. They also help us understand each other better. Sometimes these are referred to as the curse of knowledge. Not all of these shortcuts are based on logic! There are

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Sustainable construction

The 2022 RIBA Construction Contracts and Law Survey reviewed whether the Net Zero goals of the UK government, the climate crisis and wider sustainability goals were being reflected in contracts for projects. The Chancery Lane Project, Zero Construct and the 17 UN Sustainable Development Goals are all encouraging us to

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More trust in construction

The Dalton Company, based in Toronto, Canada, have trust as a core value in their business. I was introduced to them by Stephen MR Covey, author of the Speed of Trust. This what they said about how they do business (when I interviewed them for CICES back in 2017). Trust-based

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