The Most Frequently Asked Questions Within Construction
A Construction agreement in writing may seem disproportionate in many cases, but it is likely to save valuable time and money long term, along with providing much-needed peace of mind to all parties involved.
It is important to have a Construction agreement reviewed by a specialist solicitor before being fully entered into, in order to check that the terms are correct and any unusual provisions have been fully taken into account. We have a team of experts who are experienced in providing exactly this service.
Construction is an area of law that, like many others, can have areas of complexity. We are on-hand to make the process as simple as possible and provide guidance wherever it’s needed.
Below you will find a rundown of the most frequently asked questions on Construction, including helpful answers for each. If you have any other questions that are not answered here, please feel free to get in touch with us today.
Construction Frequently Asked Questions
A JCT contract is essentially a set of ‘off-the-shelf’ template agreements that are available to purchase for anyone wishing to enter into a building contract with another party. The JCT was formed in 1931 and the suite of agreements offered by it are standard form building contracts which parties can use to document construction projects.
As a general rule, a builder is not under any legal obligation to provide a standalone guarantee for work. However, consumers employing a building contractor for works will have certain statutory rights under the Consumer Rights Act 2015. In the event of a dispute, though, there is still the ability to bring a claim for breach of contract and there may also be manufacturer guarantees for any goods or appliances provided as part of the project, which the builder should pass to the customer/business on completion of the project.
One of the key pieces of legislation affecting the construction industry is the Housing Grants, Construction and Regeneration Act 1996 (HGCRA 1996), as updated by the Local Democracy, Economic Development and Construction Act 2009. This Act deals with two important commercial issues: payment and adjudication. Most construction agreements relating to commercial construction projects will be covered by the HGCRA 1996 (subject to some exceptions) and the party carrying out the construction works will be entitled to payment in stages as a result. The contractor will also be entitled to suspend work for non-payment.
The Construction (Design and Management) Regulations 2015 (known as the CDM Regs) are also important for construction projects as they cover health and safety on-site and it will usually be necessary to state in the construction agreement who will be responsible for compliance with these regulations.