05 Contract Documentation

Question 1

What contract documentation would you expect to find on a project procured traditionally under a JCT contract?

Answer 1

1. Conditions
2. Drawings
3. Specification
4. Work schedules
5. Schedule of rates
6. Bill of Quantities (not in MW)
7. Employer’s requirements (CDP or D&B contracts only)
8. Contractor’s proposals (CDP or D&B contracts only)

Question 2

What additional contract documentation would you expect to see where a traditionally procured project under a JCT contract had a contractor design portion?

Answer 2

1. Employer’s requirements
2. Contractor’s proposals

Question 3

What contract documentation would you expect to find on a project procured traditionally under an NEC contract?

Answer 3

1. Conditions of Contract
2. Contract Data
3. Price List (ECSC)
4. Activity Schedule (Options A and C)
5. Bill of Quantities (Options B and D)
6. Works Information (i.e. drawings and specification)
7. Site Information
8. Programme (optional in ECSC)
9. Risk Register

Question 4

What sections are included in the JCT Minor Works contract?

Answer 4

• Articles of Agreement
  
  • Date of agreement
  • Party signatures
  • Recitals
  • Articles
  • Contract Particulars
  • Attestation (i.e. execution)
• Conditions
• Schedules

Question 5

What information is contained within the Recitals of the JCT Minor Works contract?

Answer 5

1. Definition of the works
2. Schedule of design information
3. Type of priced document provided

Question 6

What information is contained within the Articles of the JCT Minor Works contract?

Answer 6

1. Contractor’s obligation
2. Contract sum
3. Identifies CA, PD and PC
4. Clarifies dispute/legal proceedings (adjudication mandatory, arbitration optional)

Question 7

What information is contained within the Contract Particulars of the JCT Minor Works contract?

Answer 7

Project specific information:

1. Dates
2. LADs
3. Retention
4. Insurance options
5. Dispute details

Question 8

What information is contained within the Attestation section of the JCT Minor Works contract?

Answer 8

Contract is signed either under hand or under seal

Question 9

Who are the main parties to a construction contract?

Answer 9

Employer and Contractor

Question 10

What is the difference between a contract signed under hand or as a deed?

Answer 10

1. Execution under hand - 6 year limitation period (as per Section 5 of the Latent Damage Act 1986)
2. Execution under seal (aka. as a deed) - 12 year limitation period (as per Section 8 of the Latent Damage Act 1986)

Question 11

What is meant by the term ‘limitation period’?

Answer 11

The period of time, starting from the date of the breach, that an action can be brought for breach of contract

Question 12

What information is contained within the Conditions of the JCT Minor Works contract?

Answer 12

1. Definitions
2. Carrying out the works
3. Control of the works
4. Payment
5. Injury, damages and insurance
6. Termination

Question 13

What information is contained within the Schedules of the JCT Minor Works contract?

Answer 13

1. Arbitration - outlines arbitration process if applicable (must state in the Contract Particulars)
2. Fluctuations Option (contribution, tax and levy changes) - outlines process if applicable (must state in the Contract Particulars)
3. Supplementary Provisions - encourages contractor to work collaboratively, maintain a culture of health and safety, suggest cost savings and suggest improvements to environmental performance where economically viable (all apply unless otherwise stated in the Contract Particulars)

Question 14

What is the Contract Data under NEC and what is included within it?

Answer 14

1. Details project specifics similar to the Contract Particulars under JCT (e.g. dates, delay damages, retention, insurance details, dispute details)
2. In ECSC, contains the Price List, Works Information and Site Information

Question 15

What is the Works Information under NEC and what is included within it?

Answer 15

1. The entire information a Contractor requires in order to know what to build and how
2. Specifies and describes the works (e.g. drawings, specifications, schedules etc.)
3. States any constraints on how the Contractor provides the works

Question 16

What is the Site Information under NEC and what is included within it?

Answer 16

1. All available information for the Contractor to assess the context of the construction and therefore the risks
2. Describes the Site and its surroundings (e.g. boundaries, access routes, known hazards, flood risks, contamination, legislative constraints, existing buildings information etc.)

Question 17

Which of the standard forms of contract require a programme to be included as a contract document?

Answer 17

1. Mandatory inclusion under the NEC forms of contract (except in Short Contract where it must be stated whether one is required) which must be submitted by the Contractor
2. Under JCT contracts, only mandatory for SBC

Question 18

What is the significance of the programme under NEC contracts?

Answer 18

Its function is to become the tool by which change is assessed, progress is monitored and assists in the management of Early Warning Notices and Compensation Events

Question 19

What are the consequences if a Contractor does not submit a programme under NEC?

Answer 19

One quarter of payments can be retained in assessments until it is

Question 20

What is defined cost under an NEC form?

Answer 20

The amount paid by the Contractor in providing the works (excluding any tax which the Contractor can recover) for:

1. People employed by the Contractor
2. Plant and materials
3. Work subcontracted by the Contractor
4. Equipment

Question 21

What document takes precedence in the event of a discrepancy between the specification and drawings?

Answer 21

If a document is to take precedence over another (e.g. drawings vs specification), this should be stated in the prelims, otherwise the CA must issue an instruction to correct errors accordingly

Question 22

How are non-standard amendments included in a standard form of contract?

Answer 22

• JCT - amendments are made via a Schedule of Amendment annexed to the Articles of Agreement
• NEC - amendments are incorporated into the contract via optional Z clauses

Question 23

Is it possible to amend a contract once it has been signed?

Answer 23

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Question 24

How can you include other consultants in a contract?

Answer 24

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Question 25

In your experience, who is usually responsible for compiling the contract documents?

Answer 25

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Question 26

From your experience, how are all the various documents included in the contract?

Answer 26

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Question 27

What contract documentation would your client have to include in order to comply with the CDM Regulations?

Answer 27

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Question 28

How do the different types of pricing document help or hinder your work on a project?

Answer 28

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Question 29

In relation to contracts, what are the benefits of using the NBS?

Answer 29

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Question 30

What is the ranking of contract documents?

Answer 30

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Question 31

On a D&B project, what takes precedence, the employer’s requirements or the contractor’s proposals?

Answer 31

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Question 32

A delay following work by the statutory authority has been caused. What would happen if the contract documents state the contractor has responsibility for statutory undertakings but the contractor’s tender states he does not?

Answer 32

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