Which type of contracts are you aware of and have you worked with?
JCT Minor Works, Intermediate and D&B.
What is a relevant event?
A delay to the Contract completion date. Doesn’t always result in additional monies owed to the Contractor. ie adverse weather.
When might an early warning notice be issued?
When someone becomes aware of a matter that could potentially impact the project’s cost, time, or quality.
What is a target cost contract?
It’s a new JCT Contract similar to a D&B Contract, but without the fixed price. There is a target cost which is adjusted throughout the project. The Client and Contractor share the savings and overspends.
What is a compensation event?
Is specific to NEC Contracts for additional time and/or money for events out of their control.
Give an example of a situation where a contractor might be entitled to an extension of time?
Adverse weather. Contract variations issued by Client. Delayed issue of instructions. Material delays from the employer.
Is a contractor always entitled to loss and expense when they are granted an extension of time?
No not always – only if there is a relevant matter.
JCT contracts – which form(s) of contract are you most familiar with?
JCT Minor Works, Intermediate and D&B.
What are the limitations of this form of contract?
JCT MW – No sectional completion, no named sub-contractor provision.
Give me some examples when the JCT Minor Works contract is most suitable.
A simple re-decoration project or a simple internal refurbishment project which doesn’t involve sectional completions or any forms of contractor design.
Give me some examples of the limitations of this form of contract.
No provisions for sectional completion, nominated sub-contractors. No detailed provisions for extensions of time or loss and expense.
What alternative forms of contract would you consider and what factors would make the alternative more suitable?
JCT Intermediate Contract as allows for sectional completion, named sub-contractors, provisions for EOT and loss and expense.
What document(s) would you refer to assist in advising on the most suitable form of contract.
JCT Contract selector flowchart.
What are prolongation costs?
Time related costs incurred by a Contractor.
What current challenges is Covid and/or Brexit bringing to Contract Administration?
Issues with supply chains and obtaining materials in time to meet programme.