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Guide to JCT Standard Building Contract 2016 (PDF)

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About

Edition: 2017
Pages: 178
Author(s): Sarah Lupton
Publisher: RIBA
Language: English
Size: 129 Mb

The fourth edition of this guide covers the latest version of the JCT Standard Building Contract, published in 2016 (previous editions covered the 1998, 2005 and 2011 forms).

Some significant changes have been introduced into SBC16. The interim and final payment procedures have been redrafted to consolidate and simplify the clauses, and the result is significantly shorter and clearer than the previous version. The procedures and time limits for notification and assessment of loss and expense have also been tightened up and clarified. In addition, the contract now incorporates and updates provisions from the JCT Public Sector Supplement relating to Fair Payment principles, transparency and BIM.

Provisions for performance bonds and parent company guarantees have been added, and arrangements to secure provision of third party rights/warranties from sub-contractors have been revised.

The Guide is intended primarily for consultants, such as architects or surveyors, who are advising clients on contracts and who may be acting as contract administrators. However, it is frequently used by others in the construction field, for example contractors, subcontractors and clients, and is popular with students. It will also be of use to lawyers who need an introduction to the form or a quick reminder of its key features.

The Guide retains the structure and style of previous editions. It does not assume any prior knowledge of either SBC16 or any previous editions of the form. The subject is covered by topic, rather than a clause-by-clause commentary. Brief introductions to legal concepts are included where necessary to understand the form’s provisions. Short case summaries are included for court cases cited in the text, to help practitioners understand the context of the legal point being made. However, the Guide focuses on the form itself, its practical application and the roles of and decisions to be made by the parties and the contract administrator.

Content:

Foreword
About the author
About this Guide
1 About SBC16
Key features
Deciding on SBC16
Changes in the 2016 edition
2 The contract documents
‘Contract Documents’
Contract drawings
Contract bills
Employer’s requirements
Contractor’s proposals
CDPanalysis
BIM and other protocols
Other documents
Activity schedule
Information release schedule
Health and safety documents
Bonds
Sub-contract documents
Use of documents
Interpretation, definitions
Priority of contract documents
Inconsistencies, errors or omissions
Errors in the contract bills
The contract bills and contract drawings
Employer’s requirements and contractor’s proposals
Divergences from statutory requirements
Custody and control of documents
Assignment and third party rights
Assignment
Third party rights/warranties
Procedure with respect to third party rights and warranties
3 Obligations of the contractor
The works
Contractor’s design obligation
Extent of design liability
Level of design liability
Materials, goods and workmanship
Obligations in respect of quality of sub-contracted work
Compliance with statute
Other obligations
Programme
Possession by the contractor
Progress
Completion
Pre-agreed adjustment
Extensions of time
Principle
Procedure
Assessment
Partial possession
Use or occupation before practical completion
Practical completion
Procedure at practical completion
Failure to complete by the completion date
Liquidated damages
Control of the works
Site manager and contractor’s persons
Employer’s representative
Clerk of works
Principal contractor
Information to be provided by the contract administrator
Information provided by the contractor
Contractor’s design submissions
Schedule 1 procedure
Contract administrator’s instructions
Variations
Variations to the contractor’s designed portion
Defective work
Testing work
Non-compliance with clause 2.1
Sub-contracted work
Domestic sub-contractors
Listed sub-contractors
Named specialists
Work not forming part of the contract/persons engaged by the employer
Making good defects
Sums properly due
An approximate quantity
Provisional sums
Defined work
Undefined work
Valuation of variations
Schedule 2 variation quotations
Valuation by the quantity surveyor
Reimbursement of direct loss and/or expense
Fluctuations
7 Payment
Advance payment
Interim certificates - timing
Procedure for ascertaining amounts due
Coverage of the certificate
Value of work properly executed
Unfixed materials
'Listed Items’
Costs and expenses due to suspension
Sum due
Retention
Bond in lieu of retention
Advance payments and bonds
VAT
Payment procedure
Payment when no certificate is issued
Deductions
Contractor’s position if the certificate is not paid
Contractor’s position if it disagrees with amount certified
Interim payment on practical completion
Final certificate
Payment when no final certificate is issued
Conclusive effect of final certificate
8 Insurance
Injury to persons and damage to property
Damage to property not caused by the negligence of the contractor
Insurance of the works
Action following damage to the works
Terrorism cover
Professional indemnity insurance
The Joint Fire Code
Other insurance
The contract administrator’s role in insurance
9 Termination
Repudiation or termination
Termination by the employer
Insolvency of the contractor
Consequences of termination
Termination by the contractor
Consequences of termination by the contractor
Termination by either the employer or the contractor
Termination of a named specialist’s employment
10 Dispute resolution
Negotiation
Alternative dispute resolution
Adjudication
Arbitration
Arbitration and adjudication
Arbitration or litigation
Appendix A: Specimen activity schedule
References
Publications
Cases
Legislation
Clause Index
Subject Index

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