Our latest edition of Constructive Comments brings you a roundup of developments affecting the construction sector.
Brexit and Construction Contracts
In this article we look at some of the key risks for the construction industry arising from Brexit, our experience of how contractors are currently seeking to address these risks in contract negotiations and what reactions we are seeing from employers, together with a consideration of issues around enforceability of judgments overseas.
Adjudication and Insolvency: Are the two compatible?
A review of recent Court of Appeal decisions about the rights of insolvent companies to bring adjudications.
Clancy Docwra v E.ON
A salutary tale of the importance of the technical documents in a contract, and how the description of the scope of the works is key as the court finds that a clause seeking to pass the risk of adverse ground conditions to a sub-contractor fails to bite as it only applies to the sub-contract works and can't take effect so as to extend their scope.
The issue of the prescriptive period applicable to claims under collateral warranties has also been considered by the Scottish courts. This article looks at their conclusions and analyses the significant differences between prescription in Scotland and limitation in England that you should be aware of.
Know your Limitation Period
A look at the recent case of Swansea Stadium Management Co Ltd v City and County of Swansea (1) and Interserve Construction Ltd (2) which gives guidance as to the limitation period applicable to claims under a collateral warranty governed by English law and whether the date of execution of the warranty by the beneficiary affects that date.
Signs of a Hardening Professional Indemnity Insurance Market?
In 2018 a potential hardening of the insurance market was predicted. In this article we look at the reasons for this and signs that the market is indeed hardening and the impact that this will have on the construction industry.
More on True Value Adjudications
In the first reported case on "true value adjudications" since the decision in Grove v S&T, the court has considered whether the decision in a subsequent true value adjudication can be used as a defence in an action to enforce the original adjudicator's award.
Q&A with Aisling McNulty, Development Director at Bruntwood
In our guest article in this edition we talk to Aisling McNulty, a development director at Bruntwood about her work and challenges for the construction and development industries.
Service of Proceedings against foreign states and other non-UK entities
We look at the decision in the recent case of General Dynamics UK Limited v State of Libya and consider how appropriate contractual provisions can assist in the service of proceedings against both foreign states and more generally against non-UK entities.
Project Bank Accounts
A briefing on the recent Private Member's Bill to make the use of project bank accounts mandatory for all public sector schemes over £500,000.
Construction Act and Invoices
We consider how an employer's requirement for invoices to enable it to make payments to its contractor can be accommodated within the contractual payment process and how this fits with the requirements of the Construction Act.