Drawings Generally, the drawings are produced by the design team. Many modern buildings are complex so that the production of the relevant drawings is itself a process which must be coordinated and planned. Drawings provide a model of the design, concept and ideas behind a building. Formal drawings will be required as the basis of a planning application. Further detailed drawings will comprise the instructions […]
Construction Contracts Covered The Construction Contracts Act 2013 applies to contracts for the carrying out of construction operations, arranging for the carrying out of construction operations by others whether under subcontract or otherwise, or providing his own labour or labour of others for the carrying out of construction operations. A construction contract includes an agreement to do architectural, design, or surveying work, providing advice on […]
Scope The Construction Contracts Act 2013 introduced provisions in Ireland, similar to those in force in England since 1996. Construction contracts covered by the Act are contracts for the carrying out of construction operations, arranging for the carrying out of construction operations by others whether under sub-contract or otherwise, or providing his own labour or labour of others for the carrying out of construction operation. […]
Termination and Discharge Building and engineering contracts generally provide for termination of the contractor’s employment in the case of specified serious breaches. There is generally a procedure involving notice. There will commonly be a warning period upon the expiry of which, the termination takes effect if there has been no intermediate remediation. Typically, the procedure discharges the obligations of one party. The provisions of the […]
Standard Contracts Background The standard forms of building contracts used in Ireland have evolved through a number of editions since the 19th century. The Irish contracts and British contracts have a similar broad origin. In the UK, the Joint Contracts Tribunal was established in the 1930s and became responsible for subsequent revisions of the standard form contract. The Royal Institute of the Architecture of Ireland […]
Taking Possession The contractor is to set the date for taking possession of the works. The contractors is to begin the works, y proceed with them and complete them on or before the date(s) of completion specified. This is subject to the various provisions for the contractor which potentially liable for extension of time. If the date for possession is deferred,, the contractor is entitled […]
Breach of Building Contracts The purpose of damages is to place the innocent party in the position in which he would have been in, if the contract was performed in accordance with its terms. The general principles of damages apply. See the sections on damages. The person claiming damages must mitigate his loss. This requires that he take reasonable steps to minimise the loss. In […]
Overview Subcontracts are common in the construction and engineering industries. This reflects specialisation, efficiency, the increased skill base and complexity. General contractors employing all various trades and specialists are very rare in modern times. Construction contracts usually limit the extent to which the main contractor may undertake its contractual obligations through subcontractors. The consent of the employer or contract administrator to subletting the works will […]
Administrator and other Roles Building and engineering contracts of any significant scale, provide for the appointment of an architect, engineer, or other professionals to administer the contract. In the context of building contracts, an architect usually administers the contract. Architects are commonly appointed under standard RIAI terms of engagement. His obligation is not to be on the site constantly but to make such visits as […]
Types of Insurance The RIAI contract deals with three insurance issues relevant to the works. The first is the obligation to insure against loss of property. The second obligation is to insure against injury to employees and members of the public and third party. The third relates to defects in the actual works themselves and the buildings of which they form part. The first two […]
Nature of Collateral Warranties Collateral warranties are commonly given in construction projects. A collateral warranty is a contractual obligation, usually undertaken by a consultant, contractor or subcontractor to a third-party with whom he does not have a direct contractual relationship. Contractual warranties will typically be required by the terms of the tender. The contractual warranty provides a link and liability which would not otherwise exist. […]
Professionals Appointment The professional appointment will define the terms of the consultant’s authority. In the case of the architect, he will typically have a very wide-ranging authority. The extent will depend on the extent of services he provides. The general rules of agency apply. The architects and engineers have no direct relationship with the contractor. They owe duties under the contract to certify in good […]
Guarantee Account On the signing of the contract or issue of a letter of intent whichever is earlier, the employer is to pay a sum equal to two months’ average payments (calculated in accordance with the tender) into a guarantee account in the joint names of the employer and contractor) This is to be used to pay the contractor. On presentation of architect certificates the […]
Arbitration If a dispute arises between the parties regarding any of the provisions of the contract, it is to be referred to conciliation in accordance with the conciliation procedures published by the RIAI in agreement with the Society of Chartered Surveyors and the Construction Industry Federation. If the settlement of the dispute is not achieved under the procedures, either party may refer the dispute to […]
Employer’s Role The employer has a passive role under a building contract. His principal obligation is to facilitate access to the works for the contractor and pay monies certified as due under the contract when due. The employer must cooperate with the contractor where necessary to enable the contractor to discharge his duties. He must not interfere with the contractor in carrying out his obligations. […]