Articles

Articles in the 2007/August Newsletter

Displaying 10 items

I am please to commence this edition of the Society’s newsletter by recording my continued admiration and thanks for the efforts of our editor Lucy Garrett supported by my fellow executive board member Glenn Godfrey in producing a newsletter which continues to improve and is, I am sure members wi

Section 110(1)(a) in the Housing Grants, Construction and Regeneration Act contains the most important obligation in the Act:

“Every construction contract shall provide an adequate mechanism for determining what payments become due and when…” (emphasis added).

The themes of this August Newsletter are contracts in writing and the DTI Review which as you will all know was published on 20 June 2007.

The Construction Industry Consultation “improving payment practice in the Construction Industry” was published on 20th June 2007. The deadline for responses is 17th September 2007.

The Midlands Region’s most recent event was a talk by Abdul-Lateef Jinadu of Keating Chambers on the pitfalls the adjudicator should avoid. The joint event with the CIArb was well attended despite the hot weather.

The question as to when the term Subject to Contract is effective rears its head again, this time in adjudication proceedings.

For nearly 8 months I have been receiving regular correspondence from a particular respondent in an adjudication where RICS nominated the adjudicator. From day 1 my correspondent has been simply adamant there was never a contract in writing, and therefore no adjudication could take place.

In Melville Dundas Ltd (in Receivership) and Others v George Wimpey UK Ltd (Scotland) [2007] UKHL 18, the House of Lords dealt with the question of whether JCT provisions for payment following a determination on grounds of insolvency were contrary to Section 110 and 111 of the HGCRA 1996.

Section 107 of the 1996 Act has the effect that statutory provisions for adjudication apply “… only where the construction contract is in writing …”.

It is now 10 years since Parliament enacted the Housing Grants Construction and Regeneration Act 1996 (“the Act”) to set up a statutory framework for deciding construction industry disputes using a system of “rough justice”.