You are owed thousands of pounds and face a real struggle to survive due to one bad contract and one personality you could do without…sound familiar? So, what do you do? Typically, if you are not facing fabricated contra charges you will be asked to substantiate your account, even when you think you have done so!
John Elven, Senior Consultant at Arbicon, discusses the importance of acting in accordance with the requirements of NEC Contracts as a means of promoting dispute avoidance. NEC contract disputes often arise where there has been a failure to follow the requirements of the contract. In view of this, it is essential to read and understand your NEC contract, and then do exactly what it says. By doing this, those involved with NEC projects are in a far better position to get things right from the start and to prevent disputes from arising in the first place.
The term ‘loss and expense’ in construction is often used to describe any additional costs that a Contractor incurs following breaches of contract by the Employer such as delay and disruption. Read our tips on how to submit a successful loss and expense claim.
The three fundamental essential elements of any construction contract are PRICE, TIME and SCOPE. Price and Scope are often only perceived as required by contracting parties, without any serious consideration for TIME. Time is money, so on any construction project it is little wonder that often when a project is delayed or delivered late, a construction dispute will arise.
The purpose of a Pay Less Notice is to give the paying party the legal right to pay less than/withhold all or part of an already notified sum, altering the payment due to the payee near to the end of the payment cycle. The Pay Less Notice must specify the ‘notified sum’ for payment, and the basis on which the sum has been calculated, even if that is zero or negative. We have put together steps on how to challenge a Pay Less Notice if you disagree with it.
It is well known that construction contracts can bring problems with them if not drafted to contain the correct terms or are ambiguous. Even when a contract is written correctly, things can go wrong, and sometimes get out of control. Determining when a breach of contract has occurred and whether it is a repudiatory breach is fundamental to understanding your rights and resolving a construction claim.