The Construction Act 2009 (the Local Democracy, Economic Development and Construction Act 2009) came into effect in England from 1st October 2011 (in Scotland from 1 November 2011).
As a result of this legislation all English construction contracts entered into after 1st October 2011 (in Scotland from 1 November 2011) will be governed by new payment, adjudication
and suspension rights (see our website for a useful article on the Construction Act 2009). These new rights and obligations cannot be ignored.
To be compliant with the obligations imposed by the Construction Act 2009 the JCT have published a new suite of contracts (both main contracts and sub-contracts) on 9 September 2011
(the ‘JCT 2011 Contracts’). The detailed list of JCT 2011 Contracts currently published is available on the JCT’s website (www.jctltd.co.uk).
These new and updated JCT 2011 Contracts incorporate, amongst other things, significant changes to the payment provisions to comply with the new payment legislation.
All Employers, Contractors and Sub-Contractors need to become familiar with these new JCT 2011 contracts, particularly in respect of the payment provisions and the potential implications
this may have on their business, including important issues such as, but not limited to:
- Payment notices.
- Default notices.
- Pay less notices.
- Increased suspension rights.
- Revised retention provisions in the Sub-Contracts.
Want to know more? Give Davies and Davies a call!
If you are an Employer, Contractor or Sub-Contractor and want to know more about:
- The new JCT 2011 Contracts; in particular the new payment procedures and how this effects your business and construction contracts.
- The Construction Act 2009.
- The services that we can offer your company.
Then call us today to arrange a free 1 hour consultation.
Please call us or refer to our web-site for the full range of services that we are able to offer you company. In particular, Davies and Davies are able to assist if you require:
- Advice both on the JCT 2011 Contracts and any amendments you may be considering;
- Advice, support and assistance on any problems you may have, for example, getting paid.
- In house training and seminars on the 2011 JCT Contracts, the Construction Act 2009 and/or other legal and contractual matters that affect those in the construction industry.
We would welcome your call so don’t delay – call us today.
Matthew Davies
October 2011
The information & opinions expressed in this
article are not necessarily comprehensive nor do they represent the trenchant
view of the author; in any event this article does not purport to offer
professional advice. This article has been prepared as a summary and is
intended for general guidance only. In the case of a specific problem,
it is recommended that professional advice be sought.
