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PRACTICE NOTES
ARCHIVED: This Practice Note has been archived and is not maintained. This Practice Note summarises the key changes made in the FIDIC Red, Yellow and Silver Books 2017 (second editions) as compared with the 1999 ‘first editions’ of those contracts. FIDIC launched the second editions at its 2017 annual users’ conference in December 2017. It intends to publish its own guide to the contracts in due course, as it did following publication of the 1999 editions. For a report on the 2017 conference, see News Analysis: FIDIC Red, Yellow and Silver Books 2017: conference report. Errata to the second editions were subsequently published in December 2018 (see News Analysis: Errata to FIDIC 2017 contracts published) References to clauses are to clauses in the Red, Yellow and Silver Books 2017 unless otherwise stated. Aims of the update The key aim of the update was to increase clarity and certainty so that each party knows exactly what it has to do, and when. The forewords to the Red and Yellow Books state that the goal was to achieve
NEWS
Arbitration analysis: The Economic Chamber of the Amman Court of First Instance issued a groundbreaking judgment addressing the topic of extending arbitration agreements to non-parties through indirect claims. Mohammed Shraideh, of counsel, and Mahmoud Abuwasel, managing partner, Wasel and Wasel explore the case.
PRECEDENTS
Please read the following important terms and conditions before you buy anything from us and check that they contain everything you want and nothing that you are not willing to agree to. Summary of some of your key rights: The Consumer Rights Act 2015 says goods must be as described, fit for purpose and of satisfactory quality. During the expected lifespan of your product you’re entitled to the following: • up to 30 days: if your goods are faulty, you can get a refund; • up to six months: if it can’t be repaired or replaced, then you’re entitled to a full refund in most cases; • up to six years: if the goods do not last a reasonable length of time you may be entitled to some money back. You DON’T have a legal right to a refund or replacement just because you change your mind, BUT please ask us about our returns policy as we may still be able to help. This is a summary of some of your key rights. For detailed information from Citizens Advice please
NEWS
This week’s edition of Employment weekly highlights includes: (1) a further important update on the HMCTS reform project, including a link to a YouTube video walking professional users through the online portal process, (2) the calling of a General Election on 4 July 2024 and the implications for employment law and pensions reform, (3) the latest Labour Party plans for employment rights, (4) regulations completing the commencement of REUL(RR)A 2023, (5) regulations to bring into effect the Code of Practice on Dismissal and Re-engagement, (6) company car advisory fuel rates from 1 June 2024, (7) an EAT decision finding a tribunal had applied the wrong test when considering liability of agents under the Equality Act 2010, (8) a Court of Appeal decision on the scope of contract worker discrimination, (9) a letter from the Chair of the Women and Equalities Committee setting out key the themes and conclusions of its inquiry into the rights of older people, (10) publication of the Inclusive Britain second update report, (11) the Paternity Leave (Bereavement) Act 2024, (12) a First Tier Tax Tribunal decision on CJRS claims, (13) the ‘falling’ of the Data Protection and Digital Information Bill in the General Election ‘wash-up’, (14) a successful High Court trade union strike out application of claims arising from a workforce reorganisation, (15) a High Court decision upholding the confidentiality of misappropriated documents, despite previous deployment in tribunal proceedings, (16) the Council of the EU adoption of the Corporate Sustainability Due Diligence Directive, (17) a new Practice Note from the Lexis+® UK Employment team tracking the main political party employment pledges and policies ahead of the General Election, (18) dates for your diary, (19) updates to our case tracker, legislation tracker and horizon scanner, and (20) new Q&As.
Q&As
Definitions The Town and Country Planning (Use Classes) Order 1987 (UCO 1987), SI 1987/764 puts uses of land and buildings into various categories known as 'use classes'. See Practice Note: Operation of the Use Classes Order in Wales. The Schedule states: 'Class A1. Shops Use for all or any of the following purposes— (a) for the retail sale of goods other than hot food… …where the sale, display or service is to visiting members of the public.' For further information, see: • The Classes of TCP (Use Classes) Order 1987: Butterworths Planning Law Service [398]–[399] The term ‘retail’ and ‘shop’ have been considered by the courts in various circumstances (for example, see Cawley v Secretary of State for the Environment)
NEWS
Construction analysis: With the ever present issues of price escalation, availability of materials and the general state of the world, it seems timely to address some of the key issues in dealing with insolvencies in the construction supply chain. Whilst lawyers are often accused of being ‘doomsday preppers’, according to the Insolvency Service the total number of construction firms becoming insolvent in the 12 months to March 2026 was 3,827. This article by Sean Cooley, associate at BCLP, pulls together a crash course list of key issues to consider where there may be insolvency in your construction supply chain through the lens of the employer.
Q&As
For information on the contractual right to lay-off generally, see: • the section: ‘Lay-off generally’ of Practice Note: Redundancy payments for lay-offs and short-time, and • Harvey on Industrial Relations and Employment Law, E [287]–[296]: Lay-off (Generally) According to Harvey, E [287]) ‘In common industrial parlance, a 'lay-off' occurs when the employer temporarily shuts down its operation because it cannot find any or enough work for its employees. A typical cause is a depleted order book, but the problem might arise from want of supplies or raw materials (for example, because of industrial action at a supplier), or because the workplace is temporarily unusable (for example, because of fire or flood), or otherwise. The situation is susceptible of several different analyses in law, depending on the circumstances.’ The various cases cited in that paragraph relate to circumstances of inclement weather,
PRACTICE NOTES
Targets to reduce the amount of waste sent to landfill and technology innovation have led to the development of new waste infrastructure in the UK. In general, there are two main contracting structures for these projects: • waste Private Finance Initiative (PFI) and Public-Private Partnerships (PPP) infrastructure contracts, and • merchant waste infrastructure contracts This Practice Note focuses on waste PFI/PPP infrastructure contracts. For background information on waste projects, including common types of waste projects, see: Waste projects—overview. Waste PFI/PPP projects Waste PFI/PPP projects are long-term contractual arrangements between public sector entities and a private sector provider whereby the public sector outsources its waste management services and waste to a private operator under which the operator agrees to receive some (or all) of that public body's waste. The private sector partners generally design, build, finance, maintain and operate the waste infrastructure assets and related services which generally carries any risks associated with construction, operation and maintenance. PFI and PPP have very similar characteristics, although a key difference is the way in which the project
PRACTICE NOTES
Starting a new role can be daunting, especially where you are transitioning to an organisation that is new to you and you need to get to grips with the differences between working in private practice and in-house. First and foremost, don’t panic. Assuming you’re not immediately hauled into meetings, you should spend your first week getting to know your working environment, line manager, and colleagues. Even if you do find your diary fills rapidly, it is important to block out a couple of hours each day to tackle the basics—this will pay off in abundance later. This Practice Note is intended for lawyers taking up a new role in-house. It is aimed at sole in-house lawyers but will also be relevant to you if you are joining an established legal team. This Practice Note is designed to provide you with some practical tips about how to settle yourself into your role and suggests actions to take in your first week. It is also intended to provide comfort if things are not quite as they seemed
PRACTICE NOTES
What are project bank accounts? Project bank accounts are ring-fenced bank accounts set up for construction projects, where the purpose of the account is to make payments directly to the contractor, sub-contractors, key members of the team and supply chain (which may include consultants) on contractually agreed dates. The parties further down the construction chain do not have to wait for the contractor or other party above them in the contractual chain to pass on payment to them—payment is made directly by the bank at the same time as payment is made to the contractor. These arrangements offer the supply chain security that payments will be made without delay, and that payments properly due will be protected if the main contractor becomes insolvent. Project bank accounts are more likely to be used in higher value projects—given the set-up and administrative costs, and potential need to train the team who are unfamiliar with such arrangements, parties may see them as inappropriate for smaller projects (a review by one large contractor in 2014 confirmed this, suggesting that they
NEWS
Law360, Expert Analysis: Global energy supply chains depend on a limited number of critical maritime corridors and fixed infrastructure. Lisa Richman, Fabio Cozzi and Milo Molfa, all partners of McDermott Will & Schulte contend that international arbitration can serve as a dispute resolution tool in the context of the Hormuz crisis.
PRACTICE NOTES
FORTHCOMING CHANGE relating to the International Controlled Transactions Schedule: At Budget 2025, the government announced that it would be proceeding with a requirement for in-scope multinationals to report information annually on cross-border related party transactions for accounting periods beginning on or after 1 January 2027. A consultation on this measure had run from April to July 2025. (See News Analysis: Budget 2025—Tax analysis—International.) The technical regulations for this new ‘International Controlled Transactions Schedule’ (ICTS) were published for technical consultation on 16 June 2026, along with a draft ICTS notice and template illustrating the information that would need to be filed. The consultation closed on 31 July 2026. FORTHCOMING CHANGE relating to OECD Transfer Pricing Guidelines: On 1 June 2026, the OECD opened a public consultation on proposed revisions to Chapter VII of its Transfer Pricing Guidelines, covering special considerations for intra-group services. The OECD stated that the revisions are not intended to change the general principles underlying the transfer pricing analysis of intra-group services; rather, their primary objective is to ensure alignment