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PRECEDENTS
The Contract comprises the completed Standard Building Contract Without Quantities 2016 published by the JCT subject to the following amendments: RECITALS Fifth Recital Fifth Recital Delete the Fifth Recital and substitute: ‘The Contractor has supplied the Architect/Contract Administrator with a master programme and a Schedule of Information Requirements.’ Twelfth Recital Twelfth Recital Delete the first sentence and replace with:'The Contractor has inspected the Site and satisfied himself as to its dimensions, location and other relevant matters, and where there is a Contractor’s Design Portion, has examined the Employer’s Requirements and is satisfied that the Contractor’s Proposals will meet the Employer’s Requirements, and has agreed to accept responsibility for the entire design contained in the Employer’s Requirements and the Contractor’s Proposals.' ARTICLES Article 5 Article 5 In the first line after ‘for the purposes of the CDM Regulations’, insert ‘and the Dutyholder Regulations’ Article 6 Article 6 In the first line, after ‘for the purposes of the CDM Regulations’, insert ‘and the Dutyholder Regulations’At the end of Article 6 insert: 'The Contract Sum includes the Contractor’s price for fulfilling
PRACTICE NOTES
The underlying principle in property transactions is ‘caveat emptor’ or ‘let the buyer beware’. In other words, the risk is with the buyer to make sure that the property they purchase is the property they are expecting to acquire and that the price paid is a fair price for what is being sold. This puts the responsibility on the buyer to investigate the property as fully as possible before becoming committed to acquiring it. Pre-contract searches provide independent information about the property from third party sources which can add to or confirm information already obtained from a review of the title deeds or replies to enquiries. See also Practice Notes: Transferring commercial property—a practical guide—Pre-exchange—the due diligence process and Property—enquiries before contract and Due diligence—reviewing a registered title—checklist. This Practice Note looks at the pre-contract searches which must be carried out or are recommended to be carried out as part of the title due diligence process and which are most commonly encountered in practice. However, this list is not exhaustive and additional searches may be required depending
Q&As
A person attains full age at 18 (Section 1(1) of the Family Law Reform Act 1969). A child's contract is at common law generally voidable at the instance of the child, although it is binding upon the other party. Exceptions to this rule are contracts for necessaries and certain other contracts such as contracts of service and apprenticeship (Proform Sports Management Limited v Proactive Sports Management Limited), if they are clearly for the child's benefit, such contracts are valid and binding upon a child. In such cases the question to be judged is whether the contract is or is not on the whole beneficial at the date
PRACTICE NOTES
This Practice Note considers when the Housing Grants, Construction and Regeneration Act 1996 (HGCRA 1996) applies. In summary: • the HGCRA 1996 applies to ‘construction contracts’ • ‘construction contract’ is defined by HGCRA 1996, s 104 • a ‘construction contract’ will involve ‘construction operations’ as defined by HGCRA 1996, s 105 • a ‘construction contract’ must include certain provisions relating to adjudication and payment • in respect of ‘hybrid’ contracts (ie those relating to both construction operations and other matters), the HGCRA 1996 will only apply in respect of the construction operations • the mandatory provisions do not apply to contracts with residential occupiers • for contracts entered into prior to 1 October 2011, the HGCRA 1996 only applied to contracts which were made in writing Significance of contract being a construction contract Statutory adjudication Parties only have a mandatory right under HGCRA 1996 to adjudicate if the relevant contract is a 'construction contract' (as defined by HGCRA 1996, s 104). If a contract is a ‘construction contract’, it must contain
Q&As
The doctrine of privity of contract provides that as a general rule, a contract cannot confer rights or impose obligations that arise under the terms of that contract, on any person other than the parties to that contract. However, the doctrine was partially abrogated by the enactment of the Contracts (Rights of Third Parties) Act 1999 which in some circumstances enables a third party (ie not a party to the contract) to enforce contractual benefits conferred upon that third party themselves. If a subcontractor is added as a party to an agreement, there will be privity of contract between the subcontractor and the other
PRACTICE NOTES
Nature of the condition It is common for contracts for the sale of commercial property to be drafted on the basis that completion of the transaction is conditional on one party (usually the buyer) obtaining planning permission. The sale price will usually be a figure which assumes that the property has the benefit of the planning permission for which that party is to apply. The agreement should specify who is under the obligation to satisfy the condition, exactly what will be required (ie outline or full permission for a specific use or scheme) and the extent of the measures (ie ‘endeavours’) that need to be undertaken to achieve satisfaction of it (see Endeavours obligations below). This Practice Note assumes that the buyer is under that obligation. Contracts conditional on planning often provide that the planning permission must be 'satisfactory' to the buyer, given that they will not be prepared to complete the purchase if the planning permission will not permit them to carry out the development of their proposed scheme on the property. 'Satisfactory
PRACTICE NOTES
This Practice Note considers the relationship between unjust enrichment and contractual claims, with an emphasis on the idea of a ‘failure of basis’ as a ‘unjust factor’ when seeking to establish the elements of a claim in unjust enrichment. It should be read in conjunction with Practice Note: Unjust enrichment—elements of the claim, which explains the background of the law of unjust enrichment and sets out the basic requirements for establishing such a claim. As explained in that Practice Note, the guidance in this document is designed to provide an outline understanding of a particularly complex area of jurisprudence. The relationship between unjust enrichment and contracts Claims for restitution for unjust enrichment are distinct from contract claims. The general position is that where the claimant and the defendant are in a contractual relationship, the contract regulates their rights and liabilities, including allocating the risk, until such time as the contract is discharged or set aside (which itself is a matter of contract law). See: Terminating contracts—how and when a contract ends—overview. This
PRACTICE NOTES
An illustrative mark-up highlighting the amendments made to the Standard Commercial Property Conditions (Third Edition—2018 Revision) (SCPC) in Precedent: Contract for sale—freehold, vacant possession is available from the following link: The symbols in the
PRECEDENTS
ARCHIVED: This Precedent has been archived and is not maintained. The Contract comprises the completed Design and Build Contract 2011 Edition published by the JCT (as modified by Amendment 1: CDM Regulations 2015) subject to the following amendments: RECITALS Third Recital Third Recital Delete and insert:‘The Contractor has:(a) inspected the Site and satisfied himself as to its dimensions, location and other relevant matters;(b) examined the Employer’s Requirements and is satisfied that the Contractor’s Proposals and Contract Sum Analysis will meet the Employer’s Requirements, and(c) agreed to accept responsibility for the entire design contained in the Employer’s Requirements and the Contractor’s Proposals.’ ARTICLES Article 1 Article 1 After ‘shall’ insert ‘carry out and’. Article 6 Article 6 At the end of Article 6 insert:‘The Contract Sum includes the Contractor’s price for fulfilling the duties of Principal Contractor.’ Article 8 Article 8 Delete Article 8 and insert:‘Not used.’ Article 10 Insert new Article 10 as follows: ‘Article 10 [ To be added on the face of the contract ] The Employer and the Contractor agree that the modifications in the Schedule of Amendments attached hereto (as initialled by the parties)
PRECEDENTS
The Contract comprises the completed Standard Building Contract With Approximate Quantities 2024 published by the JCT subject to the following amendments: RECITALS Fifth Recital Fifth Recital Delete the Fifth Recital and substitute:‘The Contractor has supplied the Architect/Contract Administrator with a master programme and a Schedule of Information Requirements.’ Twelfth Recital Twelfth Recital Delete the first sentence and replace with:‘The Contractor has inspected the Site and satisfied itself as to its dimensions, location and other relevant matters, and where there is a Contractor’s Design Portion, has examined the Employer’s Requirements and is satisfied that the Contractor’s Proposals will meet the Employer’s Requirements, and has agreed to accept responsibility for the entire design contained in the Employer’s Requirements and the Contractor’s Proposals.’ ARTICLES Articles 6 and 7 [See drafting note] Article 9 Article 9 Arbitration Delete Article 9 and insert ‘Not used.’ Article 11 Insert new Article 11 as follows: ‘Article 11 [To be added on the face of the contract] The Employer and the Contractor agree that the modifications in the Schedule of Amendments attached hereto (as initialled by the parties) shall be incorporated
CHECKLISTS
When acting for the potential purchaser of a property or a development, the first step in the process is to carry out an initial review of the construction documentation provided. A list of the issues which should be checked can be found in Checklist: Construction due diligence for property purchase—initial review of construction package—checklist. Following the initial review of documents, the next step is to raise initial enquiries of the seller's lawyers in order to obtain information which is not available within the construction documents provided. This document contains a list of sample questions that may be raised following the initial document review. Obviously the questions which will be raised will depend on the information and documents provided by the seller and this list will need to be amended to suit the particular circumstances. Typically, only copies of the contracts and appointments entered into will be provided and, as a result, there is always other information which is not apparent, but which needs to be obtained, in order to properly advise a purchaser. The list of questions is divided
PRECEDENTS
Agreement in relation to [insert brief details of the works/project] at [insert address of works] (incorporating (inter alia) the JCT Management Works Contract Agreement 2016 (MCWC/A 2016) and JCT Management Works Contract Conditions 2016 (MCWC/C 2016) as modified and supplemented in the manner indicated in this Agreement and the Schedules hereto). This Agreement is made on the [insert number] day of [insert month] 20[insert year]. Parties 1 [insert name of the Management Contractor] (company registration number [insert number]) whose registered office is situated at [insert address of the Management Contractor] (‘the Management Contractor’); 2 [insert name of the Works Contractor] (company registration number [insert number]) whose registered office is situated at [insert address of the Works Contractor] (‘the Works Contractor’). Now it is agreed that: 1 Interpretation In this Agreement words and expressions shall have the meanings that are respectively assigned to them in the JCT MCWC/A 2016 and the JCT MCWC/C 2016, referred to in and modified and supplemented in Schedule 1 and/or Schedule 2. 2 The contract This Agreement, together with the following documents, constitute the ‘contract’ and are in