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Q&As
Civil partners Civil partners are largely treated the same in law as spouses, but there are some small differences, most notably regarding some pension schemes, and the basis on which a civil partnership may be dissolved (adultery does not apply). The courts have been clear that a civil partnership is not a marriage—see Wilkinson v Kitzinger (No 2). A civil partnership may (since the coming into force of the Marriage
Q&As
For information on the right to a statutory redundancy payment generally, see Practice Note: Entitlement to statutory redundancy payment. The statutory scheme set out in sections 138 and 141 of the Employment Rights Act 1996 (ERA 1996) encourages the employer to offer, and the dismissed employee to accept, new or renewed employment as an alternative to a redundancy dismissal with associated redundancy payment. Assuming that the dismissal is by reason of redundancy: • if the employee's contract of employment is renewed either immediately or within four weeks of the dismissal, then the dismissal is deemed never to have happened. And if there is no dismissal, there is no right to a redundancy payment • if the
PRECEDENTS
Project [Insert project name] commercial contract review Document name: Data room reference: Reviewed by: Review date: Follow up instructions comments following review: Summary
Q&As
The general principle is that part-time workers have the right to be treated no less favourably than a comparable full-time worker in relation to certain employment-related matters under the Part-time Workers (Prevention of Less Favourable Treatment) Regulations 2000 (PTW Regs 2000), SI 2000/1551. For further information, generally, see Practice Note: Part-time workers. Intrinsic to the protection offered by the PTW Regs 2000, SI 2000/1551, is the requirement that the part-time worker must compare their treatment to that of a full-time worker who is employed by the same employer under the same type of contract and engaged in the same or broadly similar work (whether on a fixed-term or permanent basis) who has a similar level of qualifications and experience, and works at the same establishment
Q&As
Novation Novation is the contractual mechanism used when A and B are party to an agreement and B 'transfers' their obligations and rights under the agreement to C, so that C 'steps into the shoes' of B, with a resulting contractual relationship between A and C. Novation amounts to the extinguishing of the original contract, and its substitution with a new contract, under which the same rights and obligations are to be performed but by different parties. The effect of a novation
NEWS
Construction analysis: On 16 October 2024, the Joint Contracts Tribunal (JCT) published the 2024 editions of its Major Project, Constructing Excellence, and Prime Cost Building contracts, along with their associated guides and sub-contracts. In this analysis, we focus on the Prime Cost contract, and look at how it differs from its 2016 equivalent.
PRECEDENTS
When carrying out legal due diligence it is likely that a review of material contracts will take place, following which each material contract will be summarised in a legal due diligence report. Using the same template for the review of each contract will assist the review process and make sure that there is consistency in the style and language used in the due diligence report itself. This template provides a checklist of the issues and contractual provisions that the lawyer in charge of due diligence wishes
NEWS
Commercial analysis: Following the heavily criticised draft Business Contract Terms (Assignment of Receivables) Regulations 2017, the government has recently published the revised Business Contract Terms (Assignment of Receivables) Regulations 2018, designed to prohibit contractual clauses which prevent one party from assigning its right to payment to a third party. James Leighton, solicitor at DMH Stallard LLP, discusses the impact of the Regulations on the rights of set-off and considers the practical steps that assignees and debtors should consider to mitigate such impact.
Q&As
The right not to be unfairly dismissed is available to employees. The fact that an employee is on maternity leave makes no difference to their right to claim. Unfair dismissal requires that the employee has been dismissed. Where a limited-term contract terminates because the limiting event occurs without being renewed, eg the term in a fixed-term contract expires, that will amount to a ‘dismissal’ for the purpose of the right not to be unfairly dismissed. For further information, see: • Practice Notes: ◦ Definition of dismissal in unfair dismissal—Limited-term contracts ◦ Fixed-term employees—Ordinary unfair dismissal • Harvey DI [601]–[700] If there is a dismissal, the employer will be well-advised to ensure that: • there is a potentially fair reason for dismissal, and • in the circumstances the employer has acted reasonably in treating that reason as a sufficient reason for dismissal The
PRECEDENTS
Special Conditions: Amendments to the General Conditions of Contract of the Institution of Chemical Engineers (IChemE) Form of Contract—Lump Sum Contracts, the Red Book, fifth edition (2013) Special Conditions The General Conditions in the IChemE Red Book, fifth edition (2013) shall have effect as modified by the following: Agreement Paragraph 8 In paragraph 8, delete ‘6.3’. Paragraph 14 In paragraph 14, after ‘fax number’ add: ‘or email address’. Insert ‘Email Address’ in the contact details section of both the Purchaser and the Contractor. Paragraph 16 Delete paragraph 16 and insert ‘Not used’. 1. Definitions, interpretation, waiver and Notices Sub-clause 1.1 1.1 In the definition of Cost, after ‘properly’ insert ‘, reasonably and necessarily’. In the definition of Legislation, at the end add (including Acts of Parliament and subordinate instruments; orders; rules and/or regulations made thereunder; and/or the rules; regulations and/or bye-laws made by any body of competent jurisdiction in respect of which the Contractor or Purchaser (as appropriate) has a legal obligation to comply, each as is in force from time to time). Delete
Q&As
It is not possible for business property to be ‘relevant business property’ for the purposes of business property relief (BPR) in section 105 of the Inheritance Tax Act 1984 (IHTA 1984) where a binding contract for its sale has been entered into at the time of the transfer (unless, in the case of a business or an interest in a business, the consideration is shares in the buying company or, in the case of shares, there is a reconstruction
PRECEDENTS
The Contract comprises the completed Standard Building Contract With Approximate Quantities for use in Scotland 2016 published by the SBCC 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 6 Article 6 At the end of Article 6 insert:‘The Tender Price includes the Contractor’s price for fulfilling the duties of Principal Contractor.’ Article 8 Article 8 Arbitration Delete Article 8 and insert ‘Not used.’ Article 11 Insert new Article 11 as follows: ‘Article 11 [To be added on the face of the contract]