#10506 - Procurement And Liability Of Parties For Defects In Construction - Advanced Property Law

ADVANCED PROPERTY LAW AND PRACTICE WORKSHOP 6 Revision Notes: Procurement + Liability of Parties for Defects in Construction PROCUREMENT ! This is the method by which the project will be designed, constructed and managed. !Once acquired, an all permission has been obtained, the developers concerns now turn to ensuring that the build completes within budget, on time, and to a quality standard. ! The Professional Team ! It is unlikely in large scale developments that the developer will have enough skills and expertise to design and construct the development in house, instead a professional team will be appointed to help develop the land. !! !! The Developer (the employer) ! !! !! !! !! !! !! !! !! !! ! CDM Co-ordinator (ensures H&S complied with) The Professional Team The Architect (often Project manager as well) * designs the building * prepares plans/ specifications * supervises execution of works * issues a certificate of practical completion * this triggers realise of payment to contractor The Quantity Surveyor (often Project manager as well) * estimates the quantities/costs of materials to be used * puts these estimates into bills of quantities The Main Building Contractor The Engineers separate contract Building Sub-contractors (specialise) * constructs the building in accordance with the plans * there may be a variety of these depending on their area of expertise e.g. steel engineers * they give advice to the developer All the above owe the employer a duty to carry out the works with reasonable skill, care and diligence; which is measured by the standard of an ordinary man who has those particular skills. The Different Methods of Procurement which method is best depends on the clients weighting on which aspect is most important... !The procurement process and construction contract seek govern the relationship between the parties by allocating risks and responsibilities between them, particularly with regards to: ! Price Time Quality ! Traditional Contract ! ! ! ! !! ! ! ! ! ! ! ! ! ! ! ! ! ! most popular! ! ! ! ! ! ! ! ! ! ! ! ! ! The design and construction element of the project are kept separate so that there is a different contract for the contractor(s) and then the required appointments for each of the other professionals (architects, quantity surveyors, engineers etc.). ! ! !Design & Build Contract Here, the building contractor is responsible (and liable) for both the construction and design of the project, so the contractor will usually appoint a design team (in accordance with the employers pre-contract design requirements). Often the developer will have already appointed design professionals to construct designs and will later transfer the rights and responsibilities they have under that appointment to the contractor via a novation agreement (creates a contractual relationship between.