TrimSize:170mmx244mm MacRoberts ffirs.tex V1-08/11/2014 3:30P.M. Pageii TrimSize:170mmx244mm MacRoberts ffirs.tex V1-08/11/2014 3:30P.M. Pagei MacRoberts on Scottish Construction Contracts Third Edition TrimSize:170mmx244mm MacRoberts ffirs.tex V1-08/11/2014 3:30P.M. Pageii TrimSize:170mmx244mm MacRoberts ffirs.tex V1-08/11/2014 3:30P.M. Pageiii MacRoberts on Scottish Construction Contracts Third Edition MacRoberts Solicitors Foreword by The Rt Hon Lord Hope of Craighead TrimSize:170mmx244mm MacRoberts ffirs.tex V1-08/11/2014 3:30P.M. Pageiv Thiseditionfirstpublished2015 ©2015byJohnWiley&Sons,Ltd Registeredoffice JohnWiley&Sons,Ltd,TheAtrium,SouthernGate,Chichester,WestSussex,PO198SQ,United Kingdom. Editorialoffices: 9600GarsingtonRoad,Oxford,OX42DQ,UnitedKingdom. TheAtrium,SouthernGate,Chichester,WestSussex,PO198SQ,UnitedKingdom. 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KDC501.M332014 343.41107′8624–dc23 2014016562 AcataloguerecordforthisbookisavailablefromtheBritishLibrary. Wileyalsopublishesitsbooksinavarietyofelectronicformats.Somecontentthatappearsinprintmay notbeavailableinelectronicbooks. Coverimages:iStockphoto©blackjake,iStockphoto©MartinMcCarthy CoverdesignbyJeffreyGoh Typesetin10/12ptMinionProbyLaserwordsPrivateLimited,Chennai,India 1 2015 TrimSize:170mmx244mm MacRoberts ffirs.tex V1-08/11/2014 3:30P.M. Pagev ToDavidHenderson–withoutwhomthisbookwouldneverhave seenthelightofday.Weareforeverinhisdebt. TrimSize:170mmx244mm MacRoberts ffirs.tex V1-08/11/2014 3:30P.M. Pagevi TrimSize:170mmx244mm MacRoberts ftoc.tex V3-08/26/2014 3:18P.M. Pagevii Contents ForewordbytheRtHonLordHopeofCraigheadKT xiii Preface xv 1 ConstructionContractsinGeneral 1 1.1 Introduction 1 1.2 Definitionofaconstructioncontract 1 1.3 Partiesinvolvedinaconstructionproject 5 1.4 Typesofconstructioncontract 15 1.5 TheSBCCformsofbuildingcontract 23 1.6 TheNEC3formsofcontract 25 1.7 BuildingInformationModelling(BIM) 27 1.8 SoftLandings 29 2 Procurement 32 2.1 Introduction 32 2.2 TheEUpublicprocurementregimeandEUeconomic andlegalprinciples 33 2.3 BeyondtheEU 35 2.4 Conditionsforapplicationoftheprocurementrules 36 2.5 WhomustcomplywiththeRegulations? 36 2.6 Treatmentofaproposedcontractasaworkscontract,supply contractoraservicescontract 37 2.7 Whataretherelevantfinancialthresholds? 40 2.8 Isthereanapplicableexclusion? 41 2.9 Typesofprocurementprocedure 42 2.10 Theopenprocedure 42 2.11 Therestrictedprocedure 43 2.12 Thenegotiatedprocedurewithadvertisement 46 2.13 Thecompetitivedialogueprocedure 49 2.14 Awardingthecontract 53 2.15 TheAlcatelmandatorystandstillperiod 54 2.16 Theuseofframeworkagreementsinpublicprocurement 56 2.17 Remediesagainstcontractingauthorities(biddergrievances andcomplaints) 57 TrimSize:170mmx244mm MacRoberts ftoc.tex V3-08/26/2014 3:18P.M. Pageviii viii Contents 2.18 Awardinglow-valuecontractsfairly 61 2.19 ForthcomingchangesintheProcurementlaw landscape 62 3 EnteringintoaConstructionContract 64 3.1 Introduction 64 3.2 Essentialsofwrittenandoralcontracts 64 3.3 Capacitytocontract 71 3.4 Impliedterms 73 3.5 Lettersofintent 78 3.6 Incorporationoftermsbyreferencetoanotherdocument 80 3.7 Contractinterpretation 83 3.8 Signingabuildingcontract 84 4 Employers’Obligations 87 4.1 Introduction 87 4.2 Possessionofthesite 88 4.3 Administration 92 4.4 Informationandinstructions 95 4.5 Variations 97 4.6 Otherobligations 102 5 Contractors’Obligations 103 5.1 Introduction 103 5.2 Completingtheworks 103 5.3 Thequalityofthework 118 5.4 Defectivework 128 5.5 Progressoftheworks 131 5.6 Insuranceandindemnity 138 5.7 TheJointFireCode 139 5.8 Healthandsafety 140 6 Time 141 6.1 Introduction 141 6.2 Commencementoftheworks 141 6.3 Timeoftheessence 142 6.4 Progressoftheworks 142 6.5 AdjustmentoftheCompletionDateandextensionoftime forcompletion 143 6.6 Partialpossession,sectionalcompletionandacceleration 152 6.7 Completionoftheworks 153 6.8 Damagesforlatecompletion 154 6.9 Liquidateddamages 155 6.10 TheSBC/DB 158 6.11 TheNEC3 159