Delays, Damages and Compensation in Construction

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Delays, Damages and Compensation in Construction

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Courses Overview:

This 1 day course deals practically with the law and its application to real construction time and/or money claims. This course has been developed and delivered by barristers and adjudicators who are actively practising in the field and have used their extensive knowledge to develop a course that will support all people who have delays, damage and compensation events.

It covers all main contract publications including NEC and JCT, and is relevant to all mainstream contracting, including traditional (with BOQ), design-build, target cost and partnering. There are many ways in which projects can be affected by delays, damage and compensation events. This course will cover areas where all parties involved can take actions to reduce or remove the risks involved, not only on receipt of the claim but upstream allowing for a successful claim event or winning defence.

It will also benefit those who have an active contract management and delivery role to understand the risks and opportunities within the clauses. The course is delivered to employers, contractors and sub-contractors allowing for an understanding and discussion and strategies for both sides.

Construction Study Centre also run contract specific courses that are built and delivered to highlight the areas of change, risk and opportunity within them.

Benefits of this course:

  • Understand how the different standard forms of contract approach delay and damages
  • Appreciate the importance and quality of records
  • Get to grips with the rudiments of delay analysis
  • Recognise allowable, and unsustainable, heads of claim
  • Be conversant with how changes in time and money are dealt with in contracts
  • Hear real practical anecdotal evidence of pitfalls from professionally qualified and practising speakers
  • Interact with the speaker to resolve questions throughout the day
  • Delays and Damages NEC3/ Delays and Damages JCT
  • Benefit from a post seminar helpline facility

Introduction to Delays, Damages, Disruption and Compensation
• Types and nature of claims and the meaning of claim
• Understanding the background law
• Claims for breach of contract and claims under the express terms of the contract
• Provisions in NEC, JCT and PPC

Record Keeping and Evidence
• On site and head office records
• Purpose and preparation
• Timing of preparation and submission
• Use of records
• Advantages of systematic approach
• Division of responsibility
• Records as evidence – weight and credibility

Principles of Delays, Extensions of Time and Liquidated Damages
• Principles of fixed completion periods
• Acts of prevention/hindrance and time at large
• Obligations to progress the works
• Liquidated damages background principles
• Unliquidated damages
• Extensions of time mechanisms
• Compensation events
• Written and email notices
• Programmes and Accepted Programmes

Analysis and Entitlement – Delays
• Analysis of the relevant circumstances
• The role and significance of the ‘programme’ under different contracts
• Establishing an extension of time
• Cause and effect
• Concurrent/competing causes of delay
• Contract provisions in various forms

• Defining acceleration
• Main criteria
• Obligations to accelerate
• Entitlement for acceleration costs
• Establishing cause and effect
• Issues falling outside the scope of the express terms
• Express terms

Damages, Loss, Expense and Cost
• Liquidated/unliquidated
• Provisions in the contracts
• Mechanisms and notices
• Ascertainment and quantification
• Loss, expense and defined cost
• Heads of claim
• Other rights and remedies

Preparing/Reviewing a Claim
• Structuring a claim, the content and format
• Evidence and backup
• Alternative methods of presentation
• Getting to the actual events
• Law and the facts

• Negotiation techniques and issues
• Objectives and outcomes
• Settlement agreements and privileged communications

The New Construction Act
• Brief review of the Local Democracy, Economic Development and Construction Act 2009 and its impact on payment and adjudication provisions.

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