QSi News and Diary
17/2/2012
Subject: Government Approves £128m Midland Metro Project
Description: Trams to Travel Directly to New Street Station
The government has given the go-ahead for the £128m extension to the Midland Metro Tram system. The Department for Transport will provide £75.4m towards total cost of the project, which is being led by public transport authority Centro in partnership with Birmingham City Council and the Black Country district authorities.
Contractors Balfour Beatty, Morgan Sindall and Thomas Vale are in contention for the works.
Associated Link : www.thebusinessdesk.com/westmidlands/news/284633-128m-midland-metro-extension-on-track-after-government-green-light.html?utm_source=newsletter&utm_medium=email&utm_campaign=_17th_Feb_2012_-_Daily_E-mail
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14/2/2012
Subject: Devon & Cornwall Branch FREE CPD event
Description: Adjudication and Payments Under The New Construction Act
TUESDAY 20TH MARCH 2011
At the Hayward Room, Duke of Cornwall Hotel, Millbay Rd., Plymouth, Devon
2.30-5.00pm
Speaker:
MARK ENTWISTLE LLB(Hons), BTech, FRICS, FCIOB, FCIArb, DICArb, Barrister
Chartered Surveyor, Arbitrator, Adjudicator, Mediator, Barrister
Bookings: To reserve places for yourself and your colleagues at this event, please email your details to admin@theqsi.co.uk
Associated Link :
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10/2/2012
Subject: National Audit Office Report Criticises PFI Equity Investment
Description: Public May be Paying Too Much for PFI Projects
Whilst Equity investors have helped to deliver many public sector infrastructure projects via the Private Finance Initiative and have managed them in ways from which the public sector can learn, evidence collated by the National Audit Office raises concern that the public sector is paying more than it should for equity investment.Associated Link : /www.nao.org.uk/publications/1012/equity_investment_in_pfi.aspx
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9/2/2012
Subject: £300m Regeneration Scheme for Coventry
Description: Council Partners with Aviva
The blueprint for the redevelopment of the centre of Coventry has been released.Associated Link : www.thebusinessdesk.com/westmidlands/news/280681-cp-email-blueprint-launched-for-300m-coventry-regeneration-scheme.html?news_section=19011
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6/2/2012
Subject: Government Issues Guidance to SMEs on Getting Paid
Description: Prompt Payment Essential for SME cash flow
The Government is urging businesses and public bodies to pay small businesses on time to ensure that they survive in the current recession. The Government has issued a "Getting Paid" Guide.Associated Link : www.bis.gov.uk/news/topstories/2012/Feb/Government-and-business-press-for-prompt-payment
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2/2/2012
Subject: JCT Issues Named Specialist Contract Amendment
Description: Amendment to All Versions of the JCT 2011 Standard Building Contract
Today, 2nd February, the JCT has issued an amendment to the JCT SBC/Q, SBC/XQ and SBC/AQ, updating them to include Named Specialists.Associated Link : www.blissbooks.co.uk/images/Named%20Specialist%20Update%20for%20SBC2011%20Feb2012.pdf
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31/1/2012
Subject: Another Frolic
Description: Adjudicator's Decision not Enforced
The TCC has refused to enforce an adjudicator's award because the adjudicator had adopted his own method of assessing the final account without giving the parties the opportunity to comment upon it.Associated Link : www.blissbooks.co.uk/news.php
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31/1/2012
Subject: Dispute Boards and their added value to construction projects
Description: Half Day Seminar
We are pleased to work in conjunction with Hewitt Construction Consultancy to offer 2 half day events to be held in April in Dubai and Abu Dhabi.
For further information please visit http://www.constructionclaimsclass.com/claimsclass-seminars.phpAssociated Link : www.constructionclaimsclass,com/clamsclass-seminars.php
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27/1/2012
Subject: £130m Hull Biomass Plant Plans Announced
Description: Planning Application to be Submitted by April
Power company, Real Ventures, has announced plans for a biomass plant at Queen Elizabeth which would burn wood shipped from overseas to provide green electricity and reduce carbon emissions by 190,000 tonnes a year.
Associated Link : www.ukti.gov.uk/uktihome/item/250260.html
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23/1/2012
Subject: No Such Thing as a Freebie
Description: Adjudicator Breached Natural Justice by Seeking Informal Advice from Counsel
The Court of Session has ruled that an adjudicator breached the rules of natural justice by seeking what he called was "confirmation" of his own view from counsel without informing the parties or giving them the opportunity to comment. The issue had been central to his decision, and although he had not asked for legal advice, only a "freebie" telephone conversation which had lasted only minutes, there had still been a breach.Associated Link : www.blissbooks.co.uk/news.php
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23/1/2012
Subject: Marine Energy PPP Unveils Plans for the South West
Description: Parthership Will Collaborate on Developing Wave and Tidal Energy
The South West Marine Energy Park is a consortium of councils, local enterprise partnerships, universities, power businesses and the Crown Estate who will collaborate on further development of wave and tidal energy across an area stretching from Cornwall to Bristol. Falmouth, Portsmouth and Bristol have been identified as hub ports.Associated Link : www.planningresource.co.uk/bulletin/environmentbulletin/article/1113323/south-west-partners-unveil-marine-energy-ambitions/
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21/1/2012
Subject: No Such Thing as a "Freebie"
Description: Free Advice Renders Adjudication Decision Unenforceable
The Court of Session has ruled that an adjudicator breached the rules of natural justice by seeking what he called was "confirmation" of his own view from counsel without informing the parties or giving them the opportunity to comment. The issue had been central to his decision, and although he had not asked for legal advice, only a "freebie" telephone conversation which had lasted only minutes, there had still been a breach.Associated Link : www.blissbooks.co.uk/news.php
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19/1/2012
Subject: Opportunity for UK Consultants
Description: Boston City Redevelopment Consulting Project
The Boston city redevelopment project represents a potential opportunity for UK consulting companies with expertise in construction and project/cost management.Associated Link : www.ukti.gov.uk/uktihome/item/243460.html
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18/1/2012
Subject: CPD Event
Description: Devon & Cornwall Branch CPD Event
Adjudication and Payments under the New Construction Act – Update since 1 Oct 2011
Date: 20 March 2012
Location: Duke of Cornwall Hotel, Plymouth
Cost: Free of Charge
Further information from admin@theqsi.co.ukAssociated Link :
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3/1/2012
Subject: Carillion Wins M6 Managed Contract
Description: £104.9m Contract to Transform Junctions 5-8
Carillion has been awarded a £104.9m contract to transform a problem section of the M6 in Birmingham into a managed motorway. Carillion will use a combination of methods to improve traffic flow on a problem section of the M6 in Birmingham between Junctions 5 and 8.
Associated Link : www.thebusinessdesk.com/westmidlands/news/264738-carillion-wins-m6-managed-motorway-contract.html?news_section=28388
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21/12/2011
Subject: Consultation on European ADR Proposals Published
Description: BIS Publishes Consultation
On 29 November 2011 the European Commission published a Communication on Alternative Dispute Resolution for consumer disputes in the Single Market alongside legislative proposals for a draft Directive on ADR and a draft Regulation on ODR, Online Dispute Resolution. The Department for Business, Information and Skills, BIS, has published a Consultation Document for interested parties to comment.Associated Link : www.bis.gov.uk/Consultations/call-for-evidence-eu-proposals-dispute-resolution?cat=open
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21/12/2011
Subject: ADR: Call for Evidence on EU Proposals
Description: BIS Publishes Consultation
On 29 November 2011 the European Commission published a Communication on Alternative Dispute Resolution for consumer disputes in the Single Market alongside legislative proposals for a draft Directive on ADR and a draft Regulation on ODR, Online Dispute Resolution. The Department for Business, Information and Skills, BIS, has published a Consultation Document for interested parties to comment.Associated Link : www.bis.gov.uk/Consultations/call-for-evidence-eu-proposals-dispute-resolution?cat=open
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21/12/2011
Subject: Work Starts on Forth Replacement Crossing
Description: Bridge Will be a Boost to the Economy, Says Government
The Forth Replacement Crossing (FRC) project is delivering a significant boost to the Scottish construction sector, with over £20 million worth of sub-contracts now awarded to 118 Scottish firms. In addition, 134 sub-contracts on the project are currently being advertised presenting the industry with further opportunities. The total estimated cost of the FRC project, including VAT, allowing for inflation, is expected to be between £1.45 and £1.6 billion.Associated Link :
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21/12/2011
Subject: Work Starts on Forth Replacement Crossing
Description: Bridge Will be a Boost to the Economy, Says Government
The Forth Replacement Crossing (FRC) project is delivering a significant boost to the Scottish construction sector, with over £20 million worth of sub-contracts now awarded to 118 Scottish firms. In addition, 134 sub-contracts on the project are currently being advertised presenting the industry with further opportunities. The total estimated cost of the FRC project, including VAT, allowing for inflation, is expected to be between £1.45and £1.6 billionAssociated Link :
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15/12/2011
Subject: E.ON announces £736m plan for Humber Gateway offshore wind farm
Description: Completion by Spring 2015
E.On has announced that it is to build a 73 turbine wind farm off the East Yorkshire coast. The Humber Gateway will generate up to 219MW of electricity, enough energy to power up to 170,000 homes. The project aims to create up to 1,000 jobs during construction and a further 30 roles to operate and maintain the wind farm when it is operational.Associated Link :
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15/12/2011
Subject: Balfour Beatty Preferred Bidder for £500 million Gloucestershire Residual Waste Project
Description: Joint Venture with Urbaser
Balfour Beatty announced today that it is that it has been appointed preferred bidder for the £500 million Gloucestershire Residual Waste Project in joint venture with Urbaser. The 28-year PPP project involves the design, build and operation of an energy-from-waste facility for Gloucestershire County Council.The project will be undertaken by a 30/70 joint venture between Balfour Beatty and Urbaser. Balfour Beatty will be involved in the design and construction of the facility, following which the facility will be commissioned and handed over to Urbaser to operate from late 2015 onwards.
Associated Link :
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15/12/2011
Subject: Mixed Use Scheme for Lambeth Submitted
Description: Scheme Includes Shops
CLS Holdings has submitted a planning application to the London Borough of Lambeth for a mixed-use scheme in Vauxhall that includes proposals for more than 1,000 homes as well as shops, restaurants and office space.
Associated Link : www.planningresource.co.uk/bulletin/planningdaily/article/1109352/plans-submitted-1000-home-lambeth-scheme/
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11/12/2011
Subject: Contracts in Writing and Adjudication Nominating Bodies
Description: New Adjudication Enforcement Decision
The Scheme for Construction Contracts prohibits one of the contracting parties from being an adjudication nominating body. In Sprunt Ltd. v London Borough of Camden,[2011] EWHC 3191 (TCC), there was also an issue about whether the parties' contract was "in writing" for the purposes of the Housing Grants, Construction and Regeneration Act 1996 s.107.
Associated Link : www.blissbooks.co.uk/news.php
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9/12/2011
Subject: RICS Calls in Legal Firm to Investigate Conflict of Interest Claims
Description: Alleged Misuse of Internal Information
The Royal Institution of Chartered Surveyors, RICS, has appointed Field Fisher Waterhouse to invesigate the possible misues of internal information on the First4ADR website. Two members of staff have already left the RICS over the claims.Associated Link : www.building.co.uk/rics-calls-in-law-firm-to-examine-conflict-of-interest/5028999.article
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8/12/2011
Subject: Revisions to the New Construction Act
Description: A joint CPD event with the CIOB Kent Centre - 17 January 2012
Revisions to the Construction Act are now in
place and problems are arising.
The introduction of the changes to the Housing
Grants Construction and Regeneration Act
1996 (the Construction Act) came into force on
1 October 2011. These changes have had a
huge impact on the management of payments
and adjudications.
Everyone involved in the construction industry
needs to act now to ensure they are familiar
with how the key changes will affect their
business.Associated Link : http://www.ciob.org.uk/events/revisions-construction-act-are-now-place-and-problems-are-arising
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8/12/2011
Subject: What, No Rammed Earth?
Description: A Joint CPD Event with CIOB Kent Centre - 21 February 2012
Constructing UK's greenest education building.
Not all the materials used for the SusCon
building are what you might expect for the UK’s
greenest education building. But, when it
comes to meeting the latest sustainability
guideline of reducing embodied energy, the
answers aren’t so clear cut. James Nicholls
from Stephen George & Partners, architects,
will explain the reasoning behind decisions
made during construction of this BREEAM
Outstanding Education Building.
SusCon is a sustainable construction training
and research centre located at The Bridge in
Dartford. It is pioneering a new approach to
sustainable construction learning designed to
help us meet the challenges of a greener future.
It offers accredited courses for those already
working in the construction industry as well as
for those seeking new opportunities.Associated Link : http://www.ciob.org.uk/events/what-no-rammed-earth-constructing-uks-greenest-education-building
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8/12/2011
Subject: Free CPD Event - Plymouth
Description: ADJUDUCATION AND PAYMENTS UNDER THE NEW CONSTRUCTION ACT - Update since October 1st 2011
A free seminar will be held in Plymouth on 20 March 2012, commencing at 2.30 pm. The Speaker will be MARK ENTWISTLE LLB(Hons), BTech, FRICS, FCIOB, FCIArb, DICArb, Barrister
Chartered Surveyor, Arbitrator, Adjudicator, Mediator, Barrister.
To book places for you and your colleagues, please email admin@theqsi.co.uk
Associated Link :
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2/12/2011
Subject: Hyder Wins Major Qatari Contract
Description: Largest Desgn Contract for the Company
Hyder has announced that it has won the largest design contract in its history and the largest awarded by the lic Works Authority ‘Ashghal’ office in Doha. The five year framework is for consultancy and engineering services for local roads and drainage projects.Associated Link : www.hyderconsulting.com/en/aboutus/news/Pages/displayarticle.aspx?pageid=306
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28/11/2011
Subject: Ask an Expert - 10% discount for all QSi members
Description: Ask an Expert - 10% discount for all QSi members
The QSi is pleased to announce that it has negotiated with Ask an Expert a 10% discount on all fees. Read on to find out more about the service:
Ask an Expert
Prompt Online Contractual and Claims Advice
• Do you have a contractual problem?
• Would you like an interpretation of the provisions of a contract?
• Do you think you may have entitlement for a claim?
• Have you received a claim and are unsure of its merits or how to proceed?
• Do you need to compose or respond to a contractual letter?
• Would you a like claim which you have prepared to be reviewed before submittal?
If so, we can help, and in these days of global communications, a fast and economical solution could be just a couple of mouse clicks away. Simply visit our webpage and complete the short online enquiry form, without obligation:
www.hewittconstructionconsultancy.com/#!ask-an-expert
If you are not completely satisfied, we will refund your payment in full.
Associated Link : http://www.hewittconstructionconsultancy.com/#!ask-an-expert
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28/11/2011
Subject: QSi Conference 2012
Description: QSi Conference 2012
Following the success of the recent QSi conference held in October, we are now busy planning our 2012 event, which promises to be even bigger and better. We believe we are the only organisation providing such a major event specifically aimed at quantity surveyors.
If you and your colleagues would like to be kept informed of the details of this and similar events, such as our regional CPD programme, please submit your email address to admin@theqsi.co.uk.
Associated Link :
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23/11/2011
Subject: 2012 Conference
Description: 2012 Conference
Announcement from QSi
- Quantity Surveyors International
Following the success of the recent First QSi Annual Conference, the General Council is keen to obtain your opinion in order for us to plan our 2012 UK conference.
We would be very grateful if you could spare just a couple of minutes to answer a few short questions in the attached survey. Please click on the link to open the survey or cut and paste the link:
http://www.surveymonkey.com/s/8NY3W2P
Want to follow us on twitter - @theqsi
Associated Link :
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21/11/2011
Subject: Government to Put £50bn of Contracts Online
Description: Reform of Government Procurement Promised
Cabinet Office minister Francis Maude is to revise government procurement to encourage more British firms to tender for lucrative contracts. Some of the proposed changes include putting £50bn-worth of contracts online and making it quicker to go business with the government.Associated Link : www.theconstructionindex.co.uk/news/construction-news/maude-to-put-50bn-of-government-contracts-online
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10/11/2011
Subject: Manchester Airport City will Go Ahead Pledges Cornish
Description: Project Not Dependent upon Infrastructure Funding
The Chief executive of Machester Airport, Charlie Cornish, has said that Airport City will go ahead despite losing out on regional growth funding. Mr. Cornish said that the most important thing was to agree the boundaries of the proposed site with central government.Associated Link : www.thebusinessdesk.com/northwest/news/242859-prop-airport-city-on-site-within-12-months-says-cornish.html?news_section=4150
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1/11/2011
Subject: Scottish Plans to Use Tax Incremental Financing to Boost Funding for Construction
Description: Three Councils to Develop Business Cases with the Scottish Futures Trust
The Scottish Government has given approval to Falkirk, Fife and Argyll and Bute Councils to develop proposals under the Tax Incremental Financing (TIF) model to fund infrastructure projects. The councils plan to fund infrastructure projects by borrowing against the future business rate income that should be generated by the resulting development.Associated Link : www.scotland.gov.uk/News/Releases/2011/11/01143027
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31/10/2011
Subject: Adjudicator Still Entitled to Fees Even Though There was a Breach of Natural Justice
Description: Not a Total Failure of Consideration
P. C. Harrington claimed that it was not liable to pay an adjudicator's fees becasuse there had been a "total failure of consideration". The adjudicator's decision had not been enforced beccause he had fallen below the standards required. The court set out the circumstances when a total failure of consideration could occur, commenting that it would be more difficult to apply the doctrine of total failure of consideration to a contract for the provision of services, and that difficulty applied not so much as a matter of construction of the contract but as a matter of fact. Associated Link : www.blissbooks.co.uk/news.php
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24/10/2011
Subject: Libya's National Transitional Council Asks UK Firms to Help Rebuild Country
Description: UKTI Will Double Presence in Libya
PA Consulting has been retained by the UK's Trade Investment (UKTI) to asseess opportunities in the country. It says that the NTC is seeking firms to rebuild Tripoli airport and a large hospital in MisrataAssociated Link : http://www.building.co.uk/5026602.article?origin=bldgbreakingnewsletter
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21/10/2011
Subject: Turner and Townsend Buys Ferzan Robbins & Associates
Description: T&T Acquires US Project Manager
Turner and Townsend has bought American project managers Ferzan Robbins & Associates as part of its American expansion plans. Ferzan Robbins has participated in several high-profile projects, including the renovation of the Waldorf-Astoria in New York, and for clients including Bloomberg, Société Générale and MTV.
Associated Link : http://www.building.co.uk/5026592.article?origin=bldgbreakingnewsletter
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20/10/2011
Subject: Public Sector Cuts Cause More Redundancies
Description: BDP to Lose 100 jobs
A combination of cuts in public sector spending and a delay on one of its largest projects has led the UK's largest architect BDP to axe 100 jobs.Associated Link : http://www.building.co.uk/5026362.article?origin=bldgbreakingnewsletter
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19/10/2011
Subject: Arcadis Buys E. C. Harris
Description: Dutch Company Seeks Diversification
Dutch engineers Arcadis are to buy E. C. Harris according to Reuters.Associated Link : http://www.theconstructionindex.co.uk/news/construction-news/dutch-engineer-arcadis-buys-ec-harris
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8/10/2011
Subject: QSi Conference - 4 October 2011
Description: QSi Conference
The QSi conference held in London earlier this week, was a great success. The day was made memorable by a number of excellent speakers covering a range of current topics, together with some interesting sponsor stands and networking opportunities. The delegates left feeling it was a day well spent. Many thanks to all our members who took time to attend, we hope to see you again next year.Associated Link :
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31/8/2011
Subject: Infrastructure Supply Chains: Barriers and Opportunities
Description: BIS Research Report Published
The research report explores the experiences of firms in the infrastructure supply chain in accessing finance, innovative technologies and skills. It identifies several examples of good practice, both in supply chain relationships and in policies that were considered by business to offer long term certainty and consistency that would underpin investment.Associated Link : bis.gov.uk/assets/biscore/corporate/docs/i/11-1058-infrastructure-supply-chains-barriers-opportunities
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30/8/2011
Subject: Transport Scotland to Withhold Edinburgh Tram Funding
Description: £72m to Be Kept Back
Transport Scotland has written to the City of Edinburgh Council informint it that it intends to withhold £72m of the promised funding because of the Council's decision to take the tram only as far as Haymarket. Finance Secretary John Swinney said that it was time for the Council to "think long and hard" about where it was going with the project which has run into delay and cost overruns.Associated Link :
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30/8/2011
Subject: Contract Notice
Description: Quantity Surveying Services: Ireland
The Commissioners of Public Works in Ireland are looking to appoint quantity surveyors for works on the historic court house building in Waterford. Associated Link : www.etenders.gov.ie/Search/show/Search_View.aspx?ID=AUG259295
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20/8/2011
Subject: QSi Membership drive - FREE QSi membership!
Description: QSi Membership drive - FREE QSi membership!
PASS THE MESSAGE ON -
The QSi is pleased to offer 1 year's free membership to eligible attendees at the 4th October conference.
THIS IS PART OF OUR MEMBERSHIP DRIVE - PASS THE MESSAGE ON
This offer is open to anyone with the necessary experience and/or qualifications who is not already a QSi member.
Associated Link : http://www.theqsi.co.uk/seminars.asp
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17/8/2011
Subject: JCT 2011 Publication Date Confirmed
Description: Publication Will be On 9 September
The publication date for the JCT 2011 contracts has just been confirmed as being the 9 September. Implementation appears on track for the 1st of October 2011. BLISS Books is offering a 10% discount on JCT 2011 orders placed before 31 August 2011. A complete list of the contracts can be found on their website by clicking on the link below.Associated Link : /www.blissbooks.co.uk/images/JCT2011ContractsList.pdf
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17/8/2011
Subject: Interserve Wins £10m Contract
Description: One of Europe's Largest Energy-from-Waste Plants
Interserve has won a £10 million contract to provide mechanical and process engineering services to install major equipment items at one of the largest energy-from-waste plants under construction in Europe.
Working for Engineering, Procurement and Construction contractor Keppel Seghers, Interserve will deliver access and mechanical services during phase one of this two-phase project in Runcorn, Cheshire.
The company is also providing other works up to the value of £4 million for the client including access and scaffolding services along with formwork and falsework to the Project - through its Equipment Services division, RMD Kwikform.
The energy-from-waste plant will include a combined heat and power plant capable of processing 420,000 tonnes per year of solid recovered fuel derived from household waste. At full capacity it will be able to supply 270,000 MWh of electricity and 500,000 tonnes of steam per year.
Associated Link :
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15/8/2011
Subject: QSi Conference - 7 hours CPD
Description: The Future Role of the QS in a Green Environment
Join us at our conference to be held in London on 4 October and you will earn yourself 7 hours' CPD.
Subjects to be covered include:
- Role of the Employer's Agent
- QS Software
- Procurement
- the Cost of BREEAM
- Future Insurance Risks
- Carbon Reduction Costing
Dispute Resolution
Plus there will be plenty of opportunity to network with your fellow delegates and with our trade stands which include Howdens Insurance Brokers; Pinnacle Environmental Ltd; Masterbill and Franklin and AndrewsAssociated Link : www.theqsi.co.uk/seminars.asp
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3/8/2011
Subject: Balfour Beatty reaches financial close on Northamptonshire street lighting PPP contract
Description: £230m Contract
Balfour Beatty has announced today that it has reached financial close of a £230m street lighting contract in Northamptonshire. The 25-year concession will involve the design, installation and maintenance of about 46,000 street lights which includes approximately 34,000 new street lighting columns, and 11,000 signs and bollards during a five-year capital investment period, as well as the ongoing maintenance of all existing and new equipment.Associated Link :
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2/8/2011
Subject: ICE Contract Replacements Published
Description: ICC is Construction Act compliant
The Association of Consulting Engineers and the Civil Engineering Contractors Association has publihsed the new suite of Infrastructure Conditions of Contract, which replace the Institution of Civil Engineers family.Associated Link : www.blissbooks.co.uk/Contract-Shop-Infrastructure-Conditions-of-Contract/c2437_2956/index.html
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29/7/2011
Subject: Contract Opportunity
Description: Project Managers and Quantity Surveyors
Fylde Borough Council is advertising a contract for project managers and quantity surveyors for the refurbishment of the Town Hall in Lytham St. Annes.Associated Link : https://www.thechest.nwce.gov.uk/procontract/supplier.nsf/frm_opportunity?openForm&contract_id=CONTRACT-NWCE-8K82DE&opp_id=OPP-HIS-NWCE-8K83AX&search_id=&org_id=ORG-NWCE-7UFL4V&from=supplier_home
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23/7/2011
Subject: QSi EVENTS - London, Glasgow, Liverpool, Plymouth, Wolverhamption
Description: QSi EVENTS - London, Glasgow, Liverpool, Plymouth, Wolverhamption
QSi EVENTS - London, Glasgow, Liverpool, Plymouth, Wolverhamption
The QSi are running the following events:-
LONDON 4th October 2011
"The Future Role of the QS in a Green Environment". - 4th October 2011 - 7 hours CPD
http://www.theqsi.co.uk/seminars.asp
QSi members should log onto the main QSi website and then go to semilars to obtain discount.
CIOB, ABE and APM members can obtain special rates by contacting suzanne@hartevents.co.uk
QSi Branch news
GLASGOW 8 September - Roger Knowles to give a talk on the NEC in Glasgow CPD event email suzanne@hartevents.co.uk for full details
LIVERPOOL - 8 September - a talk and tour of Liverpool Central Library -joint CIOB event details at http://www.ciob.org.uk/events/talk-tour-liverpool-central-library-shepherd-construction) CPD event please email suzanne@hartevents.co.uk if you wish to attend.
PLYMOUTH - 20 September - Neil Caddy to give a talk on CDM Update CPD event email suzanne@hartevents.co.uk for full details
WOLVERHAMPTON - 16 October - Roger Knowles to talk at the University of Wolverhampton - (topic TBC) CPD event email suzanne@hartevents.co.uk for full details
Additionally, Roger is also running in-house courses on the Bribery Act for anyone who is interested on a nationwide basis. email suzanne@hartevents.co.uk for full details
We would be most grateful if you could circulate this information to anyone you feel it appropriate.
.
Associated Link :
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22/7/2011
Subject: Without Prejudice Material and Adjudication
Description: Adjudicator's Decision Based on Without Prejudice Material will not be Enforced
The Technology and Construction Court has ruled that an adjudication decision based on without prejudice material will not be enforced by the courts. When "without prejudice" communications are presented in court, because judges are legally qualified, they can usually put them out of their mind. In adjudication, however, because most adjudicators are not legally qualified, there is a sense of "unease" that such material might influence the adjudicator. For this reason, without prejudice communications should not be put before an adjudicator, and lawyers who do so may face professional disciplinary action.Associated Link : www.blissbooks.co.uk/news.php
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19/7/2011
Subject: Government Promises £22bn Construction Spend
Description: Public Projects to be Announced Later in the Year
Speaking at the Construction Procurement Conference, the Minister for the Cabinet Office, Francis Mause, said that £22bn will be spent on government projects over the next three years. Confirmation of the figure and the projects will be made in the Autumn.Associated Link : www.cnplus.co.uk/8617453.article
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19/7/2011
Subject: Consultancy and Project Management Services
Description: Development of Convention Centre in India
The State of Karnataka is planning the construction of an international convention centre complex, and is looking to appoint consultants, project managers and designers.Associated Link : www.ukti.gov.uk/uktihome/item/168040.html
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14/7/2011
Subject: Highways JV Sues Project Manager Over Bribery Claims
Description: Allegations of Bribes in Exchange for Subcontracts
A-One+, the highways maintenance joint venture, is suing a former senior project manager, Jason Dickinson, alleging that he took bribes from a subcontractor, CSS Construction, in exchange for awarding subcontracts as part of the £275 million Area 10 Managing Agent Contract with the Highways Agency. The joint venture, which is made up of Colas, Halcrow and Costain, is seeking damages of £163,000 from Mr. Dickinson.Associated Link : www.cnplus.co.uk/8617294.article
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13/7/2011
Subject: Proposals for £110bn Spend on Energy Projects
Description: Government White Paper
The publication of a government white paper on proposals to spend £100bn on the UK's energy infrastructure paves the way for the required legislation.Associated Link : www.theconstructionindex.co.uk/news/construction-news/white-paper-prepares-way-for-110bn-energy-infrastructure-investment
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12/7/2011
Subject: Dissenting Party Still Liable for Adjudicator's Fees
Description: Adjudictor's Fees had been Reasonable
A party who disagreed with the amount of fees charged by an adjudicator was still liable to pay them. By taking part in the adjudication, it was taken that they had agreed to the fees. As long as the hourly rate claimed by an adjudicator is not clearly outside an overall band of reasonableness, there would be no basis to interfere.
Associated Link : www.blissbooks.co.uk/news.php
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10/7/2011
Subject: The early bird gets the cheap ticket - Don't miss out
Description: The early bird gets the cheap ticket - Don't miss out
The Future Role of the QS in a Green Environment
Come and join us for a Conference and Networking
event that will focus on key industry issues for all
involved in Building and Quantity Surveying. For
full details go to the link below.
http://www.theqsi.co.uk/seminars.asp We are also
looking for sponsors. Want to get your name in front
of specifiers. This is your chance. Associated Link : http://www.theqsi.co.uk/seminars.asp
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8/7/2011
Subject: CDM Update
Description: Plymouth 20 September 2011
Venue: The Duke of Cornwall Hotel, Plymouth
Visitors please park in the Hotel car park to the rear of the building. There is also street parking adjacent to the car park. Entrance is from the car park to the rear or from the main entrance at the front of the Hotel.
Start Time: 3.00 pm
[Approximately 1 hr duration including a 15 min questions/ answers session at the end]
Subject: CDM UPDATE
Explaining the roles of the Professionals under the new regulations in 2007 and discussing the changes to be made in the near future.
v
Speaker: Neil Caddy CMIOSH MIIRSM RMaPS ICOB
Neil is a director and founder of JNC Safety Services Ltd. of Truro, Cornwall. He has been in the construction health and safety industry since 1973 and has been involved with many prestigious projects throughout the country. Neil is also a NEBOSH examiner.
The event is free of charge
To register to attend the event please email admin@theqsi.co.uk or
Michael O’Shaughnessy MA FQSI MCIArb FFB [Devon Branch Secretary] mdostjames@aol.com tel: 01752 228808 / 07966 442271
Associated Link :
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8/7/2011
Subject: NEC - Is It All It's Made Out To Be?
Description: Glasgow - 8 September 2011
This event for which there will be no charge will qualify for 2hrs CPD and will be held at Glasgow Caledonian University commencing 5.30pm for 6.00pm on Thursday 8th September 2011. Invitation is also extended to members of CIOB. We are fortunate indeed in having Roger Knowles as speaker for our first ever Scottish Branch CPD Event.
Roger Knowles’ subject is entitled: “NEC3 - Is it All it is Made Out to Be?” The chosen subject is very relevant to the trends of current thinking in relation to many of the Standard Forms of Contract. Roger Knowles’ article published very recently in the June 2011 edition of the Project Scotland Magazine refers to the Latham Report and to the concept of ‘Winds of Change blowing through Procurement’. This Seminar will provide useful background in preparation for what is very likely to lie ahead of us as practising Quantity Surveyors in the not too distant future.
Booking applications (stating names and the number of places required) should be made either to admin@theqsi.co.uk or to qsconsult@fsmail.net. On receipt of applications directions regarding location, parking, transport facilities etc will be issued along with confirmation of receipt of booking.
Associated Link :
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7/7/2011
Subject: Commencement Order for New "Scheme" Published
Description: Construction Act Amendments to Come into Force
A Commencement Order for the Local Demoracy, Economic Development and Construction Act has been published. This means that the changes to the Housing Grants, Construction and Regeneration Act and the Scheme for Construction Contracts will come into force on 1 October 2011.Associated Link : www.legislation.gov.uk/uksi/2011/1582/made/data.pdf
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29/6/2011
Subject: £100m North Lincolnshire Development Approved
Description: One of the UK's Biggest Port-Related Developments
North Lincolnshire Council has granted Able UK planning permission for the construction of the £100m South Humber Gateway. The 1,000 acre site will includetransport depots, a business park, a motel and energy developments.Associated Link : ww.theconstructionindex.co.uk/news/construction-news/north-lincs-council-approves-100m-development
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27/6/2011
Subject: Save on "New Aspects of Quantity Surveying Practice"
Description: New edition Published
Duncan Cartlidge wrote the first edition of this book, to address the changing role of the QS in the twenty-first century.
As we enter the second decade of the twenty-first century, the pressure on the QS profession continue to change and evolve and so this third edition includes new chapters to help students and professionals deal with the new issues they face. Key areas for new coverage include:
- the RICS New Rules of Measurement (NRM)
- the increasing importance of sustainability in the built environment
- new pressures for ethical standards in the QS profession.
Alongside these new issues, the chapters addressing issues such as procurement, IT, global markets and adding value have been updated to reflect changes in practice since the second edition.
With an emphasis on current practice, you will find this book an indispensible guide as you embark on your career in quantity surveying.Associated Link : www.blissbooks.co.uk/p192317/New-Aspects-of-Quantity-Surveying-Practice,-2nd-edition/product_info.html
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24/6/2011
Subject: Rise of the machines ...
Description: BIM v QS
The government has said that all government projects will be using Building Information Modelling (BIM) within five years. The article reports on the potential effect for quantity surveyors.Associated Link : www.building.co.uk/qs/rise-of-the-machines-bim-and-qss/5019945.article
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23/6/2011
Subject: Eight Nuclear Sites to be Confirmed
Description: Annoucement from Energy Secretary Due Today
Energy secretary Chris Huhne is to confirm today that the Government wants to go ahead with new nuclear power stations at eight sites. This announcement will be accompanied by the publication of a national policy statement for nuclear energy.Associated Link : http://www.constructionenquirer.com/2011/06/23/government-confirms-eight-nuclear-power-sites/?utm_source=Newsletter+subscribers&utm_campaign=0ddb9134ef-Newsletter_Template+06_23_2011&utm_medium=email
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20/6/2011
Subject: Withholding Certificates and Counterclaims
Description: Sum Certified is "Sum Due"
The amount stated in the certificate as due was a “sum due” under the contract and the employer must pay that sum on the date specified unless he has issued an appropriate withholding notice in time.
The court has held that an adjudicator had been wrong not to consider a party's counterclaim because it had not issued a withholding notice against an interim certificate. However, he would only be able to consider counterclaims which did not relate to the interim certificate itself.Associated Link : www.blissbooks.co.uk/news.php
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14/6/2011
Subject: Transport for Greater Manchester Looks for New Consultants
Description: Framwowk Expected to be Worth £80m
Transport for Greater Manchester is renewing its professional services framework for the next four years with work on offer in more than 20 disciplines.Associated Link : //www.placenorthwest.co.uk/news/archive/9277-tfgm-framework-could-reach-80m.html
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8/6/2011
Subject: Companies Held Liable for Consequential Loss
Description: Network Rail's Loss due to Disruption to Services Foreseeable
Two companies have been found liable for the financial loss suffered by Network Rail when its apparatus was damaged due to the negligence of their drivers. The damage caused disruption to the rail service and made Network Rail liable to the Train Operating Companies under their Track Agreements. The companies were held to be liable for that financial loss.Associated Link : http://www.blissbooks.co.uk/news.php
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8/6/2011
Subject: Co-Operative bank gives £5m funding boost to Birmingham University scheme
Description: Boost to Scheme
The Co-Operative Bank’s Birmingham corporate banking centre has teamed up with the Newman University College, based in Bartley Green, to help fund a new library and entrance building, performance hub and family research centre.Associated Link : http://www.propertyweek.com/5019490.article?origin=PWdailynews
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4/6/2011
Subject: The early bird gets the cheap ticket - Don't miss out
Description: The early bird gets the cheap ticket - Don't miss out
The Future Role of the QS in a Green Environment
Come and join us for a Conference and Networking event that will focus on key industry issues for all involved in Building and Quantity Surveying. For full details go to the link below.
http://www.theqsi.co.uk/seminars.asp
We are also looking for sponsors. Want to get your name in front of specifiers. This is your chance.
Associated Link : http://www.theqsi.co.uk/seminars.asp
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29/5/2011
Subject: De-coding BIM
Description: Quantity Surveyors Face £2,000 Training Costs Per Employee
Building Information Modelling (BIM) may be required on all government projects within five years; yet it is an unknown quantity. The article explains what it is , what it does and the implications for quantity surveyors.Associated Link : http://www.building.co.uk/technical/de-coding-bim/5018618.article
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18/5/2011
Subject: Quantity Surveyors Sought for Cyntra Consortium
Description: Frameworks and Call-Off Contracts
Cyntra Limited is a consortium of local authorities, arms length management organisations and registered social landlords, which is seeking quantity surveyors, cost management services, employer's agent and associated services.Associated Link : http://ted.europa.eu/udl?uri=TED:NOTICE:156248-2011:TEXT:EN:HTML&src=0
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16/5/2011
Subject: AECOM Wins Yorkshire Water JV
Description: Five Year Framework
AECOm has announced that its joint venture with Galliford Try, known as ETM, has won a place on Yorkshire Water's frameworr, securing the design and build assignments for a new water treatment facility for the U.K. client at Acomb Landing in North Yorkshire as well as the upgrade of the existing wastewater treatment facilities at Calder Vale in Wakefield, West Yorkshire.
Associated Link : http://www.aecom.com/News/AECOM+joint+venture+secures+place+on+US$532-million+Yorkshire+Water+framework+contract
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15/5/2011
Subject: The Future Role of the QS in a Green Environment
Description: The Future Role of the QS in a Green Environment
Come and join us for a Conference and Networking event which will focus on key industry issues for all involved in Quantity Surveying.
http://www.theqsi.co.uk/seminars.asp
We are looking for sponsors. So far you will be able to browse a number of sponsor stands during the course of the day, including Howdens Insurance Brokers, Franklin & Andrews and Pinnacle Environment Ltd.
Keynote Address
Stuart Ladds, Director, Government Property Unit
Session 1
Role of the Employer’s Agent
Speaker: Steve Newcombe, Mott MacDonald
• What functions does an Employer’s Agent perform? Is the role limited to design and construct procurement?
• Does a QS have to learn new skills to undertake the role eg quality of workmanship, assessing delays for EOT and taking a brief to produce employers requirements etc?
• Is the role likely to be as good as Project Manager which has been monopolised by QSs?
• Is the QS again going to steal a march on Architects?
• How lucrative are the fees?
• QSi Best Practice Certificate
Session 2
The Future of QS Software
Speaker: Paul Watkins, Masterbill
• A look at the latest advances in eTendering, Cost Databases and CAD Measurement, the efficiencies they offer and benefits they deliver, enabling QSs to prosper, rather than simply “survive” during the recession
Session 3
Future Procurement
Speaker: Roger Knowles, QSi
• Is Design and Construct likely to continue growing at the expense of traditional methods?
• Is Best Value likely to be overtaken by Best Affordable Value?
• Is the assessment of quality/price tender assessment likely to move in favour of price?
• Are the snags in Target Cost Contracts coming home to roost?
• Will there be a big swing back to lowest price bidding?
• Will early contractor involvement take off?
• How long will the “Herd Instinct” relating to the use of the NEC last?
Session 4
The Cost of BREEAM
Speakers: Andrew Knapp/David Cadwallader, Coles Knapp/CEADA Environmental
• Areas of possible involvement
• Breeam (BRE Environmental Assessment Method ) assessment
• Energy assessments
• Code for Sustainable Homes
• SAP
• SBEM
• Is this role likely to be as successful as CDM Co-ordinator?
Session 5
Future Insurance Risks
Speaker: Phil Davies, Howdens
• Since the recession commenced have claims been on the increase
• How has this affected PI premiums
• Are the risks greater for acting as Employer’s Agent or Environmental Consultant
• Will it affect premiums
• Insurance backing for QSi Best Practice Certificate
• Efficient insurance buying
• Basic Risk Management
Session 6
Carbon Reduction Costing
Speaker: James Fiske, Franklin & Andrews
• CapIT ;Mott McDonnald/ICE world first online construction cost and carbon tool
• Building and Civil Engineering
• Up to date cost and carbon information
• Allows quick and accurate estimating
Session 7
Dispute Resolution Going Forward
Speaker: Tony Bingham
• Energy saving on disputes
• Money saving ideas that cause dispute
• Wrong analysis by Latham
• The light goes out on partnering
• NEC and the Emperor’s clothes
Associated Link : http://www.theqsi.co.uk/seminars.asp
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8/5/2011
Subject: Conversion Works Did Not Change the "Identity" of a House
Description: No Liability under the Defective Premises Act
The Court of Appeal has overturned a judge's decision that the conversion works on a house were so extensive as to change its identity and so make the project manager liable to the purchasers under the Defective Premises Act 1972.Associated Link : http://www.blissbooks.co.uk/news.php
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7/5/2011
Subject: E. C. Harris Plans Global Expansion
Description: Expansion by Purchase
E. C. Harris has made moves into the markets in China and Saudi Arabia after buying a Chinese consultancy and winning a placee in Saudi Arabia's new nuclear energy city. The Saudi win will lead to an expansion in the company's operations there.Associated Link : http://www.building.co.uk/news/ec-harris-in-major-global-expansion-after-saudi-win/5017572.article
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5/5/2011
Subject: Materials Price Rises Outsrtip Tender Costs
Description: Latest BCIS Figures
The latest statistics from the Building Cost Information Service, indicate that tender prices increased by an additional 0.5% in the last quarter of 2010 compared to the previous three months. Material costs rose by 6.8% last year.
Associated Link : http://www.constructionenquirer.com/2011/05/04/tender-prices-rising-but-not-as-fast-as-material-costs/
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2/5/2011
Subject: QSi Conference – 4th October 2011
Description: QSi Conference – 4th October 2011
Book now – Be an early bird and save money
-
See link below for details
http://www.theqsi.co.uk/seminars.asp
Associated Link : http://www.theqsi.co.uk/seminars.asp
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27/4/2011
Subject: Breach of Adjudication Agreement is not Repudiation
Description: The adjudication agreement must stay alive and capable of being operated in relation to any other disputes.
The Technology and Construction Court has ruled that although a party may be in breach of an adjudication agreement by failing to follow the procedure contained in the contract, such a breach cannot be repudiation of the agreement.
Associated Link : http://www.blissbooks.co.uk/news.php
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16/4/2011
Subject: QSi Conference - London - 4th Ocotober 2011
Description: QSi Conference - London - 4th October 2011
Save Money - Don't miss your Early Bird Booking Associated Link : http://www.theqsi.co.uk/seminars.asp
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15/4/2011
Subject: Transport Secretary Calls for Changes to Procurement
Description: Better Value for Money Needed
Speaking at a launch of a new report by the Business Infrastructure Commission,, the Transport Secretary, Philip Hammond, has urged government departments to get better value for money from private contractors, and develop a more collaborative approach to procurement to save re-inventing the wheel each time.Associated Link : http://www.localgov.co.uk/index.cfm?method=news.detail&id=97866
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14/4/2011
Subject: QSs Sought for Manchester Port Project
Description: Project Will Also Include Rail Link
Peel Investments (North) is inviting expressions of interest from quantity surveyors for its proposed new port on the Manchester Ship Canal. The project is being funded through the TEN-T Executive Agency and UK Department for Transport.Associated Link : http://ted.europa.eu/udl?uri=TED:NOTICE:120132-2011:TEXT:EN:HTML&src=0
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12/4/2011
Subject: Don't miss the big event. - Book Now
Description: Don't miss the big event. - Book Now
QSi Conference 4th October 2011 - See link below
Associated Link : http://www.theqsi.co.uk/seminars.asp
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12/4/2011
Subject: Bilfinger Wins Contracts Worth Over 200m Euro in North Sea
Description: Boost to Offshore Business
Bilfinger + Berger has signed framework contracts valued at over €200 million for the maintenance and repair of offshore platforms in the North Sea. The agreements include project co-ordination and the management of planned plant shutdowns, cover a period of three to five years.
Associated Link :
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12/4/2011
Subject: Don’t Leave it Too Late to Claim
Description: Claim for Defective Work Timed Out
Redlime undertook building works on Mr. Eagle‘s property in 2000. Mr. Eagle commenced proceedings on 29 October 2009. As well as denying liability, Redlime alleged that the action was statute-barred because Mr. Eagle had the actual or constructive knowledge for bringing the action at the latest by 29 October 2006. Mr. Eagle argued that he did not have the constructive knowledge until November 2006, and that the action had been brought within the three-year period allowed by section 14A of the Limitation Act 1980.
Mr. Eagle wanted to build a kennel block at his house, and engaged Redlime to build the base for the kennels in accordance with drawings prepared by a surveyor, which included a vertical section which showed the proposed foundations. Mr. Eagle said that Redlime had held itself out to be a civil engineering contractor with knowledge and experience in ground works and foundations. Redlime denied that it had only been obliged to construct according to the contents of a hand written sketch provided by Mr. Eagle.
After Redlime had completed the ground work, Mr. Eagle engaged other contractors to build the kennels on top of Redlime’s concrete slab. In 2005, a local plasterer, Mr. Jobs, undertook some rendering, and shortly after, Mr. Eagle noticed small cracks in the rendering which he put down to normal settlement. In about the early 2006, Mr. Eagle then noticed that what he referred to as the “Aco channel” (which formed part of the drainage system) was sinking and separating from the slab floor. Mr. Eagle thought at the time that this was due to Redlime simply placing the Aco channels on a mix of ballast (stones) and cement and then pouring concrete into the void using the edge of the Aco channel as a shutter rather than creating a channel in the concrete for the Aco drain. Some time in the late summer of 2006, Mr. Eagle noticed that the render had re-cracked, and the gap along the Aco drain which he had filled had reappeared. Mr. Eagle rang Redlime’s Mr. Harmsworth who promised to come out, but failed to do so. Mr. Eagle also contacted solicitors, Darbys, and his insurers. The insurers informed him that he was not covered for the settlement of the Aco channel caused by water ingress onto the dry mix on which it had been placed.
Redlime blamed it on shrinkage of the clay soil due to the dry summers. They stated that Mr. Eagle had been satisfied with their work and they had had no input in the design of the slab, and both Mr. Eagle and building control had inspected the work. Mr. Eagle contacted a firm of engineers, who produced a report dated 16 November 2006. In this they blamed the cracking in the floor slab on the lack of tying between the edges of the floor slab with the central section, and said that the slab was too shallow. The report recommended underpinning.
The judge accepted Mr. Eagle’s evidence that this was the first time anyone had said to him that the problems were caused by the fact that the base had been constructed by Redlime in three sections and those sections had not been tied together. Up until that point he had merely suspected that a problem had been caused by water ingress penetrating and then compacting the dry mix upon which the Aco drain had been placed; and that he had not even suspected that the problem was any greater or more widespread than this. Mr. Eagle obtained a quote for the underpinning, and was told that it would be cheaper to knock the kennels down and start from scratch.
Mr. Eagle argued that he did not have the relevant constructive knowledge until 16 November 2006, and that the existence of the defects were only ascertainable with expert assistance. He submitted that he had taken all reasonable steps to take this expert advice and had obtained the engineer’s report within a month of him writing to Redlime. The critical question was when Mr. Eagle had “the knowledge required for bringing an action for damages in respect of the relevant damage”.
On the facts, the judge concluded that Mr. Eagle had had the necessary knowledge of the material facts about the damage in respect of which damages are claimed prior to (at the latest) 29 October 2006. By that stage, he certainly had known that there had been subsidence causing the Aco channels to sink and to separate from the concrete slab and that there had been cracking to the windows and walls. In the judge’s view, those were facts about the damage which would lead a reasonable person who had suffered such damage to consider it sufficiently serious to justify his instituting proceedings for damages against a defendant who did not dispute liability and was able to satisfy a judgment within the meaning of subsection (7). The judge accepted that he had not had knowledge of the full extent of the damage, but the authorities suggested that this was not necessary or relevant for the purposes of s14A(6)(a) and (7) provided that the damage of which the claimant has knowledge is “sufficiently serious” so as to satisfy the requirements of subsection (7).
Before prior to 29 October 2006, Mr. Eagle had thought that the damage was caused by something that Redlime had done wrong, although he wrongly believed that the cause of the problem with at least to sinking of the Aco channels was that Redlime had used a dry mix and) he only became aware of the real cause after he received the report from Hannah Reed. Before this date, Mr. Eagle had not had sufficient knowledge of the real cause of the damage; however, he had had sufficient knowledge that the damage was attributable to an act or omission of Redlime within the meaning of subsection 6(b) and 8(a) of the Act in the sense of being capable of being attributed to the work which they had carried out. This was confirmed by the fact that he had contacted Darbys for advice and had written to Redlime. With regret, the judge held that Mr. Eagle’s action was statute-barred.
Copyright: BLISS Books Ltd. 2011
CLINTON EAGLE V REDLIME LTD., [2011] EWHC 838 (QB)Associated Link :
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4/4/2011
Subject: The End of Expert Witness Immunity?
Description: Immunity Should be Abolished, says Supreme Court
The UK Supreme Court has expressed the view that expert witness immunity should be abolished. Lord Phillips drew a comparison with the withdrawal of immunity from barristers. There has been no noticeable increase in vexatious claims against barristers, nor had the lack of immunity made them any less “fearful” of doing their job. The comments were made in the Supreme Court decision in Jones v Kaney, [2011] UKSC 13.
The case concerned a road traffic accident, in which the appellant was knocked down by a car and suffered from post traumatic stress disorder (PTSD), depression, an adjustment disorder and associated illness behaviour which manifested itself in chronic pain syndrome.
A consultant clinical psychologist was retained to act as an expert witness for the appellant. Following a telephone discussion between the experts in the case, the appellant's expert signed a joint statement prepared by the opposing expert, without making any comment or amendment. She later said that the joint statement did not reflect what she had agreed in the telephone discussion but that she had felt 'under pressure' to sign it. Because of the damaging nature of admissions in the joint statement, the claim was settled for a sum that was considerably less than would have been the case if the appellant's expert had not signed the joint statement in the terms that she did.
The appellant commenced proceedings against the expert. The expert relied upon the principle that an expert witness in civil proceedings is immune from being sued. At first instance the expert was successful and the claim was struck out. The issue came before the Supreme Court as a result of a 'leap-frog' certificate enabling the appellant to bypass the Court of Appeal in its appeal against the strike out decision based upon the immunity rule.
In its decision, the Supreme Court reviewed various authorities, and discussed the reasons why expert witnesses enjoy immunity from suit, and whether such immunity could be justified.
The key element which ran throughout all the authorities was the "chilling effect" should experts be left open to suit. The argument was that it would make witnesses reluctant to testify, and if they did testify, it would make them reluctant to do so freely and frankly. The cases emphasised that the object of the immunity was not to protect those whose conduct was open to criticism, but those who would be subject to unjustified and vexatious claims by disgruntled litigants. The justifications for expert witness immunity were identified as being:
To protect witnesses who have given evidence in good faith from being harassed and vexed by unjustified claims;
To encourage honest and well meaning persons to assist justice; in the interest of establishing the truth and to secure that justice may be done;
To secure that the witness will speak freely and fearlessly;
To avoid a multiplicity of actions in which the value or truth of the evidence of a witness would be tried all over again.
It would not be right to start with a presumption that because the immunity exists it should be maintained unless it is shown to be unjustified. The onus lay fairly and squarely on the respondent to justify the immunity behind which she sought to shelter.
Lord Phillips drew a comparison with the position of barristers. It was always believed that it was necessary that barristers should be immune from suit in order to ensure that they were not inhibited from performing their duty to the court. However, in his Lordship's experience, removal of their immunity had not resulted in any diminution of the advocate's readiness to perform that duty. It would be quite wrong to perpetuate the immunity of expert witnesses out of mere conjecture that they would be reluctant to perform their duty to the court if they were not immune from suit for breach of duty.
The judge could appreciate that there might be apprehension amongst experts, but, again, he questioned the extent to which this was realistic to anticipate vexatious litigation. In the present case, on the agreed facts, the expert admitted that she had signed a joint report which had not reflected her views. There was nothing vexatious about the present claim. If a litigant is disaffected because a diligent expert has made concessions that have damaged his case, how is he to get a claim against that expert off the ground? It will not be viable without the support of another expert. The litigant without resources will be unlikely to succeed in persuading lawyers to act on a conditional fee basis. A litigant in person who seeks to bring such a claim without professional support will be unable to plead a coherent case and will be susceptible to a strike out application. For those reasons Lord Phillips doubted whether removal of expert witness immunity would lead to a proliferation of vexatious claims.
Taking the above considerations into account, Lord Phillips considered that the immunity from suit for breach of duty which expert witnesses have enjoyed should be abolished. This did not extend to the absolute privilege that they enjoyed in respect of claims in defamation. The appeal would be allowed.Associated Link :
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1/4/2011
Subject: And ... Another Merger
Description: Matthews & Goodman and Edmund Kirby merge
Long-established surveyors and town planners, Matthews & Goodman and Edmund Kirby have merged to create a company with offices in London, Manchester and Liverpool.
Associated Link : http://www.placenorthwest.co.uk/news/archive/8724-matthews-and-goodman-and-edmund-kirby-merge.html
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1/4/2011
Subject: Midlands Surveyors Merge
Description: Sanders and Fisher German Combine
Chartered surveyors John Sanders has merged with Fisher German, a practice which has been been established for 160 years and specialises in renewable energy, utilities, telecommunications and estate management. The move increases Fisher German's offices from 11 to 13 nationally.
Associated Link : http://www.thebusinessdesk.com/westmidlands/news/149107-chartered-surveyors-merge-with-local-rival.html?news_section=19012
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1/4/2011
Subject: Free CPD Event - South Wales
Description: Framework Agreements &Target Cost Contracts
b>Free Briefing Sessions: Speakers: Roger Knowles & Peter Gracia
We are running two free briefing sessions your organisation may benefit from on the 11th May 2011 at the Orbit Business Centre, Merthyr Tydfil. We are pleased that our colleague Roger Knowles, founder of the international construction consultancy, Knowles, has agreed to speak on Target Cost Contracts.
Each session provides an overview of the topic areas with useful guidance for those who intend to set up Framework Agreements or wish to participate in them and those considering using Target Cost Contracts focussing on the NEC variant.
Our briefing sessions to-date have been very popular and in order to be fair to all those who may wish to attend we must limit numbers to 2 persons per organisation. Please book early.
Briefing Session 1 – Framework Agreements (PG) 10-12am
• What does a framework allow us to do
• Contractor selection processes
• Frameworks for multiple clients
• Protecting the local supply chain
• Allocating the call off contracts under the framework
Briefing Session 2 – NEC Target Cost Contracts (RK) 1-3pm
• What is Target Cost?
• The Gain/Pain share mechanism
• Establishing payments (NEC3 Option C)
• Problem areas
• The final payment and Gain/Pain sharing
If you wish to attend either or both sessions please email info@graciaconsult.com to let us know.
Coffee will be provided at 9:30 for Briefing 1 and at 12:30 for Briefing 2. If you are unable to make the date please drop us a line if you have any queries on the topics covered or view our website www.graciaconsult.com for further information on our services.
Regards
Peter Gracia
Director
Gracia Consult
2 Church Street
Merthyr Tydfil
CF47 0BA
www.graciaconsult.com
Tel.: (+44) 01685 723139
Fax: (+44) 01685 723793
Mobile: 07817 381821
Associated Link :
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30/3/2011
Subject: Eleven New Enterprise Zones Named
Description: Sceptics Say Enterprise Zones Policy Will Displace Jobs and Firms
The government announced the creation of 21 entrprise zones in the Budget last week. Now, the first four Enterprise Zones whose exact locations have been agreed have been named. These are the Boots campus in Nottingham, Mersey Waters, Manchester Airport and London's Royal Docks.
Associated Link : http://www.planningresource.co.uk/bulletin/ecdevbulletin/article/1062147/coalition-names-initial-11-new-enterprise-zones/
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25/3/2011
Subject: Network Rail Embraces ECI
Description: Project Open Book
Network Rail has announced that it will work earlier with designers and contractors in developing projects worth more than £6bn. "Project Open Book”, as it has been dubbed internally, will see Network Rail opening up its biggest projects to construction and engineering companies at an early stage, integrating suppliers into its delivery teams in a bid to reduce costs.
Associated Link : http://www.cnplus.co.uk/8613051.article
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21/3/2011
Subject: Skanksa Wins $204m World Trade Centre Contract
Description: Oculus Win
Skanska is to fabricate and erect the steel for the "Oculus" building at the new World Trade Center Transportation Hub in New York under a contract with the Port Authority of New York and New Jersey. The contract is worth $204m.
The Oculus is a winged structure which will be the gateway to the PATH commuter train at the new World Centre Transportation Hub.Associated Link : http://finance.yahoo.com/news/Skanska-to-Build-Oculus-at-bw-3252360136.html?x=0
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21/3/2011
Subject: Interserve Lands Middle East infrastructure Support Contract
Description: Three-Year Maintenance Contract at UK Air Base
Interserve has secured a three-year maintenance contract to support UK operations at a Main Air Base in the Middle East. Following the relocation of UK operations to the airbase, Interserve will manage the maintenance of the site, working with a sister company, based in the Middle East.
Associated Link :
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21/3/2011
Subject: West Midlands CPD Event
Description: The Changing Face of the NHS Estate
West Midlands CPD Event on 13th April 2011 at the University of Wolverhampton. The changing face of the NHS estate. Everyone welcome I would be very happy to see you there.
Steve NewcombeAssociated Link :
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18/3/2011
Subject: Cyril Sweett Goes for Global Expansion
Description: Alliance in USA
Cyril Sweett has formed alliances with two American project management companies as part of its plans for global expansion.Associated Link : http://www.building.co.uk/5014937.article?origin=bldgqsnewsnewsletter
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11/3/2011
Subject: Employer's Agent - Best Practice Guidance
Description: Employer's Agent - Best Practice Guidance
With the ever changing contract landscape and the pressure on workloads and fees, it has become evident that the role of EA/ER is exposing members and clients to unforeseen risks.
Because of the nature of the role, the scope of services, nature of the role and requirements of the team are not fully embraced by currently available service agreements.
The risks from undertaking the role will arise not only under the law relating to the contract for which the services are provided, but others such as the tort of negligence, health and safety, agency and possibly the recent legislation concerning Bribery.
Where a company or individual holds himself or herself out to be competent to act as an Employer’s Agent/Representative, lack of knowledge or experience will be no defence to an action brought which results from a poor performance
The projects identified as having the greatest risks are therefore those with fewer occurrences in the industry or with staff suitability.
Principal risk projects are:
In excess of £10 million
Complex projects
Staff with less than 10 years practical experience.
Due to this, and in agreement with Howden, our preferred insurance broker, we are advising our members to carry out peer reviews to establish if the risks are being adequately managed.
It is the QSi’s intention to develop a code of practice and schedule of services for the role in line with current requirements. In the meantime we are looking for members to submit CVs and apply to go on our register for service peer reviewers.
If members should wish to contact us for a reviewer to be assigned or to apply, please contact admin@theqsi.co.uk .
Steve Newcombe
QSi
Vice President
Associated Link :
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7/3/2011
Subject: CPD Event
Description: CPD - Yorkshire Region
The CIArb NE Branch is runing an event entitled "The Economic Outlook for the Yorkshire Region in 2011" on 22 March 2011
For further information please contact barnton49@hotmail.co.uk, or visit the following link:
http://www.ciarb.org/events/2011/03/ciarb-north-east-branch---the-economic-outlook-for-the-yorkshire-region-in-2011/?start=201103&end=201103&view=calendar
Associated Link :
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7/3/2011
Subject: Derbyshire Power Station Granted Planning Permission
Description: Potential Capacity of 2,400MW
The RWE Npower project will include up to four 500MW combined cycle gas turbine (CCGT) units and four open cycle gas turbine (OCGT) plants with a combined capacity of 400MW. The project will be built on the site of the coal-fired Willington A and B power stations, which closed in the 1990s.
However, the project will only go ahead if RWE npower obtains planning permission for a 30km pipeline bringing natural gas into the site. The company expects to lodge a development consent order application for this with the Infrastructure Planning Commission (IPC) by the end of the year.
Associated Link :
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6/3/2011
Subject: QSi Annual Conference
Description: Annual Conference and Networking Event
THE FIRST QSi ANNUAL CONFERENCE
AND NETWORKING EVENT
Cavendish Conference Centre
Tuesday, 4 October 2011
The Future Role of the QS in a Green Environment
Come and join us for a Conference and Networking event which will focus
on key industry issues for all involved in Quantity Surveying.
We will also be able to browse a number sponsor stands during the course of the day.
Session 1
Government Expenditure Plans
Speaker: Stuart Ladd
• What are the government’s spending plans over the next 4.5 years on construction work?
• Government plans to spend £200bn on capital projects
• Expenditure on rail, nuclear power, alternative energy, housing, schools and hospitals
Session 2
Role of the Employer’s Agent
Speaker: Steve Newcombe, Mott MacDonald
• What functions does an Employer’s Agent perform? Is the role limited to design and construct procurement?
• Does a QS have to learn new skills to undertake the role eg quality of workmanship, assessing delays for EOT and taking a brief to produce employers requirements etc?
• Is the role likely to be as good as Project Manager which has been monopolised by QSs?
• Is the QS again going to steal a march on Architects?
• How lucrative are the fees?
• QSi Best Practice Certificate
Session 3
The Future of QS Software
Speaker: Paul Watkins, Masterbuild
• Software following changes in procurement methods
• E tendering
• E bidding
Session 4
Future Procurement
Speaker: Roger Knowles, QSi
Is Design and Construct likely to continue growing at the expense of traditional methods?
Is Best Value likely to be overtaken by Best Affordable Value?
Is the assessment of quality/price tender assessment likely to move in favour of price?
Are the snags in Target Cost Contracts coming home to roost?
Will there be a big swing back to lowest price bidding?
Will early contractor involvement take off?
How long will the “Herd Instinct” relating to the use of the NEC last?
Session 5
The Cost of BREEAM
Speaker: Andrew Knapp, BREEAM
• Areas of possible involvement
• Breeam (BRE Environmental Assessment Method ) assessment
• Energy assessments
• Energy audits
• Energy surveys
• Renewable energy option studies
• Sustainability checklist; sustainable homes certificate
• SAP
• SBEM
• Is this role likely to be as successful as CDM Co-ordinator?
Session 6
Future Insurance Risks
Speaker: Phil Davies, Howdens
• Since the recession commenced have claims been on the increase?
• How has this affected PI premiums?
• Are the risks greater for acting as Employer’s Agent or Environmental Consultant?
• Will it affect premiums?
• Insurance backing for QSi Best Practice Certificate
Session 7
Carbon Reduction Costing
Speaker: James Fiske, Franklin & Andrews
• CapIT ;Mott McDonnald/ICE world first online construction cost and carbon tool
• Building and Civil Engineering
• Up to date cost and carbon information
• Allows quick and accurate estimating
Conference Fee:
£150.00 Members; £175.00 Non Members
EARLY BIRD DISCOUNT ON ALL BOOKINGS MADE BEFORE 30 JUNE 2011
£125 Members; £150 Non Members
Enquiries:
Email: admin@theqsi.co.uk Tel: 01606 786698 Website: www.theqsi.com
Associated Link :
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4/3/2011
Subject: PPP Created for Potential Newcastle Redevelopment
Description: Biggest City Redevelopment Project in the North
A new public private partnership, the Scotswood Urban Regeneration Vehicle has been established to undertake the biggest city redevelopment project in the north of England - the transformation of the Scotswood area of Newcastle-upon-Tyne. The joint venture is a partnership between Newcastle City Council and developers Barratt, Keepmoat and Yuill (BKY).
Associated Link : http://www.planningportal.gov.uk/general/news/stories/2011/mar11/3mar11/030311_4
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2/3/2011
Subject: Don't Waste Time Bringing Public Procurement Challenges
Description: Appeal Against Contract Award was Out of Time
Sita UK's challenge to the award of a multimillion pound waste contract by the Greater Manchester Waste Disposal Authority has been rejected by the Court of Appeal. It was evident from the exchange of correspondence that Sita had had sufficient constructive knowledge to issue a proper statutory challenge but had not done so. Since it had failed to make a challenge within the required three month period, its claim now faied.Associated Link : http://www.blissbooks.co.uk/news.php
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2/3/2011
Subject: Consultation on Amendments to the Architects Act 1997
Description: DCLG Publishes Consultation Paper
This consultation looks at an amendment to the Architects Act 1997 (as amended) in relation to the mutual recognition of professional qualifications. These provisions set out how professionals can obtain recognition of their qualifications when moving between Nation States within the EU in order to support greater freedom of movement within the Single Market.
Associated Link : http://www.communities.gov.uk/publications/planningandbuilding/architectsactconsultation
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28/2/2011
Subject: Glasgow Housing Association Contract
Description: Housing Association Seeks Consultancy Services
Glasgow Housing Association has published an OJEU notice for consultancy frameworks. The contract values range from £4.5m to £6.5m.Associated Link : http://ted.europa.eu/udl?uri=TED:NOTICE:62604-2011:TEXT:EN:HTML&src=0
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28/2/2011
Subject: Bilfinger Berger Wins €100 million Energy Contract in Israel
Description: Contract with the Israel Electric Corporation
Bilfinger Power Services has won an €100 million from the Israel Electric Corporation for a flue gas purification system. The contract will involve refitting four power plant blocks at two separate locations.Associated Link : http://www.bilfinger.com/en/Press/Press-Releases/2011/listing/Bilfinger-Berger-to-build-denitrification-plant-valued-at-EURO100-million
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28/2/2011
Subject: Baqus Back in the Black
Description: Pre-Tax Profit for First Half
Quantity surveyors and project managers Baqus have recorded a profit for the first half after their previous losses. However, the firm is still suffering the impact of delayed and cancelled projects in both the public and privates sectors.Associated Link : http://www.theqsi.co.uk/adminnews.asp
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23/2/2011
Subject: Welsh Gas Fired Power Station Approved
Description: 870MW Gas-fired Power Station to be Built Near Port Talbot in south Wales
The Abernedd Combined Cycle Gas Turbine Plant will be built by developer SSE at the Baglan Bay Energy Park, on the former site of a chemicals facility.
Energy minister Charles Hendry said: "This new power station will bring jobs and industry back to this disused site and will provide a boost to the nation’s energy security.
"Gas is the cleanest and most reliable fossil fuel and it will continue to be a central part in the country’s energy mix during the transition to a low carbon economy."
The station will be built carbon capture-ready, meaning CO2 produced by the plant could eventually be captured and transported for storage offshore."
SSE has also been given consent consent to retrofit its coal-plant in Fiddler’s Ferry, Warrington, with a selective catalytic reduction plant (SCR) to reduce emissions of nitrogen oxides.
Associated Link :
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21/2/2011
Subject: Network Rail to Restructure
Description: Decentralisation to Reduce Costs and Deliver Improvements to Passengers
Network Rail has announced restructuring plans which will create a number of new, devolved business units run by managing directors. Each of the managing directors will, in effect, be running their own infrastructure railway business. Network Rail's CEO says that the plans will increase accountability at local level.Associated Link : http://www.cnplus.co.uk/news/network-rail-announces-restructure/8611543.article
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16/2/2011
Subject: Private Sector Partnerships are the Key to Housing Growth Says Kier
Description: Kier Delivers Mixed Tenure Developments with Private Partners
The Kier Group has stressed the importance of building sustainable partnerships with private sector initiatives to aid the housing recovery.
Associated Link : http://www.localgov.co.uk/index.cfm?method=news.detail&id=95483
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14/2/2011
Subject: Urgent Notice - Employer’s Representative/Agent Services
Description: Employer’s Representative/Agent Services
The QSi is in the process of developing a Best Practice document for Employer’s Agent/Representative services, which is being backed by the insurance industry through Howden.
In discussions with Howden, our partnered insurance company, some significant risks to our members and their clients have been identified, in relation to providing this service. In order to mitigate these we are advising all our members offering this service to use our peer view facility in the interim. This has been fully endorsed by the insurance industry as a recommended method of risk reduction and management.
Our Vice President is also providing CPD lectures on Employer’s Agent/Representative services on request. Part of the lecture includes management and risk mitigation processes designed to reduce significant risks, which will be forming part of the best practice document. For more information please email to admin@theqsi.co.uk
Associated Link :
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14/2/2011
Subject: ACE and CECA to Keep ICE Contracts
Description: Bodies Agree to Maintain Abandoned Contracts
The Civil Engineering Contractors Association (CECA) and the Association for Consultancy and Engineering (ACE) have jointly agreed to maintain the ICE Conditions of Contract as contracts of choice. This follows the Institution of Civil Engineers' decision to withdraw them in favout of NEC 3.Associated Link : http://www.theconstructionindex.co.uk/news/company-news/CECA-and-ACE-agree-to-keep-ICE-Conditions-of-Contract
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13/2/2011
Subject: Annual Conference
Description: QSi Annual Conference
Annual Conference
Our Annual Conference will be held in London this year.
Put this in your diaries – 4th October 2011
The Conference Centre is booked and full details will be sent out shortly.
Please help us make the conference a success by supporting us. We will be offering earlybird reduced rates – Take advantage of the reduction and book early.
The General Council are still finalising the agenda but we already have a number of headline speakers lined up. However, if you know someone who has a expertise and will share it with us, they will be welcome on the podium.
We are also looking for companies who would like to sponsor us or take a stand.
If you can help, contact Suzanne Case at admin@theqsi.co.uk
Associated Link :
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9/2/2011
Subject: Government Go Ahead for Humber Wind Farm
Description: Humber Gateway Project Worth £700m
The Government has given approval to E.ON's 77 turbine wind farm to be built off the Humber coast.Associated Link : http://www.thebusinessdesk.com/yorkshire/news/126579-breaking-news-go-ahead-for-humber-gateway-wind-farm.html?news_section=5
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5/2/2011
Subject: October Challenge
Description: October Challenge
October Challenge
At the tail end of last year it was decided that Quantity Surveyors International ( QSi) would hold a QS Conference in London. Hence the title: October Challenge.
The QSi General Council are currently trying to assemble companies, speakers, sponsors and well-wishers and put together a Confernce that can be of benefit to the whole Building Industry. We also hope to put some spirit back into our profession.
So how can YOU help?
Does your company:-
1) have a unique product or service that could benefit from a conference like ours? If you do – let us know. Have you a good speaker who can provide a lecture ?… If you have, you could be invited to join us.
2) offer an expert service that would be of value to the Building / Civil Engineering Industry / Quantity Surveying Profession? Have you a good speaker who can provide a lecture ? If you do – let us know and you could be invited to join us.
3) Need a forum to discuss the future of the Building / Civil Engineering Industry / Quantity Surveying Profession? Have you a good speaker available? If you do – let us know and you could be invited to join us.
4) Provide construction services? – Does your company have a new and exciting product that needs publicity… Let us know and you could be invited to join us.
Are you in Local Government - Do you need a forum? Let us know and you could be invited to join us.
So there you have it. In a nutshell, at the moment we have a blank canvas … If we all work together over the next few months everyone will be able to benefit..
Please help with the October Challenge and make our QSi Conference one to remember.
All the best
Andrew Williams FQSi FRICS FCIOB FBEng
QSi President
Associated Link :
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31/1/2011
Subject: Quantity Surveyor Liable for Undermeasurement
Description: J & J Properties v Durnien, [2010] NIQB 141
The claimant was a development company formed and controlled by its principal shareholders, Mr. Joseph McMullan and Mr. John McKendry. Neither had any experience of the construction industry or development matters. The defendant was a quantity surveyor who was introduced to the claimant’s owners by Mr. McMaster, an architect. Mr. McMaster and Mr. Durnien prepared a detailed set of proposals for a design and build scheme which ultimately came to be crystallised in the form of an offer made by the claimant to and accepted by the Clanmil Housing Association Limited. Housing Associations were prepared to invest in such schemes at the time.
The present action concerned the defendant’s role in the preparation of the contract between the claimant and Clanmil whereby the claimant contracted to design and build 28 houses on the Woodcot Avenue site for a total tender price of £2,030,000. In order to perform the contract the claimant contracted with John Surgenor and Son (Mr. Surgenor) as building contractors for the construction works at the site. The claimant accepted Mr. Surgenor’s tender of £1,285,065.94 for the construction works. These works naturally made up the largest element in the claimant’s tender price, however, the ultimate tender had three principal elements.
The claimant alleged that the defendant had been in breach of his contract to act as quantity surveyor and project manager in two respects. when he prepared the bill of quantities upon which Mr. Surgenor’s contract was based, and later when he prepared a breakdown of the total costs of the project which was submitted to Clanmil in the form of a contract sum analysis, he failed to make allowance for two substantial elements of the cost of construction i.e. the site preparation work and the cost of piling. The claimant had had to employ another sub-contractor to do the piling. Mr. Surgenor was paid £230,138 for this work, and the piling sub-contractor was paid £60,458.20, a total of £290,596.20. Only £140,000 had been allowed for earth works in the bill of quantities and the contract sum analysis, leading ultimately to a shortfall of £150,596.20. At the conclusion of the case, it was recognised that as many of those costs related to either under measurements in the bill of quantities by the defendant (to which separate reference will be made), or to design changes which were not the responsibility of the defendant, and, accordingly, the claimant’s claim was limited to the amount of £150,596.20 under the construction and piling head.
Secondly, the claimant argued that the defendant had under measured the Bill of Quantities.
The court concluded that the claimant’s claim in respect of the shortfall of £150,596.20 was proved, subject to any failure on its part to mitigate its loss. The defendant asserted that the claimant could have sought to enter into a “back to back” contract with Mr. Surgenor, which would have been identical in all respects with the contract which the claimant had entered into with Clanmil, but the court rejected this as a “diversion”.
HAD THE CLAIMANT FAILED TO MITIGATE ITS LOSS
Mr. McMullan had taken an active role in the development of the contract with the defendant in a number of ways. In particular, on 15 May 2001 the John Neil Partnership, Clanmil’s agents, had written to Mr. McMullan, and in the letter referred to “proposed ground stabilisation works now included in your proposals”. That suggested that something had been said to the claimant to make it clear that this work was included in its proposal. In addition Mr. McKendry had been present at the pre-contract meeting on 25 May 2001 when express reference was made to “ground stabilisation works” and the consequent extension of the contract period from 15 to 18 months to allow for this. Despite that it appears that the claimant did not query whether the civil engineering works and the piling were included in the contract with Clanmil at that stage. From the evidence of the correspondence, the claimant had been well aware of the piling, and it knew of the significance of piling as that had been part of their earlier Antrim project. Mr. McMullan had also admitted in evidence that he knew the piling had been done.
That being so, the question was whether the claimant knew, or could reasonably be expected to ascertain for itself, that the civil engineering works and the piling had not been included in the bill of quantities upon which Mr. Surgenor had based his contract.
Despite their taking a close interest in the costs, the judge accepted Mr. McMullan’s evidence that the claimant had left it to the defendant to tell them what was in the bill of quantities and what was not, and that they believed that the figure of £1.425m covered everything. The very simple reason for this was that, if the contrary had been the case, Mr. McMullan and Mr. McKendry would never have entered into this contract because they could not make a profit on it. The defendant was the expert upon whom the claimant relied, and he had been in breach of the implied terms of his contract with the claimant in that he failed to exercise proper care as the quantity surveyor and project manager to ensure that the necessary allowance for civil engineering work and piling was made in the bill of quantities, and that, when it became apparent that they had not been included, the claimant was not alerted to this in time for the claimant to decide not to proceed with its offer and withdraw from these negotiations. The claimant was therefore entitled to recover the figure of £150,596.20.
Copyright: BLISS, the Building Law Information Subscriber service 2011
Associated Link :
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31/1/2011
Subject: RICS Fines Errant Members
Description: Members Question RICS' Right to Intefere in Court Cases
The RICS fined members £140,000 in 2010 from disciplinary hearings, and expelled eleven members. However, come are questioning whether the RICS should be able to inflict sanctions in cases where there have already been court proceedings or employment tribunal hearings.Associated Link : http://www.building.co.uk/5011897.article?origin=bldgqsnewsnewsletter
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31/1/2011
Subject: Carillion Signs £350m MOU with Government
Description: Contractor Works on Supplier Engagement Programme.
Carillion's start to 2011 has been boosted by signing a Memorandum of Understanding with the Coalition Government which could be worth £350m. Associated Link : http://www.thebusinessdesk.com/westmidlands/news/122048-carillion-boosted-by-new-orders-and-goverment-mou.html?utm_source=newsletter&utm_medium=email&utm_campaign=_31st_Jan_2011_-_Daily_E-mail
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27/1/2011
Subject: Yorkshire Surveyors Bought Out
Description: LHL Buys Roger Spencer Logan
LHL Group has bought chartered surveyors Roger Spencer Logan for an undisclosed sum.
Spencer Logan's two irectors will join York-based property consultants LHL.
Associated Link : http://www.thebusinessdesk.com/yorkshire/news/120418-acquisition-for-lhl-group.html?utm_source=newsletter&utm_medium=email&utm_campaign=Yorkshire_27th_Jan_2011_-_Daily_E-mail
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25/1/2011
Subject: Drivers Offer Managers New Share Deal
Description: Hopes to Recover by the End of 2011
Construction consultancy Driver Group has unveiled a new management incentive scheme as it aims to return to the black this year. After a management reorganisation, the new arrangement is intended to give more incentive to the management team.Associated Link : http://menmedia.co.uk/manchestereveningnews/news/business/s/1406159_new_share_deal_for_drivers_top_team?newsletter=business%2520bulletin-20110125
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25/1/2011
Subject: Contractors Face Legal Action Over Connaught Collapse
Description: GMB Union Plans Employment Tribunal Actions
The GMB union is threatening to pursue cases against Keir, Lovell, KPMG and Hull City Council contractor KWL through employment tribunals over the collapse of Connaught, the social housing contractor. The union is asking an employment tribunal to take action on behalf of 129 former Connaught workers on the grounds of unlawful deduction of wages, unfair dismissal and a failure to properly consult.
Associated Link : http://www.thebusinessdesk.com/yorkshire/news/119288-legal-action-over-connaught-collapse.html?news_section=5
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14/1/2011
Subject: Surveyors Launch New Contractors Loans Package
Description: Funding for Contractors and Subcontractors
Bolton-based The Vinden Partnership has launched a new lending package, TVP Construction Finance, aimed at contractors who are struggling to secure funding from more traditional sources.
Associated Link : http://www.thebusinessdesk.com/northwest/news/114973-vinden-launches-lending-business-for-cash-strapped-builders.html?news_section=4150
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11/1/2011
Subject: Consultation on Property Misdescriptions Act
Description: Possible Repeal of the Act
The Department for Business Innovation and Skills has today (10 January 2011) launched a consultation on the repeal of the Property Misdescriptions Act 1991. The introduction of the Consumer Protection from Unfair Trading Regulations 2008 provides similar protection, and means that there is some duplication of legislation. The consultation document considers how best to remove unnecessary regulation for property description whilst maintaining consumer protection. It also includes an impact assessment. Responses are invited by 5 April 2011.
Associated Link : http://www.bis.gov.uk/assets/biscore/consumer-issues/docs/c/11-505-consultation-repeal-property-misdescriptions-act
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9/1/2011
Subject: Cyril Sweett expands service offering in Southeast Asia through alliance agreement
Description: Alliance with Kuala Lumpuer-based QS
Cyril Sweett has signed an alliance agreement with Perunding C&T Management (PCT), a Kuala Lumpur-based quantity surveying firm. Founded in 1996, PCT is a leading cost consultancy in Malaysia, with expertise in the Hospitality, Retail, Technology and Industrial sectors.
Associated Link : http://www.cyrilsweett.com/press-news?newsid=64
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9/1/2011
Subject: Rider Levett Bucknall Wins Vietnam MGM Ho-Tram Resort Project
Description: Phase one of the US$4.2-billion Ho Tram Strip Project
Asian Coast Development (Canada) Limited (ACDL) has appointed global consultants Rider Levett Bucknall as quantity surveying and co-project management partner for the MGM Grand Ho Tram Resort.Associated Link : http://english.thesaigontimes.vn/Home/business/investment/14550/
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9/1/2011
Subject: Evans Jones Merges
Description: Major Expanson for Cheltenham Consultancy
Cheltenham-based consultancy Evans Jones LLP has merged with James Nicholas Ltd and Beccaben Ltd., and architectural practice and firm of quantity surveyors and project managers respectively.
Associated Link : http://www.thisisgloucestershire.co.uk/news/Construction-consultancy-New-Year-merger/article-3048044-detail/article.html
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8/1/2011
Subject: Roger Knowles speaks - APM/QSi Joint Meeting 3rd February 2011
Description: Roger Knowles speaks - APM/QSi Joint Meeting 3rd February 2011
APM/QSi Joint Meeting Procurement causes problems -
Northwest Procurement causes problems - Northwest Diary
See link for details -
http://www.theqsi.co.uk/branch.asp?events=nw
3rd February 2011
Lecturer Roger Knowles
Selection of Matters to be dealt with
· Lowest Price or Best Value which is it to be; was Best Value always a myth
· How beneficial from an employer’s point of view is a cost reimbursable contract
· How often on a Target Cost Gain Share/Pain Share contract is the adjustment of the Target Cost a fiddle
· What liability does a public authority have for providing incorrect information in an OJEU advert
· What is meant by a selection process involving price and quality having to be transparent
· What chances do contractors have for financial compensation, who have been unsuccessful in tendering for contracts in the public sector, on the grounds that the selection process was unfair
· What liability does a project manager have for advising the use of an inappropriate procurement method
· Is a consultant or contractor liable to pay compensation to an employer for changing personnel name in the contract, without the prior consent of the employer
· What liability does an employer have who due to an oversight ignores a tender until after the selection process has been completed and the successful tenderer notified.
See link for details - http://www.theqsi.co.uk/branch.asp?events=nw
Associated Link :
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7/1/2011
Subject: Hot Tips
Description: Hot Tips - Contractor in Administration - What Actions Should the Employer Take?
Even though disappointing news in the construction industry is currently commonplace, shockwaves are still being felt, following headlines in the construction press, during the run up to Christmas, of Connaught and Rok going into administration. What is the effect of administration and how should an employer react on discovering that this has happened on one of its sites? The purpose of administration is to provide a company, which is struggling financially, with breathing space, to allow it to get back onto its feet. The administrator should try and continue operating the company as a going concern. During a period of administration, which lasts for a maximum period of 12 months, a court order forbids any form of legal action, without the court’s permission, being brought against the company. Whilst the purpose of administration is to rescue the company, work on most construction projects soon grinds to a halt with little likelihood of it ever being restarted. An employer needs to take urgent action when this occurs. Securing the site and making it safe are first priorities. A check with the administrator as to the situation concerning insurance is recommended, followed by making good any short fall. Most standard forms of contract allow for the contractor’s employment to be terminated, once an administrator is appointed. If there is no such provision, then the employer will have to terminate due to the contractor’s fundamental breach of contract in ceasing work; this will allow for the appointment of a replacement. Once a contractor has gone into administration and its employment terminated, no further payment need be made, even if money has already been certified, until all work on the project has finished and the employer’s expenditure in completing the work has been taken into account.
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6/1/2011
Subject: Morgan Sindall Wins Contracts Worth £50m
Description: Contracts for Halls of Residence
Morgan Sindall has been awarded two contracts for the construction of halls of residence by the University of Reading and North Lanarkshire Council.Associated Link : http://www.thebusinessdesk.com/westmidlands/news/112017-morgan-sindall-wins-50m-construction-contracts.html?utm_source=newsletter&utm_medium=email&utm_campaign=_6th_Jan_2011_-_Daily_E-mail
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22/12/2010
Subject: Chester Regeneration Plans Submitted
Description: £2m-worth of Public Realm Works
A planning application has been made for £2 million of public realm works around Chester's cathedral which will create a new city square.Associated Link : http://www.planningresource.co.uk/bulletins/Planning-Resource-Daily-Bulletin/News/1047517/Plans-submitted-Chester-regeneration/?DCMP=EMC-DailyBulletin
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21/12/2010
Subject: Tender Notice
Description: Quantity Surveying Services
Blackpool Council has issued a notice for consultant quantity surveying, contract administration and CDMC services for the Wintergardens Blackpool.
Associated Link : //ted.europa.eu/udl?uri=TED:NOTICE:377765-2010:TEXT:EN:HTML&src=0
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7/12/2010
Subject: Work Begins on £27m Shard Village
Description: Urban Village to Regenerate Area
Barratt West Midlands has commenced work at Shard End, Hodge Hill, which will comprise an extensive new shopping centre, a new library, 191 new homes and community facilities. The urban village is intended to act as a new focus for the local community. The Home and Communities Agency has put £4.8m into the scheme.
Associated Link : http://www.homesandcommunities.co.uk/urban-village-in-Shard-End?p=0&f=8
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6/12/2010
Subject: Allegations of QS' Professional Negligence Struck Out
Description: Claim Lacked Particularisation and Expert Evidence to Support It
The claimant quantity surveyors sought payment of their fees of £98,000. After the claimant commenced proceedings in April 2010, the defendant, Corporate City Developments, CCD, made allegations of professional negligence and counterclaimed £300,000. CCD agreed to provide proper particulars of the allegations of negligence, causation and loss, by way of an application to amend, to be made no later than 12 November 2010. Failing this, the part of their defence and counterclaim which alleged poor performance and loss would be struck out.
At a hearing on 26 November, CCD applied to amend. The claimant opposed the amendment relating to the alleged professional negligence because CCD had not provided proper particulars and had therefore failed to comply with the terms of the agreed unless order. Because the application raised a potentially important point as to the proper practice for the pleading of claims for professional negligence, the judge provided more detailed reasons for his judgment.
The claimant worked on two projects for CCD, neither of which received planning permission. When its fees were not paid, the claimant served a statutory demand. After a meeting in February 2009, the parties reached a compromise agreement, which was countersigned by CCD. However, CCD later argued that the agreement was not binding and, in any event, had been superseded by a later letter agreement. CCD had not paid any fees under this later agreement either.
Paragraph 16 of CCD’s proposed amendment contained its allegations of professional negligence against the claimant, and alleged that CCD had incurred additional and/ or wasted costs of £300,000 plus the additional costs of servicing loans because of delays to the projects caused by the claimant.
PARTICULARISATION OF CLAIM
CPR 16.4(1)(a) requires that a particulars of claim must include “a concise statement of the facts on which the claimant relies”. Therefore, where the particulars of claim contain an allegation of breach of contract and/or negligence, it must be pleaded in such a way as to allow the defendant to know the case that it has to meet. The pleading needs to set out clearly what it is that the defendant failed to do that it should have done, and/or what the defendant did that it should not have done, what would have happened but for those acts or omissions, and the loss that eventuated. Those are ‘the facts’ relied on in support of the allegation, and are required in order that proper witness statements (and if necessary an expert’s report) can be obtained by both sides which address the specific allegations made.
It was plain to the court that the amendments in paragraph 16 failed to meet those criteria. It was impossible to work out from those generalised and generic allegations what particular matters were being alleged against the claimant. It would be impossible for a solicitor to take a witness statement from those involved in providing the services in question which could hope to meet these points, because no details had been provided for a prospective witness to accept or dispute. Therefore, Paragraph 16 was not a proper pleading of a case of professional negligence.
Paragraph 36 was also not a proper pleading of causation and loss. It was not possible to determine from the summary what facts CCD were relying upon to support their particular allegations of professional negligence. There was no answer to the question: but for the negligence, what would have happened and why, and the damages claimed were totally unparticularised.
EXPERT EVIDENCE
Even though the work which CCD complained of had been completed three years previously, there was no expert evidence to support the allegation that it had been inadequate. It was simply not good enough to turn a positive contractual obligation into an allegation of professional negligence by adding the words “failing to” to the obligation, and also wholly inappropriate to do so in circumstances where there was no expert input to allow CCD to make such an allegation in the first place. It was standard practice that, where an allegation of professional negligence is to be pleaded, that allegation must be supported (in writing) by a relevant professional with the necessary expertise except in cases of solicitors’ negligence or in some exceptional cases. Although the claim had existed for many years, CCD had failed to appoint any experts to support their allegations. It was wrong in law and practice to make allegations which were not supported and they should be struck out.
Copyright: Building Law Information Subscriber Service (BLISS) 2010.Associated Link :
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6/12/2010
Subject: More Problems on the Edinburgh Tram
Description: More Resign from Transport Initiatives Edinburgh (TIE)
Three more senior staff have resigned from Transport Initiatives Edinburgh (TIE), the client for the Edinburgh Tram. The scheme has been beleagured by delays and cost overruns. Contractor Bilfinger and Berger is threatening to take legal action against the chair of TIE for "publicly discreting" it.Associated Link : http://www.theconstructionindex.co.uk/news/construction-news/more-quit-edinburgh-tram-project
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30/11/2010
Subject: QSi Branches now In formation - From General Council Meeting Held last Week
Description: QSi Branches now In formation - From General Council Meeting Held last Week
QSi Branches now In formation - From General Council Meeting Held last Week
The new branch network structure was an agenda item at the meeting of the General Council held last week.
In particular, items suggested by two of the representatives in the North West were discussed, and I now list below the main thoughts and outcomes of the General Council:
Lapsed Members:
It is hoped that the branch network may be a good way to entice back old members who left due to the lack of networking opportunities. We will email these ex-members centrally informing them of the new structure. It is important therefore that branches arrange networking opportunities where possible.
Students:
We should continue our effort to market students. Each region should be encouraged to make links with local universities offering membership to students (which is free). We currently offer student prizes and run CPD events which could be extended across the country.
Most universities have a day where outside organisations can come in and explain what they have to offer. Branch representatives should therefore ensure they are in contact with their regional universities.
CPD Events:
Each region should be encouraged to run CPD events for members, potential members and students.
Links with the local CIOB, or other such bodies, would be useful. We have held successful joint events with them in the past on the basis that we would share any loss. All branches to be asked to make contact with their local CIOB.
A bank of CPD events which people are prepared to provide outside of their region to be set up (assuming volunteers are forthcoming). An article to be placed in the QS Eye asking for volunteers to give CPD events.
Advertising:
Events need to be advertised beyond our membership. This will be done by the BLISS Books database. To access this please email your information to admin@theqsi.co.uk.
Website:
The map of the UK is now available on the website and needs to be populated with the names of our volunteers. If your name does not currently appear on the website, please let me know at admin@theqsi.co.uk. It is essential that we show that we are a global organisation, and the map is to be extended to include the rest of the world shortly.
LinkedIn:
Each branch can have a sub-group on our Linkedin profitle if there are enough members in each area. Andrew Williams is happy to set up this facility if you require his help.
More Volunteers:
The email requesting volunteers is to be resent, making them aware particularly of those geographical where we have vacancies. It was agreed that Scotland ideally should have several regions, if there are enough volunteers to cater for this.
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29/11/2010
Subject: Planning Approval Granted for £150m Gateshead Regeneration
Description: Application Submitted by Spenhill
Gateshead Council has granted Spenhill, Tesco's regeneration subsidiary, planning permission for a £150 million regeneration of the town centre.
Associated Link : http://www.cnplus.co.uk/8608581.article
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29/11/2010
Subject: Rhead Group Buys Construction Consultant Alway Silver
Description: Integration of Two Companies Announced
The Rhead Group has announced the integration of construction consultants Alway Silver, which comprises contract consultants Alway Associates, project managers Brunswick IS and the Construction Study Centre.Associated Link : http://www.alway-associates.co.uk/latest-news.asp
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26/11/2010
Subject: NEC 3 Rejected for Glasgow Games Arena
Description: Commonwealth Games Arena to be Building Using SBCC/ JCT Contracts
The £96m National Indoor Sports Arena for the 2014 Commonwealth Games in Glasgow will be built by contractors Sir Robert McAlpine using SBCC/JCT contract documentation. Mike Barlow, a partner in MacRoberts LLP's Construction Group, said: "In the context of the Glasgow 2014 Games and the Scottish construction market, the decision to use SBCC/JCT documentation rather than NEC3 is understandable.
“A number of observers perceive that the administrative burden of operating an NEC3 contract is greater than an SBCC/JCT contract, and bearing in mind the budgetary constraints on the Glasgow 2014 Games, the desire to keep project management teams as streamlined as possible is likely to have contributed to the decision to use SBCC/JCT.
“It is also fair to say that most industry players in Scotland are much more familiar with the SBCC/JCT forms of contracts than NEC3, so using SBCC/JCT avoids the need for parties to undergo a learning curve on such a critical project."
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23/11/2010
Subject: Government Approves Preston Redevelopment
Description: £700m Scheme Gets Planning Permission
The controversial £700m redevelopment of Preston town centre has been gven planning permission by the government. The scheme has been the subject of fierce debate as other neighbouring councils have been concerned that the scheme take shops and jobs away from their own town centres.Associated Link : http://www.prestoncitizen.co.uk/news/8682066.Tithebarn_battle_bill_costs_Lancashire_councils___500k/
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19/11/2010
Subject: Balfours Picks Up Parts of Rok
Description: Business to be Integrated into Mansell
Balfour Beatty has acquired parts of Rok for a payment of £7m, partly in cash with the balance to be paid when the contracts are transferred. The business and 351 employees will be absorbed into Mansell. The acquisition will enable Balfour Beatty to expand its affordable housing interests in the North West and South West.Associated Link : http://www.balfourbeatty.com/bby/media/press/2010/2010-11-19/
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15/11/2010
Subject: Carillion to Slash Supplier List
Description: Suppliers to be Cut by up to 80%
Carillion has confirmed that it is to reduce its suppliers from around 25,000 to just 5,000. Subcontractors will be assessed on a number of criteria, including health and safety, price and reliability. The favoured few will benefit from increased workloads.Associated Link : www.cnplus.co.uk/860869.article
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15/11/2010
Subject: Government Approves Manchester "Super Council"
Description: First City-Region Authority Outside London
The new Greater Manchester Combined Authority will bring together the city-region’s ten councils, and will have responsibility for strategic decisions on economic development, regeneration, transport and housing. It will also be the accountable organisation for the LEP which was approved last month.Associated Link : http://www.planningresource.co.uk/bulletins/Planning-Resource-Daily-Bulletin/News/1040978/Manchester-super-council-gets-ministerial-approval/?DCMP=EMC-DailyBulletin
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8/11/2010
Subject: ROK Goes into Administration
Description: Suspension of Shares Expected
ROK, Britain's "Local Builder" has been placed in administration, threatening hundreds of jobs. The company's profits had halved and there were probablems obtaining refinancing.Associated Link : http://www.thebusinessdesk.com/northwest/news/87186-rok-in-a-hard-place.html?news_section=28384
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5/11/2010
Subject: Construction Minister Warns of Fee Cuts
Description: Reduction in Fees Part of Government Cost-Cutting
In a speech to the RICS, the Construction Minister, Mark Prisk, has warned that the government will squeeze suppliers as part of the spending cuts, and that this will lead to lower fees.Associated Link : http://www.building.co.uk/5008003.article?origin=bldgqsnewsnewsletter
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5/11/2010
Subject: Construction Slow Down Hits Baqus
Description: QS Practice Loses £1.1m
Baqus, the AIM listed quantity surveying firm, has made a full year loss of £1.1m. The group has blamed the construction industry downturn for the latest figures, but remains optimistic about the future.Associated Link : http://www.thebusinessdesk.com/northwest/news/86701-baqus-pushed-into-the-red-by-construction-slowdown.html?news_section=4150
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5/11/2010
Subject: Bilfinger and Berger Rejects Edinburgh Tram Allegations
Description: Threatens Legal Action Against Former Transport Authority Head
German contractor Bilfinger and Berger has hit out against accusations by Edinburgh’s former head of the public transport authority that it has been responsible for delays on the project. The contractor says that Mr. David Mackay, who has resigned, has damaged the company’s reputation by his comments. Bilfinger and Berger says that its position has been supported by the adjudication decisions which have been made in its favour. Associated Link : http://www.bilfinger.de/en/Press/Press-Releases/2010/Edinburgh-Tram-Bilfinger-Berger-vehemently-denies-allegations
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2/11/2010
Subject: £70m Investment Fund for Scottish Offshore
Description: Fund Will Secure Scotland is at Forefront of Offshore Green Economy
Scottish First Minister, Alex Salmon, has announced the establishment of the National Renewables Infrastructure Fund at RenewableUK 2010, the wind and marine energy industry body's annual conference & exhibition in Glasgow.
The Fund will used to strengthen manufacturing and the supply chain for offshore wind turbines.
Associated Link : http://www.scotland.gov.uk/News/Releases/2010/11/02131033
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31/10/2010
Subject: The QSi now has 91 Legal Summaries
Description: 91 Legal Cases on the QSi Website
There are now 91 easy to read legal summaries in the QSi knowledge bank.
If you have a legal problem on one of your projects, the knowledge bank will probably supply you with an answer.
It’s reason enough for joining the QSi.
For more information go to www.theqsi.co.uk or www.theqsi.com
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29/10/2010
Subject: Owner Entitled to Security under the Party Wall Act
Description: Surveyor Erred in Interpretation of Section 12(1)
The defendant owned a site next door to the claimant, and intended to carry out some construction work. He gave the claimant notice under section 6(1) of the Party Wall Act 1996, which stated:
“It is intended to build within 3 and 6 metres of your building and to a depth as defined in the Act, by carrying out the works as detailed below.”
The notice added n capital letters that: “IT IS NOT PROPOSED TO UNDERPIN OR OTHERWISE STRENGTHEN THE FOUNDATIONS OF YOUR BUILDING”.
The notice added that if the claimant did not consent to the works within 14 days, he would be deemed to have dissented under section 6(7), so that a difference had arisen. Both parties appointed surveyors to represent them and they appointed Mark Whittingham as the third surveyor.
The part of Mr. Whittingham’s decision which caused the claimant to appeal was item 3 relating to his request to provide a bond or a project-specific insurance policy in respect of potential damage to the his premises during the works. Mr. Whittingham ruled that a bond or other form of security could not be requested under section 12(1) of the Act unless the building owner intended to carry out some work on the adjoining owner’s land. Each member of the design team and the building owner were only required to obtain professional indemnity insurance cover for a minimum value of £2m after the substructure works were completed and provide the adjoining owner with evidence of the same. He ruled that no supplementary project-specific insurance was required. The claimant appealed.
Section 12(1) of the Act provides:
“Security for expenses
“An adjoining owner may serve a notice requiring the building owner before he begins any work in the exercise of his rights conferred by this Act to give security as may be agreed between the owners or in the event of dispute determined in accordance with section 10.”
The claimant argued that the plain meaning of section 12(1) was that an adjoining owner has the right to request security from a building owner, that there was no restriction on the right to request security and that it was not limited to cases where the building owner intended to carry out work on the adjoining owner’s land. The claimant maintained that “rights conferred by this Act” included rights derived from sections 6(1) and 6(2). The claimant also pointed to the definition of “building owner” in section 20, which is “an owner of land who is desirous of exercising rights under the Act”.
The judge referred to the commonsense construction rule in construing sections 6 and 12(1) of the Act. The authorities showed that when the provisions of the relevant Act are operated, the common law rights are “supplanted” or “substituted” by the rights under the Act in relation to matters dealt with under the Act. Section 6(10) preserved common law rights for injury, but not for loss and damages which was dealt with under section 7(2). Without this provision, the inference would be that section 6 did affect the rights of the adjoining owner. The rights of the building owner were supplanted or substituted by section 6, so that the right to carry out works within 3 or 6 metres of the boundary was supplanted by the provisions of section 6, which preserve certain rights under section 6(10).
In the judge’s view, section 12(1) of the Act applied to all cases where the building owner was exercising his rights under the Act, and that included exercising the supplanted or substituted rights under sections 6(1) and section 6(2). There was no reason why it should not apply to work on the adjoining owner’s land, and the provisions of the Act did not draw a clear distinction in that respect. In principle, and on the facts of the present case, the carrying out of work within 3 or 6 metres of the boundary would be as likely to cause loss or damage so as to justify security as would works undertaken under section 6(3) or any of the other provisions of the Act. Where work is being carried out under a number of sections, it did not make sense to grant security for some parts of the works but not others when liability for loss or damage under section 7(2) would apply to all the works.
Mr. Whittingham had erred in ruling that the claimant was not entitled to security under section 12(1) because he had wrongly held that the building owner was not exercising rights conferred by the Act in carrying out such work. Sections 6(1) and 6(2) did confer rights and section 12(1) security could be requested for that work.
There was no requirement under the Act that security could only be requested where the building owner is proposing to carry out some work to the adjoining land or property.
Kaye v Lawrence, [2010] EWHC 2678 (TCC)Associated Link :
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27/10/2010
Subject: Davis Langdon Appointed to £250m Deal
Description: Appointment on First Sustainable Energy Park in the UK
Waste management specialist, Peterborough Renewable Energy Ltd (PREL), has appointed Davis Langdon, an AECOM Company, to act as Owner's Representative on site to oversee the construction of the first sustainable Energy Park for the UK.
Associated Link : http://www.theconstructionindex.co.uk/news/construction-news/prel-appoints-davis-langdon-in-250-million-deal
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26/10/2010
Subject: Easier Procurement to Save Industry Millions
Description: Standard Pre-Qualification Questionnaire Introduced
The Business Minister, Mark Prisk, has announced the introduction of a Standard Pre-Qualification Questionnaire which will standardise the questions companies are asked when they bid for government contracts instead of having to respond to a different set of questions with each tender. The Questionnaire, PAS 91, has been developed in partnership with the British Standards Institution. The National Specialist Contractors Council has estimated that the cost to the industry and its clients of wasteful prequalification processes at £250 million each year. Associated Link : http://www.bis.gov.uk/policies/business-sectors/construction/specification
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25/10/2010
Subject: UK's First National Infrastructure Plan
Description: Plan Outlines "Vision for the Future"
Speaking at today's CBI Conference, the Prime Minister has announced the publication of the country's first National Infrastructure Plan, which sets out the investment envisaged by the government. Projects include transport, energy, sustainability and waste reduction projects.Associated Link : http://www.hm-treasury.gov.uk/ppp_national_infrastructure_plan.htm
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22/10/2010
Subject: Is Malcom Tailor right - Have the RICS marginalised the QS?
Description: Is Malcom Tailor right - Have the RICS marginalised the QS?
Malcolm Taylor is a retired quantity surveyor and he has written an article highly critical of RICS policy towards QS members.
He indicates that with the Agenda for change an unrecognisable RICS has emerged and the QS has been marginalized.
Who agrees and who disagrees?
email your thoughts to admin@theqsi.co.uk
Can Quantity Surveyors International help to redress the balance?
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22/10/2010
Subject: Government Scraps Severn Barrage
Description: Scheme Would be High Cost and High Risk
After a two-year feasibility study, the government has abandoned plans to use the Severn's tides to generate power. Apart from the finding that other alternatives would be lower risk, it was unlikely that the scheme would attract sufficient private investment in the current economic climate.Associated Link : http://www.planningportal.gov.uk/england/government/news/archive/2010/oct10/2010_10_week_3/211010_3
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22/10/2010
Subject: Are We Being Served?
Description: Comment on Need for a New Body for Quantity Surveyors
The author comments on the need for a new body for QSs, which would properly serve their needs.Associated Link : http://www.building.co.uk/comment/are-we-being-served?/5007606.article
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15/10/2010
Subject: QSs No Duty of Care in Reltion to Defects
Description: No Imposition of a Duty Beyond Reasonable Skill and Care
The claimants sought to recover damages for what they alleged were defects in the design of their house in Surrey. The first defendants were the contractors and the second defendants were the architects. The present application arose from the claim against the third defendants, McBains Cooper, who acted as quantity surveyors. There were two allegations against McBains Cooper: that they overvalued the works and they owed the claimants a duty of care to “to only value work that had been properly executed by the contractor and was not obviously defective”. More than half of the hundreds of items in the Scott Schedule were said to constitute individual breaches of this obligation by McBains Cooper. The first allegation was outside the scope of the present application. McBains Cooper sought to strike out the defects claim on the ground that they did not owe the duty of care alleged. In response, the claimants applied to amend their particulars of claim.
The leading authority on the duty owed by quantity surveyors in respect of defects is Sutcliffe v Chippendale & Edmondson, (1971) 18 BLR 149, and the court considered that case and also the relevant textbooks before turning to the evidence in the present case.
EXISTENCE OF A CONTRACT
There was no written or oral contract between the claimants and McBains Cooper. McBains Cooper had been introduced by Mr. Walls who worked for the defendant architects who wrote to the claimants recommending that a QS be appointed to “ensure some safeguard in the administration of the contract”. Mr. Walls sent McBains Cooper’s Mr. Runnicles a letter from the claimants asking him “to proceed along the lines outlined in your letter”. Thereafter, McBains Cooper was named in contract as the quantity surveyors. The contract between the parties was evidenced by this letter and the parties’ subsequent conduct. Since there were no express terms, the terms which claimants argued for had to be implied.
IMPLIED TERMS
McBains Cooper’s Mr. Crook accepted that he had been aware of the terms of the building contract, and was aware of the obligation on the part of the quantity surveyor to include in his interim certificate a percentage based on the value of the works ‘properly executed’. Consequently, in the judge’s view, the claimants would be right to assert that in order to give the contract business efficacy, it contained an implied term that McBains would act with the reasonable skill and care of quantity surveyors of ordinary competence and experience when valuing the works properly executed for the purposes of the interim certificates. This implied term arose because that was what Mr. Crook had agreed to do, and all the parties to the contract knew that it was a requirement of the building contract.
However, this was not the term which the claimants sought to imply. Their proposed term omitted the ‘reasonable skill and care’ qualification, thus seeking to impose an absolute obligation, the breach of which is said to be measurable by results, as if it were a guarantee. It adds a word (“only value…”) for which there is no basis in the JCT contract. Most importantly, it then went on to create a positive obligation not to value work which was “obviously defective”.
On the basis of the material before him, the judge could see no basis in fact or in law for the positive duty as alleged in the amended particulars of claim. It could not be said to have been expressly agreed between the parties, and there was no legal foundation for implying such a term. Contrary to Judge Stabb’s conclusion in Sutcliffe, the claimants were seeking to turn the usual position on its head, to require the quantity surveyors to tell the architects about defective works (rather than the other way round), and to make the quantity surveyors liable for quality (at least to the extent that the defects were ‘obviously defective’) as well as quantities. Further the implied term sought would not pass the test in Liverpool City Council v Irwin, [1977] AC 239. The term was not necessary to make the contract work, and nor was the contract was unworkable unless the quantity surveyors, whose primary obligations were concerned with valuation, were also made responsible for inspections on quality matters. Such a term could be necessary in circumstances where, as everyone agreed, the architects and second defendants were obliged to perform precisely that task.
Copyright: BLISS Books Ltd. 2010.Associated Link :
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11/10/2010
Subject: Edinburgh Tram Confusion
Description: Work Continues on Shelved Sections
There is more confusion on the Edinburgh Tram scheme as it has been revealed construction work is to continue on a shelved section of the route and on 10 vehicles which will now not be needed when the scheme starts running. The tram company, Tie, says it had no plans to halt ongoing work in Leith, which has been dropped from the initial phase of the troubled project.Associated Link : http://www.scotsman.com/news/Work-goes-on-at-shelved.6574109.jp
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9/10/2010
Subject: No Bias by Adjudicator
Description: Volker Stevin Ltd. v Holystone Contracts Ltd., [2010] EWHC 2344 (TCC)
The defendant, Holystone, undertook drainage works for the claimant, Volker Steven (VS), under an NEC 3 subcontract. Work commenced in June 2009, but four months later, VS terminated the subcontract. Holystone maintained that VS had been in breach of contract and referred the dispute to adjudication. The adjudicator, Mr. P. R. Ainsworth concluded that the termination had been valid. Since this first adjudication did not consider the financial consequences of the termination, VS commenced a second adjudication. The notice of intention to seek adjudication sought a reasoned decision that Volker was entitled to “payment of any sums the adjudicator may determine as due to Volker under the subcontract in respect of the termination of the subcontract works”. The second adjudicator, Mr.
ay, decided that Holystone should pay VS £561,993.48 plus interest. This was not paid, and VS commenced the present enforcement proceedings.
Holystone argued that Mr.
ay’s decision was ineffective and, consequently, unenforceable for the following reasons:
He had diverged from the agreed contractual procedure in allowing VS to submit new material after the agreed deadline for submission of material;
He had permitted VS to change its pleaded case and pleaded monetary claim during the course of the adjudication proceedings and after Holystone had submitted its response to the referral;
During the adjudication proceedings and before the publication of the adjudicator’s decision, VS had wrongfully made the adjudicator aware that a without prejudice offer of settlement had been made, and this had caused him to be biased against them.
Even if these main arguments did not render the adjudicator’s decision invalid and unenforceable, enforcement of this decision would make Holystone insolvent, leading to its winding up. Holystone argued that this would cause a serious injustice because it would be prevented from referring the full dispute to arbitration.
SUBMISSION OF NEW MATERIAL
Both before and after the service of VS’ reply on 7th July, the adjudicator had sent a number of requests to them on some detailed quantum issues, particularly in relation to their spreadsheet, which contained details of actual and forecast costs and contained a formula by reference to which a factor uplift for completing the subcontract works was applied. VS had provided detailed responses to these requests, and during this the spreadsheet was amended. These amendments reduced the sums claimed. Holystone was provided with all the exchanges between VS and the adjudicator and the amendments to the spreadsheet were all provided to Holystone. They did not comment at all on that new material. On 13th July, the adjudicator had expressly invited them to deal with the material and, not having heard from them further, he repeated that request on 14th July. Holystone eventually replied at three minutes past four in the afternoon of 14th July, but made no complaint that they had had insufficient time to deal with any new issues raised by VS. The adjudicator then permitted VS to have the last word and they responded to Holystone’s points in a letter dated 15th July.
Mr.
ay had not exceeded his jurisdiction. He had been entitled to make these enquiries and to take note of the responses. If an adjudicator requires further information to enable him to make his decision, he is entitled to ask for it. Clause W2.3(2) of the NEC 3 contract specifically entitles the adjudicator to have regard to “any further information from a party”, although the suggestion is that such information has to be provided within 14 days of the commencement of the adjudication. The adjudicator may take the initiative and ask for additional information if he requires it.
The adjudicator must ensure that the process is fair, and he had done this by making sure that Holystone had seen this new information. There had been no breach of natural justice; nor had the adjudicator acted in excess of his jurisdiction or unfairly.
AMENDMENT OF THE CLAIM
VS had reduced its claim in the spreadsheet prompted by some points made by Holystone in its response. The change in the value of the claim could not give Holystone any right to complain. It was inevitable in complex construction claims that figures might change as more information becomes available. The adjudicator had the jurisdiction to deal with this amended and reduced figure, not least because the original notice of intention to refer did not confine the dispute to a particular claim figure, but said instead that Volker would seek “such sum as the adjudicator determined”. Holystone had been given the figures and had commented on them. There was no breach of natural justice.
WITHOUT PREJUDICE OFFER
Before the commencement of the adjudication, the parties had a without prejudice meeting to discuss VS’ claim. At this Holystone had made a without prejudice offer to settle. Following this VS’ solicitor had written to Mr.
ay expressing concern that Holystone was referring to what had transpired at this meeting. . However, in relation to payment of the adjudicator’s fees, VS said they were prepared to waive privilege to allow Holystone to inform the adjudicator of the amount and terms of its offer to settle. They were also prepared to concede that in the event that the adjudicator’s decision did not exceed that amount, this might be taken into account when deciding who was to pay the adjudicator’s fees in the same way as a Calderbank or Part 36 offer.
Despite their own references to the meeting, Holystone, complained that this reference to the offer was improper. Before he made his decision, the adjudicator stated that he “had not been informed in any way either by Holystone’s information in its response or Volker’s disclosure”. The issue was whether the adjudicator’s knowledge of this without prejudice offer made by Holystone to VS meant that he had been unconscionably biased against them.
The judge applied the test in In Re Medicaments and Related Classes of Goods (No. 2), [2001] 1 WLR 700, concluding that a fair minded and informed observer would not come to the conclusion that there was a realistic possibility that the adjudicator had been biased. On the face of both his letter of 19th July and his decision, the adjudicator had treated his knowledge of the fact of the offer as irrelevant. There was also other evidence that supports that conclusion. An adjudicator, like a judge, would expect there to be negotiations between parties, and it was unlikely that Mr.
ay would have been surprised that an offer had been made.
HOLYSTONE’S POTENTIAL INSOLVENCY
There was no evidence that, if the adjudication decision were enforced, that Holystone would go into liquidation. Even if there were such evidence, the point was irrelevant on such an enforcement application. The court had set out the principles of enforcement, and a losing party should not be able to avoid paying simply by pleading poverty.
Copyright BLISS Books Ltd. 2010.
Associated Link :
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9/10/2010
Subject: I Didn't Say That
Description: No Evidence of Terms of Agreement
The decision in Alton B. Copeland Ltd. v Orkney Builders (Contractors) Ltd., [2010] CSOH 135, illustrates the importance of recording all the elements of a contract in writing, rather than relying upon oral agreement or a handshake, even when the parties concerned have been dealing with each other for a long period.Associated Link : http://www.blissbooks.co.uk/news.php
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4/10/2010
Subject: Government Announces Northern High Speed Rail Option
Description: Y Route Favoured
Transport Secretary Philip Hammond has today (4 October 2010) announced which network option the Government prefers for taking high speed rail north of Birmingham.
The Government will consult early next year on building a ‘Y’ shaped high speed rail network with separate legs from the West Midlands to each of Manchester and Leeds. A Y shaped route would allow the East Midlands and South Yorkshire to be served by the high speed rail network, as well as Leeds, Manchester and the North West.
Mr Hammond has been considering advice from HS2 Ltd - the Government company set up to examine the case for high speed rail - on the relative benefits of the 'Y' route against a 'reverse S' shaped route from Birmingham to Manchester and then across the Pennines to Leeds. HS2 Ltd found that the Y network would deliver a total of £25 billion more benefits than the reverse S.
HS2 Ltd published detailed route proposals for a high speed rail line from London to Birmingham earlier this year. Work is currently underway to refine the preferred route identified in that report and the Secretary of State will set out the Government’s final preferred route for consultation later this year.Associated Link :
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4/10/2010
Subject: Peel Plans Massive Liverpool Development
Description: Redevelopment of Docks Area
The Peel Group has submitted the largest UK planning application for the redevelopment of the Liverpool Docks. The scheme, called Liverpool Waters, covers 150 acres and will include an investment of £5.5bn. Peel hopes to create a mixed use waterfront development including a 55 storey tower, the tallest building outside London, that will create thousands of jobs.
Associated Link :
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2/10/2010
Subject: The Tree preservation paperwork to be lopped
Description: The Tree preservation paperwork to be lopped
There are proposals which will prune (sorry about the pun) tree preservation paperwork and reduce red tape.
The existing sets of regulations and orders covering tree preservation orders will be streamlined into one document. It is hoped that the move will save local councils more then £500,000 in administration costs each year.
The main changes proposed involve simplifying all existing TPOs by bringing them into line with a new shorter and easier to understand model order which would basically comprise a list of trees and a map identifying the trees protected.
Associated Link :
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1/10/2010
Subject: Dublin City University Advertises Tender for Design Team Services
Description: Quantity Surveying Services- Lot 2
The proposed Nano-Bioanalytical research building will be a purpose built facility of approximately 3 000 m² in size. The building will have significant laboratory spaces of clean room standard and vibration free features. There will be elements of containment, both gas and drainage. The building will have environmental and sustainable features. It is envisaged that the Project will be completed and the accommodation will be available for use by Quarter 4 2014.
Associated Link : http://ted.europa.eu/udl?uri=TED:NOTICE:292241-2010:TEXT:EN:HTML&src=0
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1/10/2010
Subject: Changes to Professionals' Legislation in Nambia
Description: Council Will Prescribe Work to be Reserved for QSs
The Namibian Architectural and Quantity Surveying Professions Bill which was put before in Parliament on Tuesday, Works and Transport Minster Erkki Nghimtina said the new legislation would officially recognise architectural technicians and technologists, quantity surveying technicians, interior decorators and landscape architects as professionals.
Under the proposed Act, the existing Council of Architects and Quantity Surveyors, will be renamed Namibia Council for Architects and Quantity Surveying Professionals. The council will prescribe the kinds of work in the fields of architecture and quantity surveying which must be reserved for them and prescribe minimum tariffs and fees they may charge.Associated Link :
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1/10/2010
Subject: Thirty Year Redevelopment Plan Announced for Birmingham
Description: New Station and Library Planned
Birmingham City Council has unveiled a 20-year strategy for redeveloping some 800 hectares of the city centre. The first stage of the Big City Plan includes the £600m Gateway Project to redevelop New Street station and the £193m revamp of Birmingham Library.
The second stage will see the construction of over 1.5m sq m of new office, retail, leisure and cultural floor space, more than 5,000 new homes, and improvements to and the development of new public spaces. The five key areas of transformation will be based around New Street Station, Westside, the Snow Hill District, Eastern Core Expansion and The Southern Gateway.Associated Link :
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1/10/2010
Subject: Bank's Step-in Rights in a Collateral Warranty
Description: Royal Bank Of Scotland Plc v Chandra, [2010] EWHC 105 (CH
The Royal Bank of Scotland plc agreed to provide finance to the defendants’ company for the acquisition of a property to be developed into a hotel under an amended JCT Standard Form of Building Contract 1998 Edition with Quantities. Costain Limited was the contractor. As part of the pre-conditions to drawdown of the funds, the bank was granted a collateral warranty from the contractor in its favour.
The first finance agreement, executed on 20 September 2000, required a number of conditions to be satisfied before the company was to entitled to draw down under the facility. In particular, security had to be provided in the form of a debenture creating fixed and floating charges over the company’s undertaking and assets, a fixed charge over the property and “Collateral Warranties” defined as “collateral warranties in favour of the Bank to be executed by each member of the Professional Team in a form and substance satisfactory to the Bank.” Importantly, the “Professional Team” included the contractor, Costain.
The warranty provided by Costain in this case was unusual and fairly unique in that, instead of the step-in provisions conferring a right exercisable only at the option of the bank, it was a mandatory provision, requiring the bank to step-in. The evidence made it clear that the bank had taken the unusual step of agreeing to this because the contractor had been concerned about the ability of the defendants’ company to meet its obligations under the building contract and had refused to enter into the building contract unless the bank provided some form of security. The bank had not been prepared to agree an escrow account, but had agreed to a step-in obligation as an alternative means of providing this security, not envisaging circumstances in which the defendants’ company would default since the defendants’ company would be funded by the bank. The bank took the view that, in any event, it would be likely to wish to exercise step-in rights in order to complete the development.
The cost of the development began to rise, and the bank became concerned as to whether the defendants would be able to complete the development. The bank therefore appointed administrative receivers over the defendants’ company and assets. The contractor suspended works and subsequently gave notice that it wanted the bank to step-in. It pointed out to the bank that the step-in provisions in the collateral warranty were mandatory and not optional. The bank was happy to step-in via an SPV nominee owned by the receivers’ firm on the basis that, since the development was not far from practical completion, it was important to retain the original contractor, and any delay in carrying out the works would lead to further claims even if Costain continued as the contractor.
The following structure was therefore put in place in September 2003: the bank nominated the SPV by notice dated 12 September 2003, and in accordance with the terms of the warranty, the bank guaranteed the liabilities of the SPV under the building contract to the contractor. Under a letter dated 18 September 2003, the defendants’ company and the SPV also agreed that since the SPV was carrying on the building contract as agent for the defendants’ company, the defendants’ company would indemnify the SPV against all liabilities. The funding to complete the development was advanced by the bank to the company in receivership. The property was then sold, leaving a large shortfall on the amount due to the bank. The bank therefore brought proceedings to enforce various guarantees given by the defendants in respect of the borrowings by the defendants’ company.
The defendants argued that its company was under no liability either to the SPV or the bank after the appointment of the receivers. They argued that there had been undue influence and breach of equitable duty, and that:
“By the terms of the collateral warranty and the step-in by the bank/SPV, the defendants’ company was completely released from any obligation to the contractor and the bank/SPV was instead obliged to replace the defendants’ company under the building contract;
“Although the property remained in the ownership of the defendants’ company and any increase in its value resulting from the completion of the building works would accrue to the benefit of the defendants’ company, it was the bank and not the defendants’ company which was obliged to complete the development;
“Given the above, the structure which was put in place in September 2003 was a “sham” since it had the effect of re-imposing a continuing liability on the defendants’ company in respect of the building contract which was the very liability from which the defendants had been relieved by means of the step-in.”
The High Court found in favour of the bank. The defendants’ company was found to have a continuing liability for the costs of completing the hotel because the bank would have been entitled to recover the costs incurred in completing the development as “expenses” as defined in the debenture.
It was also decided that the structure that was put in place in September 2003 had not been a “sham” since the judge was satisfied that in exercising its powers to enter into the agency agreement with the SPV and to borrow money from the bank to complete the development, the receivers were not acting under the control of or on the instructions of the bank but were exercising their own judgement. It was also the intention of the defendants’ company acting by its receivers that, as the employer under the building contract, the SPV should be the defendants’ company’s agent and that the defendants’ company should be liable for the further funds it borrowed from the bank. The judge also admitted that it would have been surprising if the bank were to be required to fund the completion of the hotel for the benefit of the defendants’ company without recourse to either the hotel or the defendants’ company.
The judge made it clear that, at least in accordance with the terms of the collateral warranty, following step-in, the defendants’ company had no further rights or obligations under the building contract in respect of future events, and was not therefore liable in respect of the completion of the development. The step-in wording in the warranty stated that the building contract was to continue in full force and effect as between the contractor and the bank and the SPV “to the exclusion of the Employer.” This was held to mean that the contract between the defendants’ company and the contractor was terminated.
The effect of the notice given by the bank pursuant to cl.10 was that “the Main Contract shall be deemed (as between the Main Contractor and the Beneficiary) to continue in full force and effect as if in all respects the Main Contract had been made between the Main Contractor and the Beneficiary or such other person as the Beneficiary may nominate to the exclusion of the Employer”. As a matter of law, a thing is deemed where it is not otherwise the case. The building contract was deemed to continue in full force and effect, as between Costain and the bank and its nominee, because as against the company it was terminated, as the words “to the exclusion of the Employer” made clear. This was underlined by the following three sub-paragraphs which provided that:
(i) All existing and future obligations of the company are assumed by the bank or its nominee;
(ii) Costain acknowledged all of its obligations under the building contract in favour of the bank or its nominee and:
(iii) The contract continued “otherwise with the intent that the [bank or its nominee and Costain] had been the original parties to the Main Contract”. This reflected a clear commercial requirement that there should be only one employer under the contract. The building contract conferred many rights and powers on the employer, and neither Costain nor the bank could sensibly tolerate a situation in which they might be exercised both by the company and by the bank or its nominee.
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27/9/2010
Subject: Stoke Council Staff Suspended in Tendering Investigation
Description: Enquiry into Tendering Process
Six members of staff from Stoke City Council's Regeneration Directorate have been suspended pending an inquiry into the handling of tenders for demolition workk.
It is alleged there have been breaches of the rules governing contracts and financial regulations.Associated Link : http://www.regen.net/bulletins/Regen-Daily-Bulletin/News/1030999/Regeneration-staff-suspended-tendering-probe/?DCMP=EMC-Regen%20Daily%20Bulletin
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27/9/2010
Subject: Procurement Poses Problems
Description: A joint seminar to be held with the APM on 3 February 2011 in Warrington
Venue: Room 4 Ltd, 58 Legh Street, Golborne, Warrington WA3 3PA
Time: 6.00pm Buffet, 6.30pm Presentation
Speaker: Roger Knowles FRICS FCIArb FQSi, Barrister
Cost: Free to APM and QSi members, £5.00 plus VAT for non-members
Content: The current financial situation has resulted in a down turn in work load in both the public and private sectors. Project Managers often find themselves forced to appointment on the lowest bid that is not always the lowest out turn cost. With this, adversarial attitudes are back in vogue and Contracts now being used reflect this attitude. How does the Project and Cost Management team successfully deliver the project in this environment? Many contractors having spent substantial sums of money on tendering find themselves in pole position to secure the work when the project is cancelled or shelved. Do they have any remedies for claiming reimbursement when this happens? The talk will deal with these problems and more.
Associated Link :
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25/9/2010
Subject: Hot Tips
Description: Hot Tips - Letters of Intent
Letter of Intent
Letters of Intent are common place on many construction projects. There is often an urgent requirement to commence work, but a relaxed attitude to entering into the contract, or a few sticking points which are taking time to iron out.
To enable work to commence, before the contract has been properly drawn up and signed, a letter of intent is often sent to the contractor or subcontractor to enable work to get underway.
On most projects the contract is ultimately signed and there are no problems. There are however an ever increasing number of examples of projects where work has commenced on receipt of a letter of intent, but for one reason or another, the contract is never signed. This can lead to disputes relating to the sum of money to be paid for the work undertaken.
Contractors and subcontractors who are instructed to commence work by means of a letter of intent need to ensure that in the letter of intent it is clear how the work is to be paid for and when the payments are to be made. This can be easily achieved by reference to the payment arrangements in a standard form of contract.
Those who are responsible for sending out letters of intent need to consider whether it is appropriate to place a cap on the sum to be expended prior to a formal contract being entered into.
Associated Link :
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23/9/2010
Subject: PPC/ TPC Conference 2010
Description: Survival of the Fittest: 10 Years of PPC
A one-day conference investigating how Project and Term Partnering can be used effectively and competitvely against a background of continuing economic uncertainty and impending cuts in public sector spending.
Conference enquiries and bookings to Shona Frame 020 8325 1402 or e-mail PPCUG@acarchitects.co.ukAssociated Link : ppc2000.co.uk
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15/9/2010
Subject: HOT TIP
Description: HOT TIP
Hot Tips
Letter of Intent
Letters of Intent are common place on many construction projects. There is often an urgent requirement to commence work, but a relaxed attitude to entering into the contract, or a few sticking points which are taking time to iron out. To enable work to commence, before the contract has been properly drawn up and signed, a letter of intent is often sent to the contractor or subcontractor to enable work to get underway.
On most projects the contract is ultimately signed and there are no problems.
There are however an ever increasing number of examples of projects where work has commenced on receipt of a letter of intent, but for one reason or another, the contract is never signed.
This can lead to disputes relating to the sum of money to be paid for the work undertaken.
Contractors and subcontractors who are instructed to commence work by means of a letter of intent need to ensure that in the letter of intent it is clear how the work is to be paid for and when the payments are to be made.
This can be easily achieved by reference to the payment arrangements in a standard form of contract.
Those who are responsible for sending out letters of intent need to consider whether it is appropriate to place a cap on the sum to be expended prior to a formal contract being entered into.
Associated Link :
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15/9/2010
Subject: Iberdrola Plans £2.7bn Renewables Investment
Description: Investment in Wind Farms and Carbon Capture Schemes in Scotland
Spanish energy company, Iberdrola, the parent company of Scottish Energy, has announced plans to invest £2.7bn in renewable projects in Scotland. Associated Link : http://www.ukti.gov.uk/uktihome/home/localisation/117762.html
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14/9/2010
Subject: Guidance on Bribery Prevention
Description: Consultation Launched
The Ministry of Justice has started a consultation procedure on issuing guidance to commercial organisations on preventing bribery.Associated Link : http://www.justice.gov.uk/consultations/briberyactconsultation.htm
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13/9/2010
Subject: QS board chair steps down amid row over RICS' future
Description: According to reports QS board chair steps down amid row over RICS' future
According to media reports QS board chair steps down amid row over RICS' future - One more reason for being a member of the QSi
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12/9/2010
Subject: Roger knowels Event - Procurement Poses Problems – Joint QSi / APM
Description: Roger Knowles event
Roger knowels Event - Procurement Poses Problems – Joint QSi / APM
Speaker - Roger Knowles FRICS FCIArb FQSi Barrister
WHEN
3 February 2011 – It may be early but book now numbers limited to 70.
If you want to come please send us your details and numbers likely to attend.
WHERE?
Room 4 Ltd, 58 Legh Street, Golborne, Warrington WA3 3PA
TIME
6.00pm Buffet 6.30pm Presentation - 2.0 hours CPD Certificates
Free to QSi and APM members.
£5.00 plut VAT for non members.
Management of the procurement process for construction projects is a key responsibility of the Project Manager and Quantity Surveyor.
Roger Knowles will talk about the problems faced by both the Client project management team and the contractors in today’s economic climate.
The current financial situation has resulted in a down turn in work load in both the public and private sectors. Project Managers often find themselves forced to appointment on the lowest bid that is not always the lowest out turn cost.
With this, adversarial attitudes are back in vogue and Contracts now being used reflect this attitude. How does the Project and Cost Management team successfully deliver the project in this environment?
Many contractors having spent substantial sums of money on tendering find themselves in pole position to secure the work when the project is cancelled or shelved. Do they have any remedies for claiming reimbursement when this happens? The talk will deal with these problems and more.
MORE DETAILS
Room 4 is situated just off the A580, close to the M6 J23, in Golbourne, near Warrington in Cheshire. Pleanty of car parking.
Associated Link :
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10/9/2010
Subject: RICS Chairman Seps Down
Description: Departure Highlights Internal Wrangling
"Building" is reporting that Stuart Earl, a partner at QS Gleeds, is quitting as chair of the RICS QS board after a row between board members and the institution over the length of his tenure and the future direction of the organisation.Associated Link : http://www.building.co.uk/news/qs-board-chair-steps-down-amid-row-over-rics-future/5005380.article
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10/9/2010
Subject: Morgan Sindall Scoops up Connaught
Description: £28m Deal to Take Over Existing Contracts
Morgan Sindall has completed a £28m deal to acquire the majority of ongoing contracts of the social housing division of Connaught and transer 2,500 staff to its business.
Associated Link : http://www.thebusinessdesk.com/westmidlands/news/62541-morgan-sindall-swoops-on-connaught.html?utm_source=newsletter&utm_medium=email&utm_campaign=_10th_Sep_2010_-_Daily_E-mail
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9/9/2010
Subject: Procurement Poses Problems – Joint QSi / APM Event
Description: Procurement Poses Problems – Joint QSi / APM Event
Procurement Poses Problems – Joint QSi / APM Event
Speaker - Roger Knowles FRICS FCIArb FQSi Barrister
WHEN 3 February 2011 – It may be early but book now numbers limited to 70. If you want to come please send us your details and numbers likely to attend.
WHERE?
Room 4 Ltd, 58 Legh Street, Golborne, Warrington WA3 3PA
TIME
6.00pm Buffet 6.30pm Presentation - 2.0 hours CPD Certificates
Free to QSi and APM members.
£5.00 plut VAT for non members.
Associated Link : Procurement Poses Problems – Joint QSi / APM Event
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9/9/2010
Subject: QSi Linkedin now has a job board
Description: QSI Linkedin now has a job board!
Share and discuss jobs with group members here. Like all discussion, it's free! Want your job to reach 75 million top professionals across LinkedIn? Get started.
Associated Link : http://www.linkedin.com/groups?jobsList=&gid=2598081&trk=anet_ug_jobs
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8/9/2010
Subject: Scottish Government Warns Housing Associations of Tough Times Ahead
Description: UK Government Cuts will Impact on Provision of Social Housing
Housing and Communities Minister Alex Neil today warned Scotland's housing associations that the UK Government's planned cut in public spending will inevitably impact on the level of investment in social housing in Scotland.Associated Link : http://www.scotland.gov.uk/News/Releases/2010/09/08095818
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7/9/2010
Subject: Connaught Environmental and Compliance Divisions Escape Administration
Description: Social Housing and PLC to go into Administration
Sources says that the environment and compliance divisions of Connaught will not be placed into administration, although both face that fate early as today. The Environmental and Compliance Divisions are to be placed in a separate vehicle and will receive funding while the management team remains in place to attempt to sell the divisions
Associated Link : http://www.building.co.uk/sectors/housing/connaught-environment-and-compliance-arms-to-be-kept-out-of-administration/5005221.article
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7/9/2010
Subject: Leeds Shopping Complex Property Event
Description: Forum will Explore Potential Benefits
Companies are being invited to explore how they can benefit from two major new developments in Leeds at Chamber of Commerce Property Forum on the 15th September.Associated Link : http://www.yorkshireeveningpost.co.uk/businessnews/Developers-share-Leeds-schemes39-benefits.6516387.jp
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3/9/2010
Subject: Harland and Wolff Wins Offshore Wind Contract
Description: Contract for Two Offshore Substations
Engineering firm Harland and Wolff has been awarded a contract for the construction oftwo offshore substation platforms for energy giant Siemens.Associated Link : http://www.cnplus.co.uk/8605519.article
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3/9/2010
Subject: 14% Fall in Construction Orders
Description: ONS Statistics Show a Second Quarter Drop
Figures from the Office of National Statistics indicate that construction orders fell by 14% in the second quarter of the year. Private housing suffered the largest fall.Associated Link : http://www.building.co.uk/5005127.article?origin=bldgbreakingnewsletter
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3/9/2010
Subject: Japanese to Invest in Rochdale Development
Description: Part of £250m Redevelopment Plans
Plans for the redevelopment of Rochdale Town Centre are being backed by a £100m commitment from Kajima Partnerships, a subsidiary of Japan's Kajima Corporation.Associated Link : http://www.thebusinessdesk.com/northwest/news/59444-genr8-secures-100m-for-rochdale-scheme.html?news_section=4150
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3/9/2010
Subject: Duty of Care and Supervening Event
Description: Action of Vandals a Supervening Event
The insurers of a church sued Chubb for providing a fire extinguisher which, when discharged, caused a mess which cost £240,000 to clean up. The extinguisher had been discharged by vandals who had gone into the church, The insurers sought to recover the clean-up costs. Chubb argued that the supervening event rendered them not liable.
Chubb Fire Ltd. v The Vicar of Spalding and The Churchwardens and Church Council of the Church of St. Mary and St. Nicholas, Spalding [2010] EWCA Civ 981Associated Link : http://www.blissbooks.co.uk/news.php
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27/8/2010
Subject: Developers Shortlisted for "Vision for Lord's"
Description: £400m Regeneration of the Cricket Ground
Developers Native Land, Almacantar and Capital and Counties have made it through to the final stage of the competition to develop the first phase of a £400m regeneration of Lord’s cricket ground – the Vision for Lord’s.Associated Link : http://www.propertyweek.com/5004800.article?origin=PWbreakingnews
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27/8/2010
Subject: Colchester Council to Sue Turner and Townsend
Description: Dispute over Vinoly Art Gallery
Colchester Council is setting aside £500,000 to pursue a claim against Turner and Towensend over its role in the ill-fated Vinoly Arts Centre project, which has been delayed by three years and is £10m over budget.Associated Link : http://www.building.co.uk/5004718.article?origin=bldgqsnewsnewsletter
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26/8/2010
Subject:
Description:
Associated Link :
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26/8/2010
Subject: Advisers Sought for Dubai/ UAE Infrastructure Development
Description: $54m Water Transportation Scheme
Dubai is looking to use a PPP model to procure its infrastructure, and is looking for consultants for a $54m water transportation scheme which will run along the coast of Dubai with the possibility of extending it to other emirates.Associated Link : http://www.ukti.gov.uk/uktihome/home/localisation/116468.html
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24/8/2010
Subject: Interserve Appointed to Procure 21+ Framework
Description: Framework Worth £4.5bn
Interserve has been named as one of the six Principal Supply Chain Partners (PCSPs) in the new ProCure21+ framework agreement, estimated to be worth up to £4.5 billion over its six-year term.
ProCure21+ will begin operating on 1 October 2010. It is a new framework that will replace the current ProCure21 programme through which Interserve has undertaken 136 schemes on behalf of 52 NHS Trusts since its pilot in 2002. Like ProCure21 the framework will streamline and improve the procurement process for NHS Trusts across England. This will enable them to select an appropriate supply chain partner to deliver acute, primary care and mental health facilities. As with ProCure21, there is a commitment to long-term relationships, collaborative working, integrated supply chains and the use of target-cost contractsAssociated Link :
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16/8/2010
Subject: CBI Demands Action on Suspended Power Plant Schemes
Description: 37 Schemes Identified
The Confederation of British Industry (CBI)is warning that proposals to replace the Infrastructure Planning Commission with the Major Infrastructure Unit where ministers make decisions about major infrastructure projects could delay vital energy schemes. The CBI has identified 37 threatened projects. Associated Link : http://www.thebusinessdesk.com/northwest/news/51407-cbi-calls-for-action-on-stalled-power-plants.html?news_section=4148
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13/8/2010
Subject: Procurement Poses Problems – Joint QSi / APM Event
Description: Procurement Poses Problems – Joint QSi / APM Event
Procurement Poses Problems – Joint QSi / APM Event
Speaker - Roger Knowles FRICS FCIArb FQSi Barrister
WHEN
3 February 2011 – It may be early but book now numbers limited to 70.
If you want to come please send us your details and numbers likely to attend.
WHERE?
Room 4 Ltd, 58 Legh Street, Golborne, Warrington WA3 3PA
TIME
6.00pm Buffet 6.30pm Presentation - 2.0 hours CPD Certificates
Free to QSi and APM members.
£5.00 plut VAT for non members.
Management of the procurement process for construction projects is a key responsibility of the Project Manager and Quantity Surveyor.
Roger Knowles will talk about the problems faced by both the Client project management team and the contractors in today’s economic climate.
The current financial situation has resulted in a down turn in work load in both the public and private sectors. Project Managers often find themselves forced to appointment on the lowest bid that is not always the lowest out turn cost.
With this, adversarial attitudes are back in vogue and Contracts now being used reflect this attitude. How does the Project and Cost Management team successfully deliver the project in this environment?
Many contractors having spent substantial sums of money on tendering find themselves in pole position to secure the work when the project is cancelled or shelved. Do they have any remedies for claiming reimbursement when this happens? The talk will deal with these problems and more.
MORE DETAILS
Room 4 is situated just off the A580, close to the M6 J23, in Golbourne, near Warrington in Cheshire. Pleanty of car parking.
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13/8/2010
Subject: Don't Sign Your Life Away
Description: Trigon Tools Ltd. v Andrew Wright (PVC) Ltd.; 20 July 2010
The defenders hired an excavator from the pursuers to be used in the construction of a conservatory at a house in Irvine. The defenders had hired equipment from the pursuers on a number of occasions previously. The contract was an oral one, made during a telephone conversation between the parties on or about January 2008. The defenders used subcontractors as well as their own labour force for elements of the work. When the excavator was delivered to site, the hire advice note containing the terms and conditions on the reverse was signed by an unknown worker who was also given a copy. The work was completed, and the defenders phoned the pursuers to say they could remove the excavator. Before they could, the excavator was stolen.
The defenders' position was that there was no basis upon which the pursuers were entitled to assume that the person who had signed the Hire Advice Note had had any authority to bind them contractually. He had not seen the pursuers' terms and conditions let alone read them.
Associated Link : http://www.blissbooks.co.uk/news.php
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13/8/2010
Subject: QSs Fear Lack of Work after Davis Langdon Takeover
Description: Firms Seek Aecom Assurances
Some of the UK's top QS firms are seeking assurances from Aecom that they will not be frozen out of working for the company after its takeover of Davis Langdon last week. Aecom have assured the companies with contracts that it will be "business as usual".
Davis Langdon's exisiting clients have reacted warily to the takeover news, with concerns over the company's loss of independence and deterioration in the level of service.Associated Link : http://www.building.co.uk/news/top-qss-fear-drop-in-aecom-work-after-dl-takeover/5004168.article
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11/8/2010
Subject: Plans for Offshore Humber Energy Park Unveiled
Description: Able Plans Quayside Development
North-East firm Able UK has submitted proposals for an 800ha quayside development near Immingham to construct wind turbines and house facilities for biomass energy generation. Designs are currently under development.Associated Link : http://www.regen.net/bulletins/Economic-Development-Bulletin/News/1015080/Plan-unveiled-offshore-Humber-energy-park/?DCMP=EMC-Economic%20Development%20Bulletin
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9/8/2010
Subject: Ireland Construction Orders Rise
Description: First Increase for Three Years
The Ulster Bank's latest construction industry survey is showing an increase in construction orders- the first for three years. Despite this, conditions remain tough with overall construction activity declining, albeit at a slower rate.Associated Link : http://www.irishtimes.com/newspaper/breaking/2010/0809/breaking8.html
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7/8/2010
Subject: Property Energy Performance Assessors to contact MEPs
Description: Property Energy Performance Assessors to contact EU
All Commercial Buildings in the UK are supposed to have Energy Performance certificates when they are built, sold or let. Government statistic indicate that non-complience is running at 50% to 80%
As Local Authorities do not appear to be enforcing the law, the Property Energy Performance Assessors intend to contact their MEPs and put pressure on the Government.
Associated Link : http://www.communities.gov.uk/documents/planningandbuilding/pdf/1491231.pdf
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6/8/2010
Subject: Unnecessary Expert Costs Disallowed
Description: Parties' Issues Centred on Events at Meeting
In LPI Hotels Ltd. v Technical & General Guarantee Company SA, [2010] EWHC 2049 (TCC), the court disallowed a proportion of the accounting expert's costs because after a certain date the issues between the parties had boiled down to what was said at a meeting. Valuation of the claim and counterclaim was not applicabelAssociated Link : http://www.theconstructionindex.co.uk/construction-law/view/06-08-2010/claimant-not-entitled-to-costs-of-unnecessary-expert
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6/8/2010
Subject: BSF Sample Schemes Escape
Description: 34 Projects to go Ahead
"Construction News" is reporting that the government has approved all the sample school projects that were under review as part of the scrapping of the Building Schools for the Future programme.Associated Link : http://www.cnplus.co.uk/8604420.article
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6/8/2010
Subject: University of Glasgow Advertises QS Contract
Description: PQQ Quantity Surveyor & CDM Coordination Consultancy
Please follow the link for further information.Associated Link : http://www.publiccontractsscotland.gov.uk/search/show/search_view.aspx?ID=JUL080392
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5/8/2010
Subject: Davis Langdon Bought by Aecom
Description: Deal worth £203m
Consultant Davis Langdon has been nbought by Aecom in a deal worth $324m. This follows Aecom's takeover of Tishman last month.Associated Link : http://www.building.co.uk/5003840.article?origin=bldgbreakingnewsletter
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2/8/2010
Subject: OGC Publishes Framework Guide
Description: Updated Guide
his guide is for anyone involved in developing a procurement strategy and provides an overview of the considerations for using framework agreements and how to buy from them. It focuses primarily on the process of calling off from an already established multi-user Framework Agreement, but many of the principles apply equally to single-user framework agreements. The guide has been written with the assumption that, unless otherwise stated, the full scope of the EU Procurement Rules apply.
This guidance, including the examples, is not intended as a substitute for project specific legal advice, which should always be sought by a contracting authority where required.Associated Link : http://www.ogc.gov.uk/policy_and_standards_framework_a_guide_to_buying_through_framework_agreements.asp
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27/7/2010
Subject: Scottish First Minister Predicts Thousands of Jobs in Renewables
Description: Stage 2 of the National Renewables Infrastructure Plan (N-RIP) Published
The Scottish First Minister, Alex Salmond, has told a Scottish Government public discussion event in Dornoch that over 5,000 green jobs could be created through the development of three regional offshore energy manufacturing sites built around key port locations.
The report states that a total private and public investment of £223 million would assist the creation of 11 offshore wind manufacturing sites in three regional clusters. Taken together these sites could support the creation of about 5,000 new jobs, plus an annual economic impact of up to £294.5 million.Associated Link : http://www.scotland.gov.uk/News/Releases/2010/07/27150157
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26/7/2010
Subject: Irish Government Announces Revised Infrastructure Fund
Description: Six-year €39.43 billion revised capital investment programme.
The Irish government has announced a six-year €39.43 billion revised capital investment programme. The programme, “Infrastructure Investment Priorities 2010-2016”, was published by the Taoiseach at the national convention centre in Dublin’s Spencer Dock at midday today (26 July 2010).
The main areas for investment are public transport, roads, schools, health facilities, the environment, energy efficiency, broadband, Research and Development (RD) and support for jobs and enterprise. €12.2 billion has been allocated for transport projects including Metro North and the €2.5 billion Dart underground project, which will proceed, but rail links from Dublin to Navan and from Tuam to Claremorris have been put on hold.Associated Link : http://www.irishtimes.com/newspaper/breaking/2010/0726/breaking11.html
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23/7/2010
Subject: Leading QS Calls for PFI Clarity
Description: PFI Framework Needed in Malaysia
A top QS has told the "Business Times" that a clear framework is needed if the Private Finance Initiative (PF) is to be adopted successfully in Malaysia. Professor Dr Khairuddin Abdul Rashid,
teaches at the International Islamic University Malaysia's Department of Quantity Surveying, is considered an expert on PFI in Malaysia.Associated Link : http://www.btimes.com.my/Current_News/BTIMES/articles/3pu/Article/
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23/7/2010
Subject: Quantity Surveying Firms Drawn into Holiday Scam
Description: Fraudster Claims to be QS
A number of quantity surveyor firms have been unwittingly drawn into an elaborate holiday rental scam in which customers pay up front to stay in a luxury apartment which they cannot subsequently access.
Associated Link : http://www.irishexaminer.com/ireland/holiday-scam-used-legitimate-firms-details-125968.html
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23/7/2010
Subject: Scottish Court Considers Principles of Concurrent Delays and Dominant Cause
Description: City Inn Ltd. v Shepherd Construction Ltd.; 22 July 2010
The Inner House of the Scottish Court of Session has rejected City Inn's appeal against a decision that Shepherd Construction was entitled to an additional extension of time due to architect's late instructions. During the course of the 85-page judgment, the Court set our principles to be followed when considering issues of concurrent delay and dominant cause.Associated Link : http://www.blissbooks.co.uk/news.php
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23/7/2010
Subject: Atkins May have to Cut 600 Staff
Description: Government Cuts Blamed
"Building" is reporting that Atkins’ highways and transport division may have to shed 600 jibs because of the government's spending cuts. This follows a similar announcement from WSP that 50 jobs will have to go.Associated Link : http://www.building.co.uk/5003251.article?origin=bldgqsnewsnewsletter
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20/7/2010
Subject: Amey Wins Station Upgrade
Description: Nine Stations plus Track Work
Amey has been awarded a top contract by Network Rail to extend platforms at nine stations in the South East of England so they can accommodate new 12-car passenger trains carrying extra commuters into London. In addition, Amey will carry out supporting works on the existing track, overhead line and signalling equipment and upgrade lighting, public address and CCTV security systems.
Amey will use an innovative mini piling system to support the new platform structures, which will save time and money for Network Rail and minimise disruption and noise to rail users and local residents. In a traditional piling operation, specialist machines are used on the tracks and work is carried out during rail possessions, at evenings or weekends. However, Amey’s mini piling system can be set up off the tracks, enabling lines to stay open for business throughout the project. Survey and design work starts in July and all stations are due to be completed in November 2011.Associated Link :
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18/7/2010
Subject: QSi Membership Campaign
Description: QSi Membership Campaign
Please contact your work colleagues and let them know the benefits of joining QSi - Quantity Surveyors International
They are:-
1) Membership certificates are issued to members. (New members are vetted to ensure that they have a right to the membership grade requested.)
2) Access to BLISS news / legal articles free.
3) Access to free QS CPD – Certificates given
4) Access to over eighty modern QS Legal case articles.
5) Easy links to other QS / QS Companies / Building Companies.
6) Low cost advertising on the QSi website.
The QSi founded 6 years ago by a small group of QSs who believed that the existing Institutes were not nurturing the QS profession and helping to retain old skills whilst developing new approaches.
Anyone who has a QS back ground can join.
The annual fees are only a fraction of the cost of other Institutes.
The reason for this is everyone at QSi is a volunteer. We don’t have a massive “civil service” pushing bits of paper around.
For more information, go to http://www.theqsi.com or email me on andrew@andrewrwilliams.co.uk
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16/7/2010
Subject: Adjudicator Not Biased
Description: No Evidence of Preference Towards Former Colleague
Fileturn sought summary judgment to enforce an adjudicator’s award against the defendant, RGH. RGH resisted the enforcement on the grounds of alleged bias by the adjudicator, Mr. Sliwinski because of his pre-existing relationship which Mr. Richard Silver of construction consultants, Alway Associates, who represented Fileturn in the adjudication.
Mr. Sliwinski was a director of Alway Associates until February 2004, when he left to become a partner in solicitors, Wright Hassall. About two years after that, he left to set up his own practice, acting as an adjudicator on a regular basis. Mr. Sliwinski had been based at Alway’s Banbury office, whilst Mr. Silver was based at their office in Epping. Mr. Silver had requested Mr. Sliwinski’s appointment as adjudicator in about a dozen disputes over the previous few years, but he had only been appointed in two of them, one of them being the present case. Mr. Sliwinski had acted in about 10 adjudications where Alway had represented one of the parties.
Because this was an application under CPR 24, the court had to consider whether RGH had no reasonable prospect of defending the claim to enforce the award. The parties were agreed that the test for bias was whether the informed and fair-minded observer, having considered the relevant facts, would conclude that there was a real possibility that Mr. Sliwinski was biased.
The court assessed the material facts. RGH’s solicitors had enquired how often Alway Associates had asked for Mr. Silwinski to act as adjudicator, and was told that Mr. Silver had asked for Mr. Silwinski on 12 occasions. No one else in Alway Associates had requested him to act. Alway Associates had represented one of the parties before Mr. Silwinski on ten occasions; on two of these Mr. Silver had been Alway’s representative.
The court concluded that faced with these facts a fair minded observer would probably conclude that although Mr. Silver had requested Mr. Silwinski to act as adjudicator on 12 occasions, he had only actually been appointed once, and there was no evidence that Mr. Silwinski knew that Mr. Silver had asked for his appointment on the other occasions. Consequently, the fact that Mr. Silver had asked for these appointments was unlikely to have had any effect on Mr. Silwinski’s mind. Given that Mr. Silwinski conducted about 25 adjudications a year, only 5-10% involved Alway Associates acting for the parties.
There had been no significant contact between Mr. Silwinski and Mr. Silver since Mr. Silwinski had left the company apart from the one occasion upon which Mr. Silver had represented a party before Mr. Silwinski. There was no evidence that they had had anything other than a professional association when Mr. Silwinski had worked for Alway, and, given the number of adjudications which Mr. Silwinski undertook without the participation of Alway Associates, it could not be said that he relied upon them for his practice as an adjudicator.
The questionnaire issued by the RICS which asked Mr. Silwinski to “disclose any involvement, however remote, but in particular an involvement you or your firm has (or has had in the last five years) with either party in this dispute” did not require him to disclose any involvement prior to that.
There was no inherent objection to the fact that legal representatives are well known to a judge. In specialist courts, this frequently happens. The judge rejected RGH’s arguments that Mr. Silwinski had been biased and concluded that they had no reasonable prospect of success.
Fileturn v Royal Garden Hotel Ltd., [2010] EWHC 1736 (TCC)
Copyrght: BLISS Books Ltd. 2010Associated Link :
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16/7/2010
Subject: European Contract Consultation Launched
Description: Single Contract Law for the Internal Market
The European Commission has launched a consultation seeking views on the introduction of a European contract law for businesses and consumers to enable all to take full benefit of the internal market. Views are invited by January 2011.Associated Link : http://ec.europa.eu/justice_home/news/consulting_public/news_consulting_0052_en.htm
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15/7/2010
Subject: BPF/ CCG Report Criticises Construction Health and Safety Laws
Description: Report Highlights Flaws in the Legislation
A report produced by Pye Tait and commissioned by the British Property Federation and the Construction Clients Group has highlighted what it calls “severe flaws” in current construction health and safety legislation. Research shows that clients who do not commission buildings on a regular basis have never heard of the Construction (Design and Management) Regulations 2007. For companies whose main operations include construction, such as property developers, the study has found that the legislation has not led to a substantial reduction in health and safety risks in construction, while costs and the level of administration required for compliance have risen. Industry groups want the government to overhaul the regulations and engage more widely with business to ensure that anyone likely to commission construction work understands their responsibilities and knows where to get help.Associated Link :
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8/7/2010
Subject: Adjudicator Did Not Communicate Decision “In Reasonable Time”
Description: Decision Unenforceable
The Technology and Construction Court has ruled that an adjudicator did not communicate his decision to the parties in a “reasonable time” as required by the Scheme for Construction Contracts and it was unenforceable.
An adjudicator must reach his decision within 28 days of the referral or within 42 days if the referring party consents. The parties may agree a longer period if they so wish. The evidence established that the adjudicator had reached his decision no later than 2.48p.m. on Friday 13 November 2009. The decision was issued by e-mail at 4.57p.m. on the 16th. The parties had agreed an extension which included the 13th. In effect, the adjudicator had not been asking for an extension in which to reach his decision but some additional time for delivering it. The Scheme required him to issue a copy of his decision as soon as possible after reaching it, and he had been asking for relief from that obligation.
The only issue was, therefore, whether he had delivered his decision “as soon as possible after” he had reached it. There was no evidence which explained why it took the adjudicator three days to deliver his decision. The adjudicator worked for a large firm and it was not unreasonable to assume that it could have been typed promptly. The adjudicator could have set aside time to read it through with the aim of communicating it in a shorter time even though a weekend was imminent. There was no good reason why, with a little effort and application, the decision could not have been communicated on the 13th or why the whole of the working day of the 16th had passed before the decision was dent out. The decision had not been issued “as soon as possible” and it was unenforceable. Associated Link :
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8/7/2010
Subject: JOB OFFERS
Description: JOB OFFERS
Commercial Manager / Senior QS (Rail Sector) - Midlands
Plan Procure Manage is a specialist consultancy dedicated to supporting its clients in achieving effective procurement and commercial management.
We help public and private sector organisations, large and small, to successfully plan, procure and manage projects minimising commercial risk.
Due to our continuing growth we urgently need a Commercial Manager or Senior QS with Rail experience gained working with contractors.
We are looking for someone who can start imediately, on a signalling contract in the Midlands.
Permanent and Interim applicants will be considered. (No agencies)
Contact us with CV, location and salary/rate expectations at contact@planprocuremanage.com
CSR CONSTRUCTION JOBS -
SENIOR ESTIMATOR - Civil Engineering
CSR CONSTRUCTION JOBS:-
SENIOR ESTIMATOR
The Role:
Our client is one of the leading players in the UK civil engineering markets working on a number of very high profile schemes across a wide range of sectors.
CSR are currently working with their Northern Ireland region which has recently completed a major infrastructure improvements scheme. Due to the successful completion of this project they have now secured similar work for 2010/2011.
Reporting to the Civils Director you will be involved in compiling tenders for significant and complex Civil Engineering schemes up to £150M whilst undertaking management responsibilities where you will have significant influence on the decision making process with regards to tenders.
Responsibilities:
◦Take off quantities from drawings to provide both tenders and budgets.
◦Preparing works schedules
◦Preparing and work with bills of quantities.
◦Preparing tender submissions, ensuring that these are consistent with the estimate.
◦Liaising with the Sales and other relevant staff to ensure that the structure of the estimate meets the requirements of the contract management process.
◦Providing a reliable and cost effective estimating service, ensuring that all Company bids represent the actual cost of completing the relevant contracts satisfactorily, taking into account current legislation, which affects the execution of the contract.
◦Establishing and maintaining good communication channels with relevant departments (Contracts, Design, Human Resources, Purchasing and Production) to ensure you have the most up-to-date cost changes.
◦Attending Estimating Department meetings with Sales to determine department workload.
◦Attending and participate in internal meetings to ensure that routine validation of contract estimates is undertaken.
◦Liaising with other departments to ensure that all relevant information on contracts, architects, contractors, clients etc., obtained by estimating department in the course of its activities, that could have bearing on the company’s success is passed on.
◦Working to and be aware of ISO 9001 & 14001 and Investors in People requirements
Requirements:
This is a key role within the business therefore only candidates with the following experience will be considered:
·Minimum of 5 years civils estimating experience
·Previous exposure to the bid and tender process for £multi-million civil engineering contracts
·Strong IT skills
·Ability to meet challenging deadlines
To discuss this opportunity in the strictest confidence please contact Raymond Younge at CSR by sending your CV to raymond@csrni.com
Crescent Specialist Recruitment (CSR) is operating as an employment agency on behalf of our client.
Crescent Specialist Recruitment is an equal opportunities employer and we welcome applications from all sections of the community
For more information go to
http://www.linkedin.com/groupAnswers?viewQuestionAndAnswers=&discussionID=24170333&gid=2598081&trk=EML_anet_qa_ttle-d7hOon0JumNFomgJt7dBpSBA
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6/7/2010
Subject: Scottish Government Sets up “Jessica” Fund
Description: Boost for Regeneration Projects
The Scottish Government has set up the £50m Jessica Scotland Fund which is intended to help kick-start large-scale regeneration schemes that have stalled during the recession. The fund is made up of £26 million from the Scottish Government and a £24 million grant from the European Regional Development Fund. The fund will be invested in new business and transport hubs, wireless technology zones, green energy provision for social housing and renewing derelict sites. Organisations such as urban regeneration companies (URCs) and other bodies operating in the 13 most deprived local authority areas in Scotland will be eligible to bid for loans. The fund will aim to recycle cash for future projects by getting money back when schemes start generating returns.
JESSICA stands for the Joint European Support for Sustainable Investment in City Areas programme.Associated Link :
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5/7/2010
Subject: Scottish Government Announces Millions for Affordable Homes
Description: Accelerated Building Programme Announced
Housing and Communities Minister Alex Neil announced today (5 July 2010) that £45 million funding will accelerate building of at least 800 new low cost homes across Scotland. The resources will be focussed on stimulating the country's house building industry and tackling homelessness.
The money comes from:
£31 million in UK budget consequentials allocated to housing developments across Scotland
£14 million has been released from the Affordable Housing Investment Programme (AHIP) because Glasgow Housing Association has agreed to spread some of the grant funding it is due over a longer period.
As a result of the additional funding, the Affordable Housing Investment Programme (AHIP) for 2010-11 will rise to £502 million delivering over 7,100 homes for rent or low cost ownership.
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29/6/2010
Subject: Quantity Surveyor - UK/France
Description: Quantity Surveyor - UK/France
UK based consultancy requires a fluent French speaking Quantity Surveyor to work on exceptional projects in Paris and Bordeaux. Based in London it is expected you will visit Paris at least once a week and Bordeaux frequently.
It is essential that you are familiar with the French system and have worked previously as a quantity surveyor for a UK based PQS. The Client is not looking for anyone from a contractor background.
A telephone interview in French will take place before any face to face interviews are arranged to ensure fluency.
Email stephen@ruetwo.com
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29/6/2010
Subject: Wakefield College Advertises QS Contract
Description: Services for Campus Masterplan
Wakefield College has published an OJEU notice for cost consultancy services for its City Centre College Masterplan. Taylor Young Architects will design the proposed development on the existing City Centre Campus site. The anticipated project cost is £5.73m. It is anticipated that the master plan will provide for a series of distinct development phases that will allow for flexibility depending on sources and timing of funding, but which will also ensure continuity of operations. It will also provide flexibility to respond to changes in further education over the next few years, and reduce the need for capital funding in the initial phases.Associated Link :
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29/6/2010
Subject: Balfour Beatty Preferred Bidder for Oldham BSF
Description: Programme Worth £175m
This BSF Programme involves the delivery of new buildings and upgrades to eight of the Borough’s schools, a pupil referral unit and the construction of a new school in Chadderton. The initial phase of construction, which will commence in January 2011, will involve the delivery of the new-build Oldham Roman Catholic School at its new site and the partial rebuild and remodelling of North Chadderton School. Upgrades, expansions and new buildings for the other schools will commence between 2012 and 2014, with all construction work completed by 2015.Associated Link :
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25/6/2010
Subject: Precedence of Dispute Resolution Clauses in JCT 2005 MW
Description: Paul and Elizabeth Price v Ian Carter (t/a Ian Carter Building Contractors), [2010] EWHC 1451 (TCC)
Carter was appointed by the Prices under a JCT 2005 MW form of contract for the demolition of their bungalow and construction of a new house for £226,000. Completion was due on 26 May 2008, but the work was delayed, and the Prices took possession of the site on 24 July 2008. Carter was granted an extension of time of 9 weeks only. Practical completion was achieved on 18 February 2009. The contract provided for disputes to be referred to adjudication and arbitration. The Prices wanted to use adjudication as a cheaper method of resolving the dispute. The nominated adjudicator was also the contract administrator for the works and Carter had misgivings about the same person fulfilling both roles. Carter served a notice of arbitration on the Prices. As the parties failed to agree on a nomination, the RIBA nominated Mr. James Middleton-Stewart.
Mr. Middleton-Stewart issued his award on 8 March 2010, and the Prices issued the present claim outside the 28-day time limit stated in section 70 of the Arbitration Act 1996. The Prices argued that the claim was not out of time because there was an outstanding process of review of the award, and they had not been notified of the result until 29 March 2010 (at the earliest). The Prices sought leave to appeal and an extension of time.
The Prices argued that by section 67 of the Act, the arbitrator had no jurisdiction because the primary mode of dispute resolution under the contract was adjudication, not arbitration. They maintained that clauses 6 and 7 of the contract, taken together, meant that adjudication took precedence over arbitration as a method of dispute resolution. Alternatively, the Prices maintained that the Notice of Arbitration had been defective. A challenge under section 69 was abandoned.
The Prices alleged that there had been serious irregularities within the meaning of section 68 of the Act which had caused them injustice. The irregularities complained of were that the arbitrator had delegated some of his duties to an assessor and then refused to allow the parties the opportunity to challenge the assessor’s evidence. In addition, the arbitrator had refused to consider some of the Prices’ claims which they had introduced towards the end of the arbitration, and whether they had any entitlement to liquidated damages.
Copyright: BLISS, Building Law Information Subscriber Service 2010.Associated Link :
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22/6/2010
Subject: Morgan Sindall Wins £95.4 Million Scottish Health Project
Description: Contract for a Mental Health Care Unit at Murray Royal Hospital
Morgan Sindall has been awarded the design and build contract for the £95.4 million Tayside Acute Adult Mental Health Developments scheme in Scotland. Working jointly for sister company Morgan Sindall Investments Limited and Robertson Capital Projects, on behalf of NHS Tayside and the North of Scotland Planning Group, Morgan Sindall will design and build new mental healthcare facilities at Murray Royal Hospital in Perth and Stracathro Hospital in Angus. Design and project management consultancy Morgan Sindall Professional Services is the sustainability and BREEAM consultant for the construction project. The scheme has a total development value of £120 million.
The inpatient facilities provided will be for NHS Tayside General Adult Psychiatry, Psychiatry of Old Age, Low Secure Care Services and a new regional Medium Secure Service located in Perth for the North of Scotland Planning Group. In total, 183 bed spaces will be created at Murray Royal Hospital, with an additional 52 at Stracathro Hospital.Associated Link :
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21/6/2010
Subject: FE Colleges to Bid for Share of £50m Building Pot
Description: Colleges Offered Additional Funding for Building Projects
The Department for Business Innovation and Skills is inviting Further Education Colleges to bid for money from a £50m fund. Around 150 colleges who have yet to significantly benefit from the capital programme will each receive approximately £225,000 under a £30 million Renewal Grant - bringing real benefits to the learning and training of young people. A additional £20 million will be made available to colleges through an Enhanced Renewal Grant. Colleges will have the opportunity to add to their Renewal Grant, by bidding to build their total allocation to £1 million. Colleges will be expected to attract additional private finance, providing final projects of significant value.Associated Link :
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21/6/2010
Subject: Balfour Beatty Preferred Bidder for Derby Schools BSF
Description: Refurbishment of 14 Schools
Balfour Beatty has announced to day (21 June) that it has been chosen as the preferred bidder by Derby City Council for its £231m Building Schools for the Future programme. This BSF Programme involves the design and new build or refurbishment of 14 schools in the city with funding for three schools to be raised through a Balfour Beatty led PPP concession. All construction and facilities management will be carried out by Balfour Beatty. ICT services across all the schools will be delivered in conjunction with RM, a leading provider of ICT educational solutions.
The initial phase of the scheme will begin in November of this year with the new build of Noel-Baker Community School and Language College and St Martins School, together with the major refurbishment of Derby Moor Community Sports College. All of these schools are scheduled to open for the new academic year in September 2012. Upgrades and new builds of the other schools will commence once financial close has been achieved with all work to be completed for the new academic year in September 2014.Associated Link :
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15/6/2010
Subject: Cabinet Office to Absorb OGC
Description: Government Procurement Arm Succumbs to Efficiency Drive
The Government has confirmed that the Office of Government Commerce and the Buying Solutions subsidiary is to be absorbed into the Cabinet Office. Buying Solutions controls a number of government frameworks and it is unclear how these will be affected. The move will bring together all the cross-government operational functions, including procurement, project management, IT and Civil Service workforce and reform functions.
Associated Link : http://www.building.co.uk/5001108.article?origin=bldgbreakingnewsletter
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15/6/2010
Subject: Interserve consortium preferred bidder for St. Helens BSF
Description: Minimum £150m Contract
The Interserve-led consortium Environments for Learning (E4L) has been named preferred bidder to undertake a major schools development programme for St Helens Council worth provisionally £150 million.
The programme will operate under the Building Schools for the Future (BSF) initiative. Interserve will construct two schools, with a capital cost of £47 million, in the first phase: Rainford High Technology College and De La Salle School. Rainford will be financed using the private finance initiative (PFI) and Interserve will provide facilities management services worth £8 million to the school over a 25-year period once complete.
Six further schools, worth an aggregate of over £100 million in construction costs, have been identified for subsequent development. Two of these will be procured through PFI.
E4L and St Helens Council will, together with BSF Investments, become partners in St Helens’s Local Education Partnership (LEP). We anticipate reaching financial close on the contract in the autumn this year; construction will begin immediately afterwards, leading to the first schools being ready to accept pupils for the start of the academic year in September 2012.Associated Link :
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14/6/2010
Subject: DCLG Spends £28m on Consultants
Description: Analysis of Treasury Spending Reveals Spend on Consultancy Services
An analysis of Treasury data by the journal "Regeneration and Renewal" has revealed that the Department for Communities and Local Government spent nearly £29m on consultants in the financial year 2009-2010. The figures were taken from an analysis of the Treasury's Combined Online Information System (Coins) spending database, which includes 24 million entries on what public money is spent on.Associated Link : http://www.regen.net/bulletins/Business-Bulletin/News/1009416/Exclusive-DCLG-consultancy-costs-hit-28m/?DCMP=EMC-Business%20Bulletin
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11/6/2010
Subject: Survey Reveals RICS Concerns
Description: QSs Say They are Not Adequately Represented
An online survey conducted by "Building" Magazine has shown that 69% of respondents thought the RICS does not represent quantity surveying firms fairly. Despite this, most are in favour of remaining in the RICS.Associated Link : http://www.building.co.uk/news/qss-reveal-rics-grievances/5000841.article
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7/6/2010
Subject: Developers Shortlisted for 4,500 Defence Housing Contract
Description: Project Will Regenerate Aldershot Land
St. Modwen, Argent and Taylor Wimpey have all been shortlisted by the Homes & Communities Agency (HCA) and Defence Estates to redevelop the 148ha Aldershot Urban Extension (AUE) site in Aldershot to create a mixed-use scheme which will include 4,500 houses. The AUE is one of the largest brownfield sites in the South-East of England, and part of it will be sold. The HCA hopes a developer will be in place by the end of 2010, with work commencing in 2012.Associated Link :
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4/6/2010
Subject: Quantity Surveyors Identify Australian Government “Cost Blow Out”
Description: QS Figures Show that Government Paying Double the Industry Rate
Audits of the costs of New South Wales schools projects show that the government expects to pay $932,235 in Sydney metro and $1.034 million in regional areas. At these rates, the government seems to be accepting that it should pay between $7768 a square metre and $8617 a square metre for the buildings: more than double industry rates. This cost doubling is not isolated to prefabricated buildings. The estimates document shows that the price the department expects to pay for most school buildings is roughly double what comparable buildings cost to deliver. The NSW Education Department has said that it has conducted 103 audits into BER buildings, including prefabricated buildings, and found "no evidence of overcharging". However, the reason may be that when auditing the cost of projects, the government compares the buildings against its heavily inflated internal cost estimates i.e. the government compares the price the managing contractors are charging for the buildings with the price it expects it should pay. If the building cost is not more than 5 per cent greater than what the NSW government believes it should be, the project is passed.Associated Link :
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4/6/2010
Subject: Taylor Lewis Rebrands
Description: Management Buy Out for Consultants
The new owners of an Exeter firm of project managers, construction consultants and chartered quantity surveyors have rebranded the company. More than 50 clients, consultants and contractors ajoined the company at a launch party at the Devon Hotel to celebrate the new image for Taylor Lewis. Steve Foxon and Ben Couch completed a management buyout in October last year. Mr. Foxon, who joined the business in 2004, said: "We were keen to keep the existing name because it has such a good reputation, but we just wanted to update the image. Mr. Foxon said that since the takeover the company has increased its market share despite not seeing a rise in overall activity in the construction sector.Associated Link :
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4/6/2010
Subject: Tesco Gets Permission for Multi Million Pound Mixed Development
Description: First Phase to be Complete by 2012
London Thames Gateway Development Corporation has given Tesco permission to build a multi-million pound mixed-use scheme in Bromley-by-Bow. The scheme will include 454 homes, a supermarket, a district centre, a library, a primary school, a hotel and a riverside park. The first phase will be completed by 2012.
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4/6/2010
Subject: RWE Innogy, Stadtwerke München and Siemens to Build Offshore Welsh Wind Farm
Description: Total Investment will be More than EUR 2 Billion
RWE Innogy, Stadtwerke München and Siemens have formed into a joint venture to build the offshore wind farm Gwynt y Môr The total investment will be more than two billion Euros, including the grid connection to the coast. Gwynt y Môr, which is Welsh for “Wind at Sea” is to be built with an installed capacity of 576 megawatts in Liverpool Bay, around 18 kilometres off the North Wales coast. Work will start towards the end of 2011 to erect the first foundations for a total of 160 wind turbines. The permits have already been obtained. Siemens will supply, install and maintain the wind turbines, and provide the connection to the grid.
In its first phase of expansion, the wind farm is planned to generate electricity as early as 2013. The project is expected to be completed in 2014. From then onwards it is forecast to generate around 1,950 gigawatt hours of electricity annually, enough to supply around 400,000 British households. The site is in a very good location as Liverpool Bay in North Wales is renowned comparatively shallow water and very high wind speeds.Associated Link :
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1/6/2010
Subject: Aga Khan in Advanced Talks to Create King's Cross Cultural Centre
Description: Development on 67 Acre Site
The Aga Khan is is advanced talks for talks for the creation of a centre for Ismaili studies and cultural affairs at London’s £4bn King’s Cross scheme. It is believed that that the Aga Khan Foundation and King’s Cross Central — the joint venture between Argent, London & Continental Railways and landowner DHL-Exel – are finalising details of an agreement to develop the proposed centre at the 67 acre site.Associated Link : http://www.propertyweek.com/story.asp?sectioncode=297&storycode=3164045&c=1#ixzz0pG4uXkKp
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23/5/2010
Subject: QSs Wanted
Description: QSs Wanted
Urgent position! Quantity Surveyor (Senior Level), (UAE), Quantity Surveying OR Civil Engineering degree is essential, at least 5 years of experience, please send your cv to info@esesearch.comAssociated Link : http://www.linkedin.com/groupAnswers?viewQuestions=&gid=2598081&forumID=5&sik=1274648976922
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21/5/2010
Subject: Skanska/ Costain JV Wins Second Crossrail Contract
Description: Works Part of Pudding Mill Lane Portal Framework
The value of the contract is similar in size and scope to the Royal Oak portal previously announced in March. Pudding Mill Lane Portal, which is close to Stratford and adjacent to the existing DLR, overland railways and the Lea River, will act as the transition ramp for Crossrail trains when entering and exiting the north east section of the central London tunnels. Work will begin immediately and is scheduled for completion in summer 2011.Associated Link :
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21/5/2010
Subject: Government Examines Replacement of RDAs
Description: Coalition Statement Supports LEPs
The government's agreement published yesterday states that it will "support the creation of LEPs, joint local authority-business bodies…to replace RDAs" and that these "may take the form of existing RDAs in areas where they are popular". The RDAs were aware that change was coming; and England RDAs’ Chair of Chairs, Sir Harry Studholme, said he was looking forward to working with government, and local authority and business partners, on the detail of how new arrangements will be implemented.Associated Link :
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20/5/2010
Subject: HIPS on their Way Out
Description: Home Information Packs Suspended with Immediate Effect
The Communities Secretary Eric Pickles and Housing Minister Grant Shapps have today announced that they are suspending the requirement for homeowners to provide a Home Information Pack (HIP) when selling their homes with immediate effect. An Order suspending HIPs with immediate effect, has been laid pending primary legislation for a permanent abolition. The move is intended avoid uncertainty and prevent a slump in an already fragile housing market by encouraging people to put it on the market with less cost and hassle.Associated Link :
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20/5/2010
Subject: Jobs board on Linkedin
Description: New QSi jobs board
The QSi has a new jobs board on Linkedin.
Follow link below for details.Associated Link : http://www.linkedin.com/groupAnswers?viewQuestions=&gid=2598081&forumID=5&sik=1274313405208
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19/5/2010
Subject: Scottish Government Launches Consultation on Offshore Wind Energy Capacity
Description: “Strategic Environmental Assessment and Development Plan for Offshore Wind”
The Strategic Environmental Assessment and Development Plan for Offshore Wind sets out proposals for the short, medium and long term up to 2020 and beyond.
The proposals include:
Progressing the 10 sites for potential offshore wind energy development recently identified by The Crown Estate. Environment and technical assessment has concluded there are no significant environmental effects which cannot be avoided or reduced through appropriate project planning and development.
- The mapping of key technical and environment constraints to identify the most feasible areas for development, and further evaluate of these areas in relation to other users of the sea; most notably shipping and commercial fishing sectors.
A commitment from the Scottish Government to consider reviewing the plan every two years, in recognition of the fast pace of change within the offshore wind sector and marine environment.
The announcement comes as a new report claims Scotland's seas could supply domestic electricity needs many times over by 2050.
The Offshore Valuation Study says installed offshore renewables capacity could reach 68 GW in Scotland by 2050. This compares to Scotland's current installed renewable capacity of 3.7 GW. Associated Link : http://www.scotland.gov.uk/News/Releases/2010/05/19100623
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14/5/2010
Subject: Planning Permission Granted for the UK’s Tallest Building
Description: Landmark Bridge to be Built over the River Wear
Planning permission has been granted for Sunderland City Council to build the country's tallest bridge. This follows the decision of the council’s planning and highways committee to back the planning application for the Sunderland Strategic Transport Corridor Phase 2 project and its landmark bridge over the River Wear between Pallion and Castletown. Subject to further necessary permissions, construction work could begin early in 2012 with the roads and bridge open by 2015.
The design of the bridge came from local architect Stephen Spence and structural engineers Techniker. The new Wear bridge project has support from the council's partner organisations including regional development agency One North East and city development agency Sunderland arc.Associated Link :
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14/5/2010
Subject: Adjudicator Only Had Jurisdiction over Part of Dispute
Description: Decision not Severable
The Volker-Stevin Joint Venture (VSJV) engaged Cleveland Bridge for works on the Dragon Liquefied Natural Gas terminal at Milford Haven. The services which Cleveland Bridge was to provide were specified in the Scope of Works, which stated:
"(1) Preliminaries (such as Structural overheads, machinery, supervision, planning, materials;
"(2) The preparation of fabrication drawings, including connection design;
"(3) The purchase of structural steelwork, including connection plates and all consumables;
"(4) The transfer to the painting shop, including painting with a 3 coat paint system as detailed in specification…;
"(5) The delivery of the fabricated steelwork to site and offloaded in an agreed location at the site premises;
"(6) Erection of Fabricated steelwork in an agreed manner onto prepared foundations including lining and levelling prior to grouting (by others)."
There were considerable variations and VSJV agreed Cleveland Bridge's final account at £4,687,500 of which £317,500 plus VAT remained due to Cleveland Bridge. Cleveland Bridge invoiced VSJV for £365,125, but this was not paid. One of VSJV's arguments was that a settlement agreement had been reached and so nothing further was due.
Cleveland Bridge issued an adjudication notice, but VSJV challenged the adjudicator's jurisdiction, arguing that the parties' contract was not a "construction contract" within the meaning of section 105 of the Housing Grants Construction and Regeneration Act 1996. VSJV participated in the adjudication without prejudice to its objection to the adjudicator's jurisdiction. The adjudicator rejected VSJV's defence, and awarded Cleveland Bridge the sum claimed, plus interest and her fees. The award was not paid, and Cleveland Bridge commenced in enforcement proceedings, and claimed summary judgement.
There were three issues for decision:
Whether the relevant works undertaken by Cleveland Bridge were "construction operations" within the meaning of s.105(1) of the Act;
Whether any part of the work, and if so which, came under s.105(2) and were not "construction operations".
To the extent there was a mixture of works which were and were not "construction operations", what the effect was on the enforceability of the adjudicator's decision.
WORKS FALLING UNDER SECTION 105(2)
On the evidence, there were substantial works which were not "construction operations", despite Cleveland Bridge's submissions. It was common ground that the subcontract works were being carried out on a site where the primary activity was the production, transmission, processing or bulk storage of gas. The issue between the parties was whether the element of the work within the excluded operations was all the work to the "steelwork for the purposes of supporting or providing access to plant or machinery" or whether it is limited to the "erection" element of that steelwork.
The court had to approach the construction of the Act on the basis of the objective "meaning which the instrument would convey to a reasonable person having all the background knowledge that would reasonably be available to the audience to whom the instrument is addressed", applying the decision in Attorney General of Belize v Belize Telecom Limited, [2009] UKPC 10.
The relevant services under the subcontract included fabrication drawings including connection design; the purchase of structural steelwork including connection plates and all consumables; painting; delivery of fabricated steelwork to site and off loading and the erection of fabricated steelwork. All this work would form "construction operations" within section 105(1).
The court accepted that the value of pieces of plant would form the major part of supply and installation contracts whilst the value of the installation part would be much smaller. However, the general position under section 105(2)(d) was that the operations of the manufacture and delivery to site of equipment, plant or machinery would be excluded. When installation is included it will not be excluded from the provisions of the Act. In such circumstances it was clear that there was a distinction between "manufacture or delivery to site" and "installation" The court rejected that the words "assembly, installation… of plant or machinery" in section 105(2)(c) would include "manufacture or delivery to site" when those words were not used in that way in section 105(2)(d). That being so, if "assembly, installation…..plant or machinery" in section 105(2)(c) did not include "manufacture or delivery to site of ….plant or machinery", there was no reason why "erection… of steelwork" should include "manufacture or delivery to site of….. steelwork".
The issue was whether the word "erection" only covered operations in lifting and connecting the steelwork after it has been delivered to site or whether it also included the preliminary stages starting with the fabrication drawings, leading to the steelwork fabrication and then the delivery of the steelwork to site. The judge found that the wording was unambiguous, and that there was no absurdity in limiting the excluded operations in section 105(2)(c) essentially to operations which were carried out on-site at the process engineering site.
The only operation which was excluded from being a construction operation by section 105(2)(c)(ii) was the erection of the steel work for the piperacks and pipebridges and not the prior activities of fabrication drawings, off-site fabrication or delivery to site of the fabricated steelwork. Cleveland Bridge was correct in its approach to the division between construction operations and excluded operations in relation to the services under the subcontract.
THE EFFECT OF THE DIVISION OF WORK ON THE ADJUDICATOR'S DECISION
By section 104(5), the Act contemplated that there could be a situation where one contract included both construction operations and operations excluded by section 105(2). The right to refer disputes to adjudication and the associated provisions would only apply to the present subcontract insofar as the subcontract related to construction operations. The court then turned to the doctrine of separability applied in the context of section 104(5).
In applying the adjudication provisions to only part of the agreement, there were a number of issues, including the definition of "dispute", and whether in the present case there was one dispute or two. From the notice of adjudication and the referral, it was clear that the dispute which was being referred was VSJV's failure to pay the £317,000. This was one dispute i.e. whether that sum was due and payable. This depended on the resolution of the effect of the settlement agreement. The effect of section 104(5) was that the whole dispute could not be referred to adjudication. This did not make the dispute two disputes; it meant that part of the dispute was referable and part of it was not. The effect of section 104(5) was that the adjudicator had not had the jurisdiction to decide the whole of the dispute referred to her, just the part relating to construction operations. There was nothing preventing an adjudicator making a decision on that part of the dispute over which he or she had jurisdiction.
SEVERABILITY OF THE ADJUDICATOR'S DECISION
Having found that the adjudicator only had jurisdiction over part of the dispute, it followed that her decision on the entire dispute was one for which she did not have jurisdiction. Part of the dispute referred to her had been within her jurisdiction and part had been outside it. As a result, the decision was invalid and could not be enforced.
Since the adjudication concerned a single dispute, the parties' implied agreement to comply with that decision by virtue of paragraph 23(2) of the Scheme for Construction Contracts did not apply to the present decision. The parties had agreed that valid decisions would be binding, but not that an adjudicator's findings on issues leading up to that binding decision were themselves individually binding and enforceable.
Copyright: Building Law Information Subscriber Service 2010.Associated Link :
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12/5/2010
Subject: Bilfinger and Berger to Convert Coal Plant to Biomass
Description: First Project of its Kind
The 180MW Rodenhuize power plant, near the Belgian town of Gent, will see a unique conversion from coal to biomass, the first of its kind on a conventional power plant of this size. The plant which is operated by Electrabel, GDF Suez Group, to use the burning of wood pellets by German contractor Bilfinger and Berger. In addition to biomass, excess blast furnace gas from a neighbouring steel plant will also be used for future power generation. The power plant generates power for the equivalent of 320,000 households. The order has a volume of €20 million.
The services provided by Bilfinger Berger Power Services will include the conversion of 24 existing burners and rehabilitation of ventilation ducts as well as the delivery and installation of 12 new burners for the blast furnace gas. Conversion works are scheduled for completion in spring 2011.Associated Link :
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11/5/2010
Subject: Crown Estate Approves Offshore Suffolk Wind Farm
Description: Planning Decision Expected in 2012
The Galloper Wind Farm, by RWE npower renewables and Scottish and Southern Energy (SSE), will be one of the first to go through the application process of the Infrastructure Planning Commission (IPC). The project is expected to have an installed capacity of approximately 500 MW and the turbines would be constructed in water depths of 30 to 40 metres. The area to be developed is situated in two arrays 30 km from the Suffolk coast. It is adjacent to the site where RWE npower renewables and SSE are constructing the Greater Gabbard Offshore Wind Farm, a 500 MW project planned to be finished in 2012.Associated Link :
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11/5/2010
Subject: Second Stage of £24m Wirral Scheme Gets Funding
Description: Deal with HSBC
The second stage of a major mixed-use regeneration scheme on the Wirral has taken a step forward after developer Neptune Wirral Ltd signed a £24 million funding deal with HSBC. Plans for the second phase of the New Brighton project include a supermarket, hotel, cinema, restaurants, cafes and bars, a watersports training centre, model boating lake and a lido. The first phase of the scheme was completed in 2008 with the construction of the 800-seat Floral Pavilion and Conference Centre. Bower & Kirkland have been appointed as the main contractor for the second stage of the development. In February, the North-West Regional Development Agency announced that it was to provide £3.9 million for Phase 2 after investing £3.6m in the first phase. Associated Link :
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8/5/2010
Subject: List of important Legal cases
Description: QS Legal Cases
List of Legal cases now on the websiteAssociated Link : http://www.theqsi.co.uk/doc/legal%20cases%20of%20interest%20to%20qss%20summary%20_2_.pdf
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8/5/2010
Subject: List of Legal Cases
Description: List of Legal Cases
Legal Cases of Importance to Quantity Surveyors
Summary of Cases
No Title Subject Matter
1. Bodill v Harmail Singh (2007) Retention
2. Midlands Expressway v Carillion (2006) Provisional Sums
3. Cunningham v Collett (2006) Procurement; letters of intent; negligence
4. Mirant v Ove Arup (2005) Delays, Delay Analysis.Site Records
5. Dudley Corporation v Parsons and Morrin Ltd (1959 Variations; Contract rates; Errors in contract rates
6. Henry Boot Construction v AlstomCombine Cycle (2000) Variations; Contract rates; Errors in contract rates
7. Aldi Stores v Galliford (2000) Variations; Contract rates; Contract rates priced at Nil
8. Harvey (WS) Decorators v HL Smith (1997) Protection of Subcontract Works
9. PSC Freyssinet Ltd v Byrne Brothers (1997) Fitness for purpose; Reasonable skill and care
10 A and J Rogers v Northern Ireland Housing Executive 1998) Meaning of Extra Over in a BQ
11. G Lianakis AE v Dimos Alexandroupolis (2008) Procurement European Directive
12. SWI v P&I Data Services Ltd (2007) Lump sum contract; Fixed price contract
13. Reinwood v L Brown and Sons (2008) Set off; non completion certificate
14 Whittall Builder Company Ltd v Chester-le-Street (1985) Disruption; Measured Mile
15. Carrillion Construction Ltd v Felix (UK) Ltd (2000) Economic Duress; agreement reached by applying financial pressure
16 JDM Accord v The Secretary of State for the Environment (2004) Daywork where the records were unsigned
17 J&A Developments v Edina Manufacturing Ltd and others (2006) Procurement; Tender Procedure; Single Stage Tendering Procedure
18. Mowlem v Newton Street Ltd (2003) Guaranteed Maximum Price Contract
19. Euro Pools v Clydesdale Steel Fabrication Ltd (2003) Managerial time and cost relating to a breach of contract claim
20. City Inn Ltd v Shepherd Construction Ltd (2007) Extension of Time; Concurrent delays
21 Isovel Contracts Ltd v ABB (2000) Cheques Issued But Later Stopped
22. Attorney General for the Falkland Islands v Gordon Forbes Construction (Falklands) Limited (2003) Records and Their Importance
23. Co-operative Insurance Society v Henry Boot (2002) Ground Conditions; Subsoil Survey Provided by Employer
24. Siera Ltd v Sigma Wireless Communications Ltd (2007) Extension of time; Notice a Condition Precedent; Minutes of Meeting Not Adequate Notice;
25. Lobster Group Ltd v Heidelberg Graphic Equipment Ltd (2008) Mediation, Cost recovery
26. Blackpool and Fylde Aero Club Ltd v Blackpool Borough Council (1990) Procurement, Tenders
27. Cubitt Building and Interiors v Richardson Roofing (Industrial) Ltd (2008) Contract Formation Battle of the Forms
28. RTS Flexible Systems Ltd v Molkerei Alois Muller GmbH (2008) Letters of Intent
29. Brican Fabrications Ltd v Merchant City Developments (2003) Payment by Employer Direct to Subcontractor
30. Seck Controls Ltd v Drake and Scull Engineering Ltd (2000) Fair Valuation
31 Regus (UK) Ltd v Epcot Solutions Ltd (2008) Limitation clausesExclusion clauses
32. Multiplex Construction (UK)Ltd v Honeywell Control Systems Ltd (2006) Contractual Entitlement to Disclosure of Main Contract Settlement
33. Wharf Properties Ltd v Eric Cumine Associates (1991) Global Claims
34 Tyco Fire and Integration Solutions (UK) Ltd v Rolls Royce Cars Ltd (2008) Joint Names InsuranceDamage due to negligence
35 Musselburgh and Fisherrow Co-operative Society Ltd v Mowlem (Scotland) Ltd (2006) Delays which run in parallelGlobal ClaimsDominant Cause of LossApportionment
36. Shaw Engineering Ltd v DGP International Ltd (2005) VariationsDelaysTime at LargeDetermination
37. John Doyle Ltd v Laing Management (Scotland ) 2004 Global ClaimsConcurrent Delays
38. Collins ( Contractors ) Ltd v Baltic Quay Management Ltd (2004) PaymentFailure to payCourt of Appeal
39. Weldon Plant Ltd v The Commission for the New Towns (2000) Fair ValuationVariationsICE 6th Edition
40. Rupert Morgan Building Services Ltd v David Jervis and Harriet Jervis (2003) Construction ActPaymentSet Off
41. Bovis Lend Lease Ltd v FD Fire Protection Ltd (2003) Claim by contractor against subcontractorProof of sum claimed
42. Actionstrength v International Glass Engineering and St Gobain (2002) Payment direct to subcontractorsContracts of Guarantee
43. Shyam Jewellery Ltd v M Cheeseman (2001) Payment Failure to payRepudiation
44. Haden Young v Laing O’Rourke Midlands Ltd (2008) Contract FormationQuantum Meruit Payment
45. Fitzpatrick Contractors Ltd v Tyco and Integrated Solutions Ltd (2008) Contract Formation and InterpretationLimitation of Liability
46. George Fischer (GB)Ltd v Multi Design Consultants Ltd; Roofdec; Severfield Reece and Davis Landon and Everest (1998) Employer’s Representative’s DutiesDesign and Construct
47 Dinka Latchin Associates v General Mediterranean Holkins SA (2003) Working at Risk
48. Diamond Build Ltd v Clapham Park Homes (2000) Letters of Intent
49 VGC Construction Ltd v Jackson Civil Engineering Ltd (2008) Nebulous and Ill -Defined Claims
50 Galliford Try Infrastructures v Mott McDonald Ltd and Rowen Structures Ltd (2008) Novation; Economic Loss
51 Henry Brothers (Magherafelt) Ltd and Others v Department of Education for Northern Ireland (2007_ EU Procurement Rules
52 McDonnell Archive Storage Ltd v Belfast City Council (2008) EU Procurement Rules
53 McLauchlin and Harvey v Department of Personnel Northern Ireland (2008) EU Procurement Rules
54 Alan Auld Associates v Rick Pollard Associates and Another (2008) Consultancy serviceLate payment of feesRepudiatory conduct
55 Liberty Mercian Ltd v Dean and Dyball (2008) Liquidated DamagesPenaltiesSectional Completion
56 A E Yates Trenchless Solutions v Black and Veach Ltd (2008) Formation of ContractBattle of the FormsAcceptance by Conduct
57 Furmans Electrical Contractors v Elecref Ltd (2009) Distinguish between paid and unpaid invoiceWaiver of entitlement
58 Mead General Building Ltd v Dartmoor Properties Ltd (2009) AdjudicationEnforcement of decisionCompany Voluntary Arrangement
59 Linnett v Halliwell LLP (2009) AdjudicationLiability for Adjudicator’s fees
60 J B Leadbetter v Devon C. C (2009) ProcurementDuty or FairnessAmending Tender
61 Amaryllis Ltd v HM Treasury (2009) ProcurementThe Public Contracts Regulations 2006
62 A E Yates Trenchless Solutions Ltd v Black and Veatch Ltd (2008) Formation of a ContractAcceptance by ConductBattle of the Forms
63 Balfour Beatty Construction Northern Ltd v Modus Corovest (Blackpool) Ltd (2009) Enforcement of Adjudicator’s DecisionStay for MediationSet Off for Liquidated Damages
64 Stocznia Gdynia SA v Gearbulk Holdings Ltd (2009) Contract TerminationTermination at Common Law
65 Chartbrook Ltd v Persimmon Homes Ltd (2009) Precontract NegotiationsInterpretation of Wording in a Contract
66 Education 4 Ayrshire Ltd v South Ayrshire Council (2009) Extensions of Time
67 Mayhaven Healthcare Trust v DAB (2009) Suspension of work for non payment is it repudiation
68 Jim Ennis Construction Ltd v CSL (2009) Final Account Agreement
69 YJL London Ltd v Boswin Estates LLP (2009) Final Account Agreement
70 Costain Ltd v Bechtel Ltd (2005) NEC Contract; Duties of Project Manager; Need to Act Impartially
71 ERDC Group Ltd v Brunel University (2006) Letters of Intent
72 Costain Ltd v Haswell and Partners Ltd (2009) Existence of a ContractBreach of Contract
73 Lobster Group Ltd v Heildelberg Graphic Equipment Ltd and CAF (2009) Exclusion of Liability Clauses
74 Hart v Smith (2009) Adjudication Set Off
75 Ian Whittle Movers Ltd v Hollywood Express Ltd (2009) RestitutionUndue Enrichment
76 Fitzroy Robinson v Mentmore Towers and Others (2009) Naming of Key Personnel at Bid Stage
77 Yuanda (UK) Ltd v WW Gear Construction Ltd 2010) Adjudication- Legal costs of both parties paid by referring party
78 Miller Fabrications Ltd v D Pierce (Contracts) Ltd (2010) Bankers reference not a condition of the contract
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7/5/2010
Subject: Threat to leave RICS as QSs Set out Grievances
Description: Displeasure over Reporting Line and Lowering of Standards
“Building” is reporting that the RICS’ QS group has drafted a five-page letter to the RICS governing council. The letter sets out a number of grievances including a new reporting line for QSs within the RICS and a perceived lowering of standards for obtaining chartered QS status.
The letter suggest that the QS faculty may quit he body. If this were to happen, it would be a would be a serious blow to the RICS because QSs make up 40% of its 100,000 global members, and with membership fees at £400 a year per chartered member, it would be a significant loss of income.
QSs have expressed concern for a number of years that their voice is not being heard, and that the RICS is being run as a commercial business. The letter is also suggesting that the Financial Services Authority replace the RICS as the profession’s regulator and says that a number of large firms have had discussions with the FSA about this.Associated Link : http://www.building.co.uk/story.asp?sectioncode=29&storycode=3163093&c=1
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4/5/2010
Subject: Adjudicator Erred in Determination of Own Jurisdiction
Description: Pilon Ltd. v Breyer Group plc, [2010] EWHC 837 (TCC)
Pilon, a refurbishment contractor, became the subject of a CVA in January 2009. Prior to that they had undertaken work for the defendant on a number of projects, including the Ealing project. There were disputes and Pilon left the site in October 2008. Nine months after the CVA. Pilon issued an interim application for payment in respect of some of the batches of work. When this was not paid, Pilon went to adjudication. The adjudicator awarded Pilon £206,617.74, together with VAT and interest. As the award was not paid, Pilon commenced enforcement proceedings.
The adjudication notice was limited to Pilon's application for interim payment in respect of batches 26-62. Pilon alleged that it was entitled to payment without any deductions because Breyer had failed either to pay or serve a withholding notice. Breyer denied that it had been obliged to issue such a notice, and that it was entitled to set off in respect of an overpayment on work batches 1-25.
The adjudicator had concluded that his jurisdiction did not extend to consideration of the alleged overpayments, since Pilon had deliberately limited his jurisdiction in the way it had formulated its adjudication notice to consider only those matters it had referred to him. Consequently, the adjudicator found that he could not take into account Breyer's defences.
He also concluded that Breyer's failure to issue a withholding notice did not mean that the Pilon was entitled to be paid the full sum applied for because no sums had been certified. The contract provided the mechanism by which Breyer could make claims or deductions and that clause 8(b) entitled Breyer to deduct costs incurred from sums otherwise due to Pilon so that no valid withholding notice was required.
Breyer accused the adjudicator of being guilty of breach of natural justice in refusing to consider its overpayment defence, and took the view that the decision was not binding, and that his decision on his own jurisdiction was not binding.
ADJUDICATOR'S DECISION ON HIS OWN JURISDICTION
There court emphasised that the parties need to either expressly agree that the adjudicator's decision on jurisdiction will be binding, or that there should at least be an implied agreement to that effect. Here, Breyer had made it clear that it disputed the adjudicator's jurisdiction at the time of the adjudication. It had warned that if its defence about the overpayments were not considered by the adjudicator, it would be breach of the rules of natural justice. Once the adjudicator had concluded that he could not consider that defence, Breyer had quickly pointed out that he had reached his decision based on a misunderstanding of his jurisdiction and that they were not going to be bound by his decision. Breyer had not agreed that the adjudicator's decision would be temporarily binding, and, therefore, the adjudicator had not had the power to make a binding decision on his own jurisdiction. As a consequence, the court could go on to consider the merits of Breyer's jurisdictional challenge.
THE ADJUDICATOR'S MISTAKENLY RESTRICTIVE VIEW OF HIS OWN JURISDICTION
An adjudicator must attempt to answer the question referred to him. This may consist of a number of sub-issues. Generally, if he has attempted to address those issues, his decision will be enforceable, whether it is right or wrong. If he fails to do this because he has taken a mistakenly restrictive view of his own jurisdiction, e.g. he has failed to consider a defence, his decision may be unenforceable because of breach of natural justice or on jurisdictional grounds. That failure must, however, be a deliberate one, not an inadvertent error.
In the present case, it was clear that the adjudicator had erred in failing to take into account Breyer's overpayment defence. Although he had correctly taken into account the content of the adjudication notice as setting out the boundaries of his jurisdiction, he had failed to appreciate that Pilon was not only seeking an interim valuation of batches 26-62, but also an interim payment of any amount deemed owing to them. Although the valuation required him to take into account batches 26-62 only, Pilon's claim for payment necessarily required him to also consider whether it was entitled to a lesser amount because of Breyer's overpayment allegations. It is not uncommon for an adjudicator to derive his jurisdiction purely from the wording of an adjudication notice, but the necessary implication of the words used must also be taken into account. The judge was in no doubt that Pilon had attempted to limit the scope of the adjudicator's jurisdiction so that batches 1-25 would not be taken into account, and had sought a tactical advantage by proposing an erroneous statement of the adjudicator's jurisdiction.
The adjudicator had deliberately and mistakenly restricted his own jurisdiction amounting to a breach of natural justice. This may also have affected how he had dealt with other issues where there were disputes of fact. The overpayment defence had been worth £147,774, or 71% of the sum eventually awarded, and it had been open to Breyer to put forward this defence. On any view, it was therefore of fundamental importance to the dispute as a whole. His error rendered his decision unenforceable.
SEVERABILITY OF THE DECISION
Because there was one dispute, the adjudicator's decision could not be severable. In addition, since the court had concluded that the adjudicator's jurisdictional error might well have affected other parts of his decision, the whole decision was tainted by his error.
SHOULD THERE BE A STAY
In the event that he had been wrong, the judge went on to consider whether there should be a stay because of Pilon's financial state and its potential inability to repay the award if required to do so. Pilon's financial plight had not been caused by Breyer's failure to pay the adjudication award. It owed £2.7m, so that even if Breyer paid the sum awarded, it would still be in debt to the tune of £1.7m. Its credit rating was bad, and all the evidence indicated that it would be unable to repay any sums paid to them because of the adjudicator's award. The interests of the creditors who had agreed to the CVA would come before those of other creditors. Given all this, the court would have awarded a stay.
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4/5/2010
Subject: Balfour Beatty Wins Contracts Worth £248m
Description: Network Rail Awards Contracts Across the UK
A four-year extension to 2014 to Balfour Beatty’s existing track renewal framework contract worth approximately £56 million in the first year of the contract, with a further £115 million to be awarded provided agreed targets are met during the first year of the contract. The contract involves the delivery of plain line rail and switches and crossings at junctions with associated signalling, electrification and drainage work for the whole of Network Rail’s South East territory covering the Wessex, Sussex, Kent and Anglia regions;
A four-year contract worth in excess of £50 million for the grinding of plain line rail across the UK, including the operation and maintenance of six of Network Rail’s fleet of rail grinders;
The £27 million Paisley corridor improvement project in Glasgow for the construction of a new third running line and associated overhead electrification additions and modifications, as well as the remodelling of a number of approach lines. The Paisley corridor runs from Gower Street Junction to Arkleston Junction. This contract is due for completion in 2012.
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1/5/2010
Subject: Commercial Manager/Contracts Manager (X5) - Crossrail
Description: Commercial Manager/Contracts Manager (X5) - Crossrail
Commercial Manager/Contracts Manager (X5) - Crossrail - Posted on qsi Linkedin
Following a significant project wins on major rail infrastructure projects in London, my client is looking to recruit to their growing consultancy business. We currently seek a high calibre Contracts Manager to join our client's team of experienced professionals. You will be a part of a £multi-million investment programme.
This role is based in London, paying £55-65,000 plus an excellent benefits package dependant on experience.
The principal function of this position is to be responsible for the post contract administration and management of all contract matters relating to the obligations and duties of both parties for all contracts awarded for a specific area of the works.
You will have knowledge/experience of the following:
Analysis of the full contract including conditions, scope and other works information
Development and management of appropriate mechanisms to monitor compliance with contract terms and conditions
Development and management of procedures to recognise and identify contract claims as they develop and manage timely resolutions
Maintaining a good working relationship with construction, engineering, project controls (cost and planning) procurement to support contract administration
The ideal candidate will have:
Experience of pricing, contract law, contract drafting, administration and negotiation of change orders
Thorough knowledge of contract administration (NEC 3) and quantity surveying
Experience of dealing with large scale, multi-discipline construction projects
NEC Contract experience is ideal.
You must be an energetic, enthusiastic and driven individual with strong negotiating and communication and interpersonal skills
To apply for this opportunity please contact Chirag Shah on 020 7419 5800 or chirag.shah@trsstaffing.com
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27/4/2010
Subject: Carillion Preferred Bidder on £27m Halifax Academy
Description: Academy will Include a Range of Renewable Initiatives
Calderdale Council has picked Carillion as preferred bidder on the £27m Trinity Academy in Halifax. Calderdale Council is acting as client on behalf of the Academy Trust along with co-sponsors the Diocese of Wakefield, Calderdale College and the University of Huddersfield, to design and construct the new Academy including the provision of ICT infrastructure. Trinity Academy will provide places for 1,200 students plus 300 places for sixth form students, serving the communities of Ovenden, Mixenden and Illingworth in Halifax.
The project will include a range of renewable energy initiatives including a biomass boiler and solar thermal array and will achieve a very good BREEAM rating (Buildings Research Establishment Environmental Assessment Method).acting as client on behalf of the Academy Trust along with co-sponsors the Diocese of Wakefield, Calderdale College and the University of Huddersfield, to design and construct the new Academy including the provision of ICT infrastructure. The Academy will include a range of renewable energy initiatives including a biomass boiler and solar thermal array and will achieve a very good BREEAM rating (Buildings Research Establishment Environmental Assessment Method).Associated Link :
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27/4/2010
Subject: Adjudicator’s Restrictive Determination of His Own Jurisdiction
Description: Decision Unenforceable
Pilon, a refurbishment contractor, became the subject of a CVA in January 2009. Prior to that they had undertaken work for the defendant on a number of projects, including the Ealing project. There were disputes and Pilon left the site in October 2008. Nine months after the CVA. Pilon issued an interim application for payment in respect of some of the batches of work. When this was not paid, Pilon went to adjudication. The adjudicator awarded Pilon £206,617.74, together with VAT and interest. As the award was not paid, Pilon commenced enforcement proceedings.
The adjudication notice was limited to Pilon’s application for interim payment in respect of batches 26-62. Pilon alleged that it was entitled to payment without any deductions because Breyer had failed either to pay or serve a withholding notice. Breyer denied that it had been obliged to issue such a notice, and that it was entitled to set off in respect of an overpayment on work batches 1-25.
The adjudicator had concluded that his jurisdiction did not extend to consideration of the alleged overpayments, since Pilon had deliberately limited his jurisdiction in the way it had formulated its adjudication notice to consider only those matters it had referred to him. Consequently, the adjudicator found that he could not take into account Breyer’s defences.
He also concluded that Breyer’s failure to issue a withholding notice did not mean that the Pilon was entitled to be paid the full sum applied for because no sums had been certified. The contract provided the mechanism by which Breyer could make claims or deductions and that clause 8(b) entitled Breyer to deduct costs incurred from sums otherwise due to Pilon so that no valid withholding notice was required.
Breyer accused the adjudicator of being guilty of breach of natural justice in refusing to consider its overpayment defence, and took the view that the decision was not binding, and that his decision on his own jurisdiction was not binding.
ADJUDICATOR’S DECISION ON HIS OWN JURISDICTION
There court emphasised that the parties need to either expressly agree that the adjudicator’s decision on jurisdiction will be binding, or that there should at least be an implied agreement to that effect. Here, Breyer had made it clear that it disputed the adjudicator’s jurisdiction at the time of the adjudication. It had warned that if its defence about the overpayments were not considered by the adjudicator, it would be breach of the rules of natural justice. Once the adjudicator had concluded that he could not consider that defence, Breyer had quickly pointed out that he had reached his decision based on a misunderstanding of his jurisdiction and that they were not going to be bound by his decision. Breyer had not agreed that the adjudicator’s decision would be temporarily binding, and, therefore, the adjudicator had not had the power to make a binding decision on his own jurisdiction. As a consequence, the court could go on to consider the merits of Breyer’s jurisdictional challenge.
THE ADJUDICATOR’S MISTAKENLY RESTRICTIVE VIEW OF HIS OWN JURISDICTION
An adjudicator must attempt to answer the question referred to him. This may consist of a number of sub-issues. Generally, if he has attempted to address those issues, his decision will be enforceable, whether it is right or wrong. If he fails to do this because he has taken a mistakenly restrictive view of his own jurisdiction, e.g. he has failed to consider a defence, his decision may be unenforceable because of breach of natural justice or on jurisdictional grounds. That failure must, however, be a deliberate one, not an inadvertent error.
In the present case, it was clear that the adjudicator had erred in failing to take into account Breyer’s overpayment defence. Although he had correctly taken into account the content of the adjudication notice as setting out the boundaries of his jurisdiction, he had failed to appreciate that PIlon was not only seeking an interim valuation of batches 26-62, but also an interim payment of any amount deemed owing to them. Although the valuation required him to take into account batches 26-62 only, Pilon’s claim for payment necessarily required him to also consider whether it was entitled to a lesser amount because of Breyer’s overpayment allegations. It is not uncommon for an adjudicator to derive his jurisdiction purely from the wording of an adjudication notice, but the necessary implication of the words used must also be taken into account. The judge was in no doubt that Pilon had attempted to limit the scope of the adjudicator’s jurisdiction so that batches 1-25 would not be taken into account, and had sought a tactical advantage by proposing an erroneous statement of the adjudicator’s jurisdiction.
The adjudicator had deliberately and mistakenly restricted his own jurisdiction amounting to a breach of natural justice. This may also have affected how he had dealt with other issues where there were disputes of fact. The overpayment defence had been worth £147,774, or 71% of the sum eventually awarded, and it had been open to Breyer to put forward this defence. On any view, it was therefore of fundamental importance to the dispute as a whole. His error rendered his decision unenforceable.
(Pilon Ltd. v Breyer Group plc, [2010] EWHC 837 (TCC))
Copyright: BLISS Books Ltd. 2010.Associated Link :
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23/4/2010
Subject: Roger Knowles Hot Tips
Description: Roger Knowles Hot Tips
Roger Knowles Hot Tips
The terms force majeure appears in a number of construction contracts, the JCT being a good example. If, due to a force majeure, work is delayed and affects the completion date, under a JCT form of contract, the contractor or subcontractor, will be entitled to an extension of time. But what is the meaning of force majeure? It is derived from the French Napoleonic Code. This being the case one may ask what is it doing in an English contract? Well you would need to ask the JCT and as it has been in the contract for such a long time, they may not have the answer.
The intention of the wording is to provide an escape from liquidated damages where unforeseen events have a dramatic impact on the performance of the contract. The matter concerned must be outside the control or responsibility of the parties. A good recent example is the suspension of air transport due to the volcano in Iceland. Those with long memories may recall the 1970’s, when due to a miner’s strike electricity was available on only three days each week. Epidemics such as swine flu, had it taken off, would be a force majeure. Whether the current economic climate constitutes a force majeure is debateable.
What is required in contracts is a definition of force majeure, which is what occurs in most PFI contracts. As for contract such as those produced by the JCT, where there is no definition, we will be left in some uncertainty as to whether a particular occurrence is or is not a force majeure.
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22/4/2010
Subject: St. Modwen Signs Section 106 Agreement for Corus Llanwern Redevelopment
Description: £1bn Community to Rise from old Steelworks Site
St. Modwen, the UK’s leading regeneration specialist, has signed the Section 106 Agreement with Newport City Council, allowing plans for the redevelopment of the former Corus Llanwern steelworks into a £1 billion urban community to commence.
St. Modwen acquired the 600 acre disused site from Corus in 2004 and has subsequently been granted full planning consent to progress the large scale remediation work and re-development plans to create Glan Llyn – a new residential and business community to the east of Newport.
Over the next 20 years, Glan Llyn will become one of the most significant newly-built communities in Wales. As well as providing around 4,000 new homes and 6,000 new jobs, Glan Llyn will include a new district centre with a variety of retail and leisure facilities as well as schools, a library, police station, supermarket and doctor’s surgery. The scheme will also have significant areas of play, amenity and sports space, as well as parks and lakes.Associated Link :
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22/4/2010
Subject: Gammon Lands Hong Kong Air Cargo Terminal Contract
Description: 2013 Completion Date
Gammon Construction Limited has been awarded by Cathay Pacific Services Ltd, a HK$4.2 billion (£353 million) air cargo terminal construction contract, in joint venture with Hip Hing Construction Co. Ltd. The contract for the new terminal at Hong Kong International Airport, Chek Lap Kok, will engage a workforce of over 1,000 at the peak of the project’s construction period.Associated Link :
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20/4/2010
Subject: Scottish Government Approves Four Hydro Schemes
Description: Electricity Supply for over 4,000 Homes
Four hydro schemes near Loch Lomond that can supply enough electricity for 4,100 homes have been approved by the Scottish Government.In July 2009, Osspower Ltd submitted applications for consent to construct and operate four hydro electric stations at Glen Falloch Estate near Crianlarich, with a combined generating capacity of 6.7 Megawatts (MW). These are: Allt Fionn (2.1 MW); Ben Glas (1.6 MW); Derrydarroch (2 MW); Upper Falloch (1 MW).
The site lies around 5 kilometres to the north of Loch Lomond and around 6 kilometres southwest of Crianlarich and is entirely within the Loch Lomond & The Trossachs National Park.Associated Link :
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20/4/2010
Subject: Morgan Sindall Creates New Division
Description: Amalgamation of Infrastructure and Construction Businesses
Morgan Sindall is to join its construction business Morgan Ashurst and infrastructure services business Morgan Est to create a new enlarged division under the Morgan Sindall name.
The decision to combine the two divisions comes at a time when the Group’s construction and infrastructure services businesses are increasingly working together on larger and more complex projects in sectors such as rail, aviation and defence. The new division will sit alongside Morgan Sindall’s three other divisions of fit out, affordable housing and urban regeneration which are supported by the Group’s specialist investment unit, Morgan Sindall Investments.Associated Link :
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20/4/2010
Subject: British Gas Acquires Hillserve
Description: Further Expansion of Insulation Business
British Gas has announced the further expansion of its new insulation business with the acquisition of Hillserve Ltd, a domestic insulation company serving the North West of England and Wales.
The deal, worth £5 million, represents another major step in British Gas' ambitions to build the country's leading insulation business, and help British Gas customers cut their energy use, their carbon emissions and their fuel bills.Associated Link :
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20/4/2010
Subject: Balfour Beatty Preferred Bidder for £300 million Ealing Building Schools for the Future PPP contract
Description: Programme Involves 14 Schools
The BSF programme involves the delivery of upgrades and expansions to 14 of the borough's schools, the construction of a new high school in north Greenford as well as significant investment in information communications technology (ICT) in three further schools.
The initial phase of construction, which will commence in October of this year, will involve the complete rebuild of Dormers Wells High School, Southall, and the partial rebuild and remodel of The Cardinal Wiseman RC School, Greenford. Upgrades of the other schools will commence between 2011-2013, with all construction work completed by 2014.Associated Link :
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20/4/2010
Subject: Atkins Signs One of the Biggest European Engineering Contracts
Description: Part of Fusion for Energy Consortium
As part of the Engage consortium, Atkins has signed one of the biggest engineering contracts in Europe with Fusion for Energy (F4E).
The consortium has been awarded the architect engineer contract for the building and civil infrastructures for ITER, the world's latest experimental nuclear fusion reactor in southern France. The Engage contract is valued at approximately 150 million Euros.
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16/4/2010
Subject: Amended Adjudication Clause Replaced by Scheme
Description: Bridgeway v Tolent Wrongly Decided
Yuanda was a curtain walling trade contractor working on the Park Plaza Hotel on Westminster Bridge. In 2007, Yuanda, and over 30 other trade contractors, contracted with the client WW Gear Construction Ltd. on the basis of a substantially amended JCT Trade Contract form. At the tender stage, Gear had proposed “standard” amendments, including two provisions relating to interest and adjudication, which were very heavily weighted in its favour.
Clause 4.11.2 of the contract was amended to provide a contractual rate of interest of 0.5% above the Base Rate, making the total interest rate at the time 6%. The adjudication provisions in the contract were deleted, and replaced by a new clause 9A which required the joinder of a member of the professional team in the event of a multi-party dispute.
The clause stated:
“The adjudication procedure will be the TeCSA Adjudication Rules (amended to require nomination by the RICS and joining of the members of the professional team in a multi-party dispute situation).
“Notwithstanding the provisions of the above procedure and regardless of the eventual decision in the adjudication or in any subsequent litigation the Trade Contractor agrees that should he make a reference to Adjudication under the terms of this contract then he will be fully responsible for meeting and paying both his own and the Employer’s legal and professional costs in relation to the Adjudication.”
Yuanda argued that clause 9A did not comply with section 108 of the Housing Grants Construction and Regeneration Act 1996 and should be replaced by the adjudication provisions in Part 1 of the Scheme for Construction Contracts. Yuanda submitted that the clause was punitive and limited its right to adjudication at any time.
The issues before the court were whether Yuanda had contracted on Gear’s standard terms of business and, if so, whether the contract was therefore an international supply contract within the meaning of section 26 of the Unfair Contract Terms Act 1977. If it were not such a contract, was it then “unreasonable” within the meaning of the Act, or should it be replaced by the Scheme for Construction Contracts as it did not comply with s.108 of the Act.
Section 3 of Unfair Contract Terms Act 1977 applies between contracting parties where one of them deals as a consumer or on “the other’s written standard terms of business”. This claim raised the question of what was meant by written standard terms of business. For the section to apply, the conditions had to be standard in that they were terms which the company in question used for all, or nearly all, of its contracts of a particular type without alteration. Yuanda had not dealt on Gear’s standard terms of business for the purposes of section 3 of the Unfair Contract Terms Act 1977, because Yuanda itself had negotiated some material alterations to the proffered “standard” terms so that it had not dealt on Gear’s “standard” terms. In addition, the evidence showed that few, if any, of the 30 odd trade contractors entered into contracts which were on the same terms. Nearly all of them appeared to have secured alterations to the Schedule of Amendments originally put forward by Gear during the pre-contract negotiations. Section 3, therefore, did not apply.
Gear sought to rely upon the decision in Bridgeway Construction Ltd. v Tolent Construction Ltd., [2000] 23 BLISS 1, in which there had been a provision in the contract that the party serving a notice to adjudicate should bear all of the costs and expenses incurred by both parties in relation to the adjudication, including but not limited to all legal and experts fees, together with the adjudicator’s fees and expenses. The claimants in that case argued that the relevant clauses were void because they tended to inhibit the contracting parties from pursuing their lawful remedies by way of adjudication Judge Mackay had disagreed.
Leaving aside what was meant by “multi-party dispute”, the judge concluded that if valid effect can be given to this provision, it would make the costs burden on the contractor when referring a dispute to adjudication even more oppressive because the employer’s costs would include those caused by the presence of another party to the adjudication. The clause did not limit the obligation on the contractor to pay only those costs of the employer that were referable to his participation in the dispute. Consequently, clause 9A would limit Yuanda’s freedom to refer disputes to adjudication at any time, particularly if the sums at issue were relatively small. Edwards-Stuart, L. J. concluded that the decision in Bridgeway had been wrong at least on the basis of the wording in the present contract. Clause 9A should be replaced by the provisions in Part 1 of the Scheme for Construction Contracts.
Yuanda relied on section 8(1) of the Late Payment of Commercial Debts (Interest) Act 1998, arguing that the rate of interest provided by clause 4.11.2, as amended in the Schedule of Amendments, was not a substantial remedy within the meaning of the Act and so the provision was void. Consequently, Yuanda claimed to be entitled to interest at the statutory rate i.e. 8% above the Base Rate. The judge considered that that it had not been Parliament’s intention to treat a contractual rate of interest for late payment as not meeting the “substantial remedy” test simply because it was materially lower than the statutory rate. The imposition of the statutory rate was the penalty that a contracting party paid for failing to provide a fair remedy for late payment to suppliers in its contracts .Taking into account a number of factors, it seemed clear to the court that 0.5% over base rate as a rate of interest for late payment could not be regarded as a substantial remedy within the meaning of the Act in the absence of special circumstances relating to the parties and the making of the contract. Given that there were no such circumstances here, it would not be fair or reasonable to permit Gear to take advantage of the fact that, during the pre-contract negotiations, Yuanda had failed to notice that the rate of interest had been amended.
(YUANDA (UK) CO. LTD. V WW GEAR CONSTRUCTION LTD.,
[2010] EWHC 720 (TCC))
Copyright: Building Law Information Subscriber Service 2010Associated Link :
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13/4/2010
Subject: Balfour Beatty Snatches Hartlepool BSF
Description: Awarded Initial £95m Scheme
The Hartlepool BSF programme involves the rebuilding and replacement of six schools over the next five years. Construction of the initial sample school, Dyke House Sports and Technology College, will begin this summer with completion by Christmas 2011.Associated Link :
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6/4/2010
Subject: Balfour Beatty Appointed as Preferred Bidder for Fire Station Upgrade
Description: £47m PPP to Upgrade 16 North West Fire Stations
Balfour Beatty Fire and Rescue, has been appointed as preferred bidder for a PPP contract valued at approximately £47 million by North West Fire and Rescue Services to upgrade 16 fire stations in the North West of England.
The North West Fire and Rescue Services comprises Cumbria County Council, Lancashire Combined Fire and Rescue Authority and Merseyside Fire and Rescue Authority.
The 25-year concession will involve the design, construction, funding and provision of facilities management for 16 community fire stations, of which seven are in Merseyside, five in Cumbria, and four in Lancashire. As well as modernised operational facilities, the stations will provide resources for community use, such as meeting rooms, multi-function lecture rooms and gyms.
The stations will be constructed on a mixture of new and existing sites in a range of locations from rural stations with retained crews, to busy inner-city stations with full-time crews. Construction of eight of the fire stations will begin in late 2010 with all construction work completed by 2013Associated Link :
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31/3/2010
Subject: OGC Issues Model Payment Clause
Description: 30 Day Mandatory Payment Terms
From 25 March 2010, it is mandatory for all government departments and non-departmental public bodies to include a contract condition requiring contractors to pay their subcontractors in 30 days. The Office of Government Commerce has issued a guidance note which includes a model clause. The Government Says that the Guidance Note is consistent with the Fair Payment Charter.Associated Link : http://www.blissbooks.co.uk/p170828/Procurement-Policy-Note--Requirement-to-include-30-day-payment-clause-in-new-contractsAction-Note-7/10-25-March-2010/product_info.html
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30/3/2010
Subject: Revised PPS 25 Published
Description: Planning Policy on Development and Flood Risk
Planning Policy Statement 25 (PPS25) sets out the Government's spatial planning policy on development and flood risk. This edition replaces the earlier version of PPS25 published on 7 December 2006. Tables D1 and D2 in Annex D have been revised to clarify the definition of functional floodplain, and to amend how the policy is applied to essential infrastructure, including water treatment works, emergency services facilities, installations requiring hazardous substances consent and wind turbines in flood risk areas.
The PPS 25 may be downloaded free of charge by clicking on the link below.Associated Link : http://www.blissbooks.co.uk/p170820/Planning-Policy-Statement-25:-Development-and-Flood-Risk/product_info.html
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30/3/2010
Subject: Horizon’s First Nuclear Plant to be Built at Wylfa
Description: Planning Application to be Submitted in 2012
Horizon Nuclear Power, thejoint venture beyween E.On and RWE npower, has chosen to progress with plans for a new reactor at Wylfa, on the Isle of Anglesey, as its first nuclear project in the UK, and is hoping to commission it in 2020. planning application for the site will be submitted in 2012 together with an application for a second power station at Oldbury-on-Severn, in Gloucestershire, will then be submitted once construction at Wylfa is underway. The company is in discussions with two consortia – Westinghouse/Laing O’Rourke/Shaw Group and Areva/Balfour Beatty/Rolls Royce – to deliver the reactors.Associated Link :
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29/3/2010
Subject: Siemens £80million plans to bring offshore wind production to the UK
Description: UK World’s Most Attractive Destination for Investment, says Government
The Government has welcomed Siemens plans to invest £80million in the UK for offshore wind production facilities, following the Government’s Budget announcement of £60m for a competition to develop manufacturing and assembly sites sites for the offshore wind industry. The government said that today’s announcement demonstrates that the UK is the world’s top destination for offshore wind energy investment. Strategic industrial intervention by the Government is unlocking this investment, generating a new industrial sector in the UK that could employ a high skilled workforce of 70,000 by 2020.
Siemens is the latest offshore wind manufacturer to announce plans for investment in the UK. Clipper has committed to build the world’s biggest wind turbines employing up to 500 people; Mitsubishi intend to invest up to £100 million in an offshore wind R&D facility, creating up to 200 jobs; and last week GE announced a €110 million investment which the company believe will create up to 1900 jobs.Associated Link :
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25/3/2010
Subject: WANTED - SAUDI
Description: JOB ADVERTISED ON QSI LINKEDIN
PLANNERS AND CONTRACT ADMINISTRATORS SAUDI
My Commercial Team on behalf of a leading Saudi Construction Company are looking to recruit good people for these roles
vacancies at all levels
cv in confidence in the 1st instance to jim@cerebra.co.uk
Associated Link :
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25/3/2010
Subject: Bristol Port Expansion Approved
Description: Boost for Jobs
The government has given the green light to plans to build a deep sea terminal alongside the existing facilities at Avonmouth. The terminal will be built partly on land reclaimed from the River Severn and will enable Bristol to welcome some of the world's biggest container ships, which are currently unable to fit through the narrow lock entrances at the existing Avonmouth docks. The increase in capacity will mean the Port of Bristol will be able to handle an extra 1.5m twenty-foot equivalent container units a year enabling the port to serve regions outside the South West, such as the West Midlands, even more effectively.Associated Link :
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25/3/2010
Subject: Jarvis Calls in the Administrators
Description: Fall in Rail and Plant Work Blamed
Jobs are now under threat at the railway maintenance contractor, Jarvis after it called in the administrators. The recession has affected the contractor's workload, and it has been unable to come to an agreement with its secured lenders.Associated Link :
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25/3/2010
Subject: Gammon Wins Multimillion Pound Rail Contract
Description: West Island Line Project in Hong Kong
Gammon Construction, which is 50% owned by Balfour Beatty, has won its third contract on the West Island line project in Hong Kong, in a joint venture with Nishimatsu Construction Co. The MTR Corporation awarded the £407m contract for the construction of Hong Kong University and Sai Ying Pun Stations and a 2.2 kilometre running tunnel. The work will form a prominent part of the West Island Line which, when complete in 2014, will extend the existing Island Line from Sheung Wan to Kennedy Town.Associated Link :
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25/3/2010
Subject: Contractor Could not Justify Suspension
Description: Hall and Shivers v Van Der Heiden, [2010] EWHC 586 (TCC)
The claimants wanted to refurbish and remodel their London flat, and engaged Mr. Jan Van Heiden for the works. They moved into rented accommodation and left him to it. The works were delayed,. Deadlines were missed and it didn’t help when Mr. Van Heiden suddenly went on holiday for two weeks. Mr. Van Heiden had asked for and been paid in advance by the Halls. In fact, The claimants paid more than Mr. Van Heiden was entitled to.
There were further delays to the works. The 13th of October was identified as a completion date, and the claimants gave notice on the alternative accommodation which they were renting. The date slipped again forcing the claimants to enter into a series of short term lets.
It was only towards the end of October 2007 that the defendant attempted to justify the delays by claiming that there was a lack of instructions from the architect, although the evidence showed that there had been a series of e-mails containing instructions. The documents also showed that the contractor was not in control of the project.
The claimants finally moved back into their flat on 7 December, but it was obvious that the works had not been carried out in accordance with the contractor’s new programme. There was no heating. The bathroom and kitchen had not been finished and there were a number of other problems. The claimants lasted for two nights before moving to a hotel for three days. On their return, in addition to the continuing problems with the heating and lighting, the new flooring on the ground floor was defective, being poorly finished and noisy. Much of the joinery still had not been delivered.
The claimants asked for a programme for the works, and Mr. Van Heiden then asked for an extension of time of 10 weeks. Although he accepted that some items were outstanding, he maintained that practical completion had been achieved. The architect responded with a list of outstanding items which needed to be completed before a certificate of practical completion could be issued, and indicated that the extension of time claimed was excessive.
Mr. Van Heiden suspended the works alleging that he had not been paid, even though no certificate was outstanding and the architect had made it clear that any further claims for payment would be disputed. The architect was of the opinion that in fact Mr. Van Heiden had been overpaid. contract. Mr. Van Heiden. In the end Mr. Van Heiden’s contract was terminated and a replacement contractor appointed. The claimants sued.
As far as the court was concerned, there was no question that the works were defective. Indeed, in correspondence, Mr. Van Heiden had not challenged the suggestion that they were, and the expert evidence fully supported the claimants. Practical completion had not been achieved; there were patent defects in the works and they were not complete.
Mr. Van Heiden could only justify the suspension for non-payment if he suspended the works in accordance with clause 4.7 of the parties’ Minor Works contract, but there had been no outstanding progress payment certificate, and he had not given notice as required by the contract. The claimants had been entitled to terminate the contract, and were awarded damages.
Unfortunately, the claimants’ problems might not be resolved because Mr. Van Heiden is seeking an Individual Voluntary Arrangement, and in a separate and unsuccessful action, had tried to prevent the trial from proceeding.
Copyright: BLISS Books Ltd. 2010.Associated Link :
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22/3/2010
Subject: Britain’s First Trolleybus Scheme for Construction Contracts Planned for Leeds
Description: Government Pledges £235m of Funding
Plans for the country’s first modern trolleybus system have Programme Entry status from Government. If approved, the system will deliver a high-quality rapid transport system similar to those in Athens and Lyon, to transport people into Leeds city centre. The Department of Transport is to stump up £235m with the remainder coming from local authorities. The scheme would see the construction of a new entrance over the River Aire providing easy, and step free, access to the station by way of the Western Footbridge. This would improve access from the south to the station, enabling passengers to enter the station without going through the Neville Street tunnel and the Rotunda steps, or New Station Street in the case of those needing step-free access, thus reducing journey times for those wanting to visit the south of the city.Associated Link :
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22/3/2010
Subject: DCLG Publishes Building Regulation Amendments
Description: Amendments to Approved Dcouments B and L1 and L2
The amendments relate to fire safety and the conservation of fuel and power. The circular and related amendment slips may be downloaded from: http://www.communities.gov.uk/documents/planningandbuilding/pdf/1507285.pdfAssociated Link :
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19/3/2010
Subject: Pay-When-Paid Clause Inoperative
Description: William Hare Ltd. v Shepherd Construction Ltd.
Coulson, J. had held that Shepherd Construction could not rely upon “pay-when-paid” clause to refuse to pay Hare £996,683.35 following the administration of the employer Trinity Wakefield. Ltd. The issue also affected a number of other subcontractors on the project. The “pay-when-paid” clause had been drafted by Shepherd’s solicitors for insertion in a standard form of subcontract. The clause had stated that Shepherd would not be liable to make further payments to the subcontractor in the event that the employer or anyone else responsible for paying Shepherd became insolvent or went into administration, or was the subject of a winding-up order. The clause defined the different methods of becoming insolvent:
“32.2(sic) For the purposes of clause 32.1 a company becomes insolvent:
“32.2.1 On the making of an administration order against it under Part II of the Insolvency Act 1986;
“32.2.2 On the appointment of an administrative receiver or a receiver or manager of its property under Chapter 1 of Part III of that Act or the appointment of a receiver under Chapter 2 of that Part;
“32.2.3 On the passing of a resolution for voluntary winding up without a declaration of solvency under section 89 of that Act; or:
“32.2.4 On the making of a winding-up order under Part IV or V of that Act.”
Trinity had used the same clause in their subcontracts with Hare and C. R. Reynolds.
Trinity went into self-certifying administration, and Shepherd had sought to rely upon the clause to avoid paying the subcontractors. The judge had ruled that the clause could not apply because Trinity had not become insolvent within the meaning of the clause because there had been no order of the court. Shepherd argued that because the drafting of the clause had not taken into account the subsequent amendments to the Insolvency Act brought about by the Enterprise Act which had introduced the self-certifying method of administration, the clause should be construed as covering all the routes to administration.
Shepherd sought to show that the judge’s assumptions had been unrealistic, and argued that any reasonable person would have known about s.113 of the Housing Grants Construction and Regeneration Act 1996 and its amendment and would have appreciated that something had gone wrong with the drafting of the clause. Shepherd produced statistics to show that the majority of administrations were “self certified” to support its argument that any reasonable person would have realised that the drafting of the clause was not correct.
The court found that “pay-when-paid” clauses were made ineffective unless the third party was insolvent, and “insolvency” was defined by reference to the ways in which a company could become insolvent. For a main contractor to have an effective “pay-when-paid” clause, he would have to identify the way in which the third party employer became insolvent by reference to the definition in the legislation. If the main contractor chose a way which was not in accordance with the legislation because the provision had been wrongly drafted, the court saw no reason why, no matter how obvious it was, that the principles in Investors Compensation Scheme Ltd. v West Bromwich Building Society, [1998] 1 All ER 98, would help him out. There was no evidence that it had been realised that an error had been made in the clause. As it stood, the clause did work as it stood, it was just that the number of court orders made was tiny compared with the number of self-certifying administrations. The clause did not share the risk of insolvency, it was simply relieving Shepherd of any liability to pay. If Shepherd wished to rely upon such a clause, it was up to them to get it right. If a party wishes to relieve itself of a legal liability, clear words are needed to do so.
Copyright: BLISS Books Ltd. 2010Associated Link :
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16/3/2010
Subject: Theale Advertises QS Framework
Description: Three-Year Framework
Theale NHS Trust is advertising a framework to provide quantity surveying services for a range of projects, including providing estimates from complex data, drafting bill of quantities and cost forecasts for civil engineering works. The value of the services provided during the duration of the framework is between £80,000 and £180,000.Associated Link :
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15/3/2010
Subject: Every Little Helps Tesco
Description: QS and Design Work to Outsourced to India
Tesco has started training Indian architects and QSs to work on its UK projects, Building has learned. The retailer flew the workers to Britain last year, where they were trained in UK architecture and quantity surveying skills. Tesco says that the Indian consultants were only being used until the planning stages of the developments, and the work would revert to British companies after that. Despite Tesco assurances, construction consultants in the UK are worried about the impact of this. A Construction Industry Council survey shows that 54% of the respondents are continuing to suffer from falls in income.
One of Tesco’s rivals said that they had rejected this move because it wasn’t “right”.Associated Link :
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15/3/2010
Subject: Drivers Jonas and Deloitte Complete Merger
Description: New Firm Called Drivers Jonas Deloitte (DJD
The merger between accountancy firm Deloitte and commercial property consultancy Drivers Jonas has been completed.The new firm, called Drivers Jonas Deloitte (DJD), will employ 700 staff and add a specialist real estate advisory arm to the existing business.
John Adams, partner and head of the Manchester office of Drivers Jonas Deloitte, said: “It is clear that there is enormous potential for our combined advisory services in the North West. We are all eager to begin working with our new colleagues to identify further synergies across the region.”
The Drivers Jonas Deloitte team is currently advising Lancashire County Cricket Club on redevelopments at its Old Trafford stadium, as well as the new £36m regeneration of Chetham’s School of Music in Manchester and the Mayfield civil service office campus near Piccadilly Station.Associated Link :
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9/3/2010
Subject: Revised Plans Submitted for €80m Cork hospital
Description: Private Developer Plans 930-bed Private Hospital
Owen O’Callaghan has submitted revised plans for an €80 million 930-bed private hospital in Cork which, if granted planning permission, will create up to 300 permanent jobs. This revised application comes three months after An Bord Pleanála refused permission for an earlier application by the same developer to build a private hospital on a site adjacent to Jurys Hotel on Lancaster Quay on the Western Road. Mr. O’Callaghan says that the revised application takes account of the concerns expressed by An Bord Pleanála, and that the project was ready to start at once if planning permission was given.Associated Link :
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9/3/2010
Subject: Adjudication and Framework Contracts
Description: Adjudicator's Jurisdiction Challenged
AMEC was awarded just under £1m by an adjudicator, and now sought to enforce the decision. The claim arose from a framework agreement for construction and maintenance work. Each separate package of work was the subject of a separate order, referred to in the papers as a “works order” or “works contract”. There were over 300,000 such orders made under the framework. The parties’ contract provided that any dispute was to be governed by the Institution of Civil Engineers’ (ICE) Adjudication Procedure.
Thames Water Utilities Ltd. (TWUL) resisted enforcement on the grounds of breach of natural justice, lack of jurisdiction, and the adjudicator’s alleged failure to deal with the issues put to him.
AMEC had claimed that it was not being paid in accordance with the payment provisions in the framework agreement. In Application no. 57, it made an aggregated claim for sums due across a wide range of works contracts, as envisaged by clause 9.1.1 of Annex 2 to the Framework Agreement. TWUL responded with an aggregated withholding notice, which set out a number of alleged set-offs and defences to AMEC’s claims. On 30 October 2009, AMEC issued a notice of adjudication and Mr. Don Rodgers was appointed as adjudicator.
The court considered the bases for challenging an adjudicator’s decision, and the possible differences in enforcement where the adjudication is under the Housing Grants Construction and Regeneration Act 1996 and where it is under express contractual provisions. The court rejected any suggestion that there was any difference between the two .in principle. In the court’s view, the only potential difference would be a matter of emphasis only, such as where the rules to which a contractual adjudication may be subject expressly permit a particular procedural step, or grant the adjudicator a specific power, which would not otherwise be regarded as typical or implied by the Scheme.
TWUL’s main challenge to the adjudicator’s jurisdiction was that the dispute referred to him had not arisen under the framework agreement but under the series of individual works contracts. Since the adjudicator had been appointed under the framework agreement, and conducted the adjudication in accordance with the ICE Adjudication Procedure, TWUL argued that he had had no jurisdiction.
This argument was rejected for two reasons. The parties’ dispute concerned the validity of AMEC’s Application no. 57 claim which had been made under clause 9.1 of the Framework Agreement and also clause 19.2 of the works contracts which specifically referred back to the Framework Agreement. AMEC’s claim for payment therefore arose under the Framework Agreement. The dispute was also concerned with the validity of TWUL’s withholding notice which had been served in accordance with clause 9.5 of the Framework Agreement so that its defence to AMEC’s claim also made express reference to the terms of the Framework Agreement. Even if the relevant contract were not the Framework Agreement but the works contracts, the adjudicator had not been necessarily deprived of jurisdiction because clause 2 of the conditions of each works contract provided that the Framework Agreement would be incorporated into them. Therefore, as long as the works contracts did not contain a different dispute resolution mechanism, the one contained in clause 12 of the Framework Agreement would be incorporated into the works contracts, and this would have given the adjudicator jurisdiction. In that eventuality, could be a problem about referring multiple disputes. Both the works contracts and the Framework Agreement contained clauses which pointed back towards a dispute arising out of an aggregated application and/or an aggregated withholding notice only being resolved by the adjudicator appointed under the Framework Agreement. The works contracts did not have an express and separate dispute resolution provision. The provisions of the Scheme could not be incorporated into the works contracts because the express terms of the Framework Agreement were incorporated into each works contract.
The court was satisfied that the present dispute had arisen under the Framework Agreement and that the adjudicator had been properly appointed. The consequence of this was that TWUL’s further submissions that the ICE Procedure did not comply with the Construction Act and that multiple disputes had been referred to the adjudicator because of the series of works contracts were irrelevant.
The court then turned to TWUL’s argument that the adjudicator had acted in breach of the rules of natural justice. TWUL submitted that the adjudication had been too big and complex for it to be properly resolved at adjudication, and the adjudicator failed to take account of TWUL’s further response which it had served on 21 December 2009 and all its cross-claims and set-off.
Previous authority established that the size and complexity of an adjudication was not in itself sufficient to found a complaint of breach of natural justice. The correct test to be used by an adjudicator had been identified in CIB Properties Limited v. Birse Construction Limited, [2005] 1 WLR 2252. TWUL’s further response had been served just two days before the adjudicator had been due to give his decision. In those circumstances, the adjudicator had not acted in acted in breach of natural justice if he had just glanced at the material in order to see if it contained anything of real significance. In an adjudication with a tight timetable, an adjudicator is not obliged to consider in detail a second round submission or pleading, served very late in the adjudication process. His overriding obligation is to complete his decision within the time limit. If he cannot consider a document provided so late in the day in any detail, that was just a consequence of the adjudication process. Although a judge or arbitrator would be required to consider a party’s submissions in detail, an adjudicator’s overriding obligation was to comply with the time limits.
In any event, the adjudicator had taken account of the further response. The basis of the allegations that he had not was that he had made no reference to the further response in his decision. However, just because he had not referred to it, did not mean that he had not considered it. He had repeatedly stated that he had referred to all the documents, and had also said so specifically in an e-mail to AMEC’s solicitors. The court accepted that a statement by the adjudicator that he had had regard to all the documents was not necessarily definitive, but it was necessary to look at the decision as well. In the present case, the judge was satisfied from the 28 page closely typed decision that the adjudicator had taken all the documents into account.
Amec Group Ltd. v Thames Water Utilities Ltd. [2010] EWHC 419 (TCC)
Associated Link :
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7/3/2010
Subject: ROGER KNOWLES HOT TIPS No 2
Description: ROGER KNOWLES HOT TIPS No 2
The QSi would like to thank Roger Knowles for allowing us to publish this Hot Tip.
NB – Roger has also supplied 75 recent case studies ( 500 to 1000 words) and other QS Hot Tips.
These can be found on http://www.theqsi.co.uk
ROGER KNOWLES HOT TIPS No 2
Getting Paid Promptly
In times like these, the old saying that Cash is King has never been more apt. Getting the job completed is always at the front end of the mind, but if survival is to be assured, then we all need to “think money” When the cash runs out, the curtain comes down. Prices are under the cosh, but we never should lose sight of the fact that if you are being offered work, there must be a good reason. It is usually a combination of good quality work, ability to complete in the time scale and lowest price. Before signing on the dotted line, having had the price beaten down, it is worth chancing your arm to improve the payment terms. Some offers of work come with a 60 days and often more payment terms, which compares badly with the normal 14 or 17 days provided in many standard contracts. Contrary to what many believe, a negotiating position is at its best when the price has been accepted, the person offering the work is under time pressure to get the project started, but the deal not finally clinched. A threat to walk away from the project, unless the payment terms are improved, may be considered by many to be a high-risk strategy, but often a job on lousy terms is worse than no job at all.
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6/3/2010
Subject: QSi Linkedin Forum
Description: QSI Linkedin Forum
The QSi now habe a Linkedin forum.
http://www.linkedin.com/groups?gid=2598081&trk=hb_side_g
Associated Link : http://www.linkedin.com/groups?gid=2598081&trk=hb_side_g
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4/3/2010
Subject: NEW LINKEDIN SITE
Description: NEW LINKEDIN SITE
Just a note to let you know that QSi have
started a Linkedin site.
Not only is it a useful forum, you can also make sure that you stay in the loop
http://www.linkedin.com/groups?gid=2598081&trk=hb_side_g
Why not join us on Linkedin and Link In
Associated Link : http://www.linkedin.com/groups?gid=2598081&trk=hb_side_g
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4/3/2010
Subject: Balfour Beatty to Sell Two PPP Concessions
Description: Interests in Health and Waste Water PPPs
Balfour Beatty has agreed to sell a 23.9% interest in the Edinburgh Royal Infirmary PPP concession and of its entire 50% interest in the Aberdeen Waste Water PPP concession, both to funds managed by AMP Capital Investors Limited, the Australian wealth management company, for an aggregate consideration of £24.3 million. The transactions will generate a profit of c. £21 million.Associated Link :
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3/3/2010
Subject: £364.4m for Isle of Wight to Improve Roads
Description: Money Given for PFI Road Repairs
The Transport Minister, Sadiq Khan, has announced government funding of £364.4m for the Isle of Wight to enable it to upgrade and maintain its roads under a 25-year PFI contract. The funding will go towards road surface improvement and maintenance, and improvements to street lighting.Associated Link :
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3/3/2010
Subject: Southend NHS University Trust Advertises Multimillion Pound Framework Contracts
Description: Fifteen Frameworks Advertised
The Southend University Hospital NHS Foundation Trust is advertising multimillion pound consultancy framework services contracts for its estate, including quantity surveying and CDM Co-ordinator services. Associated Link :
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3/3/2010
Subject: Manchester Council Considers Buying Stake in Spinningfields
Description: Investment Would Allow Next Phase to Proceed
Manchester City Council is considering an offer from Allied London which would allow it to acquire the freehold in the development sites at 1 and 2 Hardman Square and 2 and 3 Hardman Boulevard - and then lease them back to the developer. The investment would give Allied London the funding to build the 580,000 sq ft next phase of Spinningfields by 2015 and put it on the market speculatively this summer. A lack of bank funding has called a halt to the development, which was intended to be a key site for Manchester and the North West of England. Associated Link :
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2/3/2010
Subject: Cyril Sweett Buys Indian and Australian Consultant
Description: Further Expansion into Asia
Cyril Sweett had bought Indian and Australian consultants Padghams for £1.3m. The companies provide QS services to the health and education sectors in Australia and offer general services in India, with 12 fee earners in Australia and 43 fee earners in India. Most of its staff are engineers by training. Cyril Sweett will combine its existing operations in Australia with the firm immediately.
Cyril Sweett has also announced that it is forming a joint venture company and broader global alliance with Asian QS Widnell Ltd. It said Cyril Sweett and Widnell will co-operate together to develop business opportunities in the region, and the joint venture will trade under the brand name Widnell Sweett Limited. Sweett says that this will enable it to gain a foothold in the lucrative Chinese markets.Associated Link :
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28/2/2010
Subject: Profits Warning at Baqus Causes Shares Slide
Description: Cancelled Projects Blamed
Building consultant and quantity surveyor Baqus Group Plc has issued a profits warning, blaming the subdued state of the construction industry. In a trading update, it said public and private sector projects had been delayed or cancelled due to government spending cuts and a lack of bank lending. The shares fell more than 24 per cent in early trading to 2.75p. London-based Baqus, which has an office in Chorlton, Manchester, said results for the year to June 30, 2010 were expected to be below current market expectation.
Baqus, which had a registered office in Northwich until last September, was set up by North West entrepreneur Roger Knowles and has grown by acquiring small to medium sized surveying firms including Fletcher McNeil, which had a Manchester office, and the Nigel Rose Group, which had a branch in Warrington.Associated Link :
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22/2/2010
Subject: Peel Advertises Stadium Contract
Description: Joint Venture between Peel Holdings and Salford City Council.
The stadium 12,000-15,000 capacity stadium is to be built on a 18 hectare site is bounded by the Manchester Ship Canal. There are to be four stands with room for expansion, plus training facilities. The project cost is estimated at between £12m and £15m.Associated Link :
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22/2/2010
Subject: Korea’s HanmiParsons JV helps builders manage construction cost
Description: Joint Venture with Turner and Townsend
A joint venture between HanmiParsons and Turner & Townsend has launched a new construction cost management service, designed to minimise costs continuously from the initial planning stage of a project to final delivery. Turner & Townsend say their service goes beyond traditional quantity surveying and is focused on predicting and analyzing costs at each stage. The company also provides risk management. In Europe and United States, the ability to inflate construction budgets due to unexpected design changes is limited, because costs are managed using quantity surveying techniques. Recently, foreign investors and developers who have Korean projects have begun to seek quantity surveyors companies that focus on limiting costs.Associated Link :
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17/2/2010
Subject: Balfour Beatty Appointed to Highways Framework
Description: One of Four Delivery Partners
Balfour Beatty has announced that it has been named as one of the four delivery partners for the Highways Agency’s framework contract to deliver its Managed Motorways schemes. The overall framework contract, which has a value of up to £2 billion, is to reduce congestion, improve safety and make journey times more reliable on key sections of England’s motorways.
The framework contract is expected to deliver the following Managed Motorways schemes by 2015 (subject to funding and completion of any relevant statutory processes):
M62 hard shoulder running between junctions 25 and 30 near Bradford
M1 hard shoulder running between junctions 32 and 35a east of Sheffield
M6 hard shoulder running between junctions 5 and 8 near Walsall, Birmingham
M60 hard shoulder running between junctions 8 and 12 east Manchester
M62 hard shoulder running between junctions 18 and 20 north of Manchester
M4/M5 hard shoulder running around Bristol from M4 Junction 19 to M5 Junction 17
Other schemes which improve capacity and traffic flow, using technology to make journey times more reliable, improve safety and provide driver information, could also be delivered under this framework contract.Associated Link :
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16/2/2010
Subject: Use of JCT Contracts Grows- Survey
Description: Latest “Contracts-in-Use” Survey Published
The latest RICS “Contracts in Use” survey shows that nearly 80% of projects commenced between January and December 2007 used a JCT standard form. This is an increase since the last survey in 2004. The Survey says that the vast majority of building projects used standard forms of contract (98 per cent), with JCT by far the contract family of choice (79 per cent by number), followed by the New Engineering Contract (eight per cent) and GC/Works (six per cent). The survey also revealed that 50 per cent of projects in the £10m to £50m value band use design and build, there is no apparent increase in partnering between 2004 and 2007, and there is little use of partnering arrangements in conjunction with standard forms of contract. Associated Link :
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15/2/2010
Subject: Plans for £137m West London Regeneration Scheme
Description: Planning Application Submitted
Rydon and 2Dominion are seeking outline planning permission from Ealing Council for the regeneration of the Green Man Lane estate in west London. The proposals envisage the demolition of 464 existing homes to make way for new properties for affordable rent, shared ownership and outright sale. There would also be new community buildings and facilities.Associated Link :
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15/2/2010
Subject: Worcester Advertises £180m Framework
Description: New Build and Refurbishment Projects
Worcester County Council is advertising a four-year £180m framework contract for new build and refurbishment projects. Three companies will be appointed to undertake construction on various education schemes office accommodation, fire and rescue facilities, health centres and police stations and custody suites. Specialist works such as forensic facilities, control centres, leisure facilities, cultural and adult residential and day care facilities may also be involved. Associated Link :
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12/2/2010
Subject: Davis Langdon Partners to Vote on US Takeover
Description: Aecom or Jacobs Possible New Owners
Davis Langdon’s partners are to vote on proposals on a possible takeover by either Aecom or Jacobs. “Building” is reporting that negotiations have been ongoing since before Christmas. Sources say that Aecom is more likely to be the victor, because its specialism in project management will sit more readily with DL’s quantity surveying services.
Full story at http://www.building.co.uk/story.asp?sectioncode=29&storycode=3158016&c=1Associated Link :
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11/2/2010
Subject: Lib Dems Announce WindTurbine Projects
Description: Shipyards to Become Offshore Wind Farms
The Liberal Democrats have announced that they would convert former shipyards into wind farms if elected. The proposal, which they say could create around 60,000 jobs, would allow port authorties on the North and Irish Seas to bid for money froma £400m fund to convert shipyards in towns such as Liverpool, Hull, Edinburgh, Aberdeen and Glasgow.Associated Link :
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11/2/2010
Subject: New Ferry Port Approved
Description: £200m Port Will be Relocated
Stena Lines is to move its operations from Stranraer to Cairnryan, just over two miles away, leaving an opportunity for the redevelopment 26 acres of waterfront at Stranraer. There has been a significant growth in passenger and freight traffic between Scotland and Northern Ireland, and this development will make this the third largest port in the UK. The new port will open in Autumn 2011.Associated Link :
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11/2/2010
Subject: Times report on Utility Warehouse
Description: Times Report on Utility Warehouse
Times confirms that Utility Warehouse is one of the best UK companies.
Cut you bills and help the QSi by switching your Phone, Gas and Electricity to Utility warehouse
quoting number B92260Associated Link : https://www.telecomplus.co.uk/extranet/dlfiles/documents/Times_February_10_2010.pdf
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4/2/2010
Subject: MSPS Examine Proposals for New Forth Bridge
Description: Signs of Deterioration in Original Bridge
Transport Scotland is to give evidence to Holyrood’s Transport, Infrastructure and Climate Change Committee on the bridge and Stage One of the legislation needed for the construction of a new Forth Bridge. The Scottish Parliament has to approve the proposals contained in last year’s Forth Crossing Bill. The proposed Forth Replacement Bridge is expected to cost between £1.6bn and £2.3bn at 2006 prices, and will take five years to complete. The existing bridge would be used for public transport, cyclists and pedestrians. Associated Link :
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3/2/2010
Subject: Knowles Hot tip 3
Description: Roger Knowles Hot tip 3 - Thanks to Roger for sending this in.
Roger Knowles Hot Tips No 3
Should You down Tools if Payment is not Forth Coming?
Securing payment is more difficult now than at any time in living memory. We are all familiar with the thousand and one excuses provided as to why the payment which was due hasn’t arrived. The general feeling among contractors and subcontractors experiencing difficulties with payment, is that they should down tools and walk off the site until payment has been made. Whilst this is a natural reaction, it is important to understand that whilst under the Construction Act there is an overriding entitlement to stop work if payment hasn’t been made on time, it comes with a set of rules which must be followed. It is necessary to serve a written warning notice, and once seven days have elapsed and payment still hasn’t arrived, there is then an entitled to suspend work. The notice must be sent to the other party to the contract. Without the warning notice, the unpaid party can find itself in the wrong and on the receiving end of a delay claim. If the work is on the critical path, the threat to suspend work often results in the arrival of the money. Where a contractor or subcontractor correctly suspends work, there is an entitlement to an extension of time for completion. Some conditions of contract, such as the JCT standard conditions also provide for payment in respect of loss and expense incurred as a result of the suspension
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2/2/2010
Subject: Skanska Wins Essex BSF PFI
Description: Contract worth £1bn
Skanska Infrastructure Development has beaten off Carillion to win the £1bn Essex Building Schools for the Future PFI scheme, under which it will assume responsibility for financing and the design and construction of new schools in the area for the 26 years from 2011. Skanska has the majority holding in a consortium which also includes RM plc, which will take care of the information and communication systems.
Three new schools will be developed in co-operation with the Essex Local Education Partnership, in which Skanska and RM are 80% shareholders. Skanska UK will undertake the design and construction of the schools. Associated Link :
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1/2/2010
Subject: JCT Tightens Terrorism Provisions
Description: Amendment Issued to Contracts
Terrorism provisions within JCT contracts have been amended. JCT (the Joint Contracts Tribunal) has issued an update to its standard forms of contract to rationalise a contractor’s liability for loss or damage on the project resulting from an act of terrorism.
The passing of the Terrorism Act 2000 has led to a gap emerging between risks excluded from insurance policies and risks covered by Pool Reinsurance (Pool Re). Pool Re is the default cover on a project where no terrorism insurance is specified – Pool Re is the insurer of the last resort, underwritten by the Treasury. Possible difficulties in complying with the requirements of its insurance Options A, B and C had previously been highlighted by JCT and the purpose of this update is to avoid them.
Associated Link :
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29/1/2010
Subject: New QSi Ecademy and Linkedin sites
Description: New QSi Ecademy and Linkedin sites
The QSi now has a blog on Ecademy and Linkedin. Why not have a look at our new sites?
http://www.ecademy.com/module.php?mod=club&c=7066
http://www.linkedin.com/groups?gid=2598081&trk=myg_ugrp_ovr
Associated Link : http://www.ecademy.com/module.php?mod=club&c=7066
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29/1/2010
Subject: Roger Knowles Hot Tip 2
Description: Roger Knowles Hot Tip 2
Log into our new QSi Ecademy site and read
Roger Knowles Hot Tip 2Associated Link : http://www.ecademy.com/module.php?mod=club&t=1095666#endm
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28/1/2010
Subject: Late Payment Problem Worsens
Description: ECA Urges Government to AccelerateNew Construction Act
The latest report from Experian shows that late payment is on the increase, with invoices being paid on average 20.61 days late. This is 4.5% higher than December 2008. The average payment time across all industries was 20.88 days. The Electrical Contractors' Association is urging the government to bring forward the publication of the secondary legislation required to bring section 8 of the Local Democracy, Economic Development and Construction Act 2009 into force. This section seeks to to improve payment practices.Associated Link :
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28/1/2010
Subject: NAO Warns of EDF's Undue Influence
Description: Governement Needs Contingency Plans
The National Audit Office is warning that EDF has a "potentially significant influence" over the UK's nuclear building programme, and that the government should have a conteingency plan in case EDF is unwilling to build the required power stations. EDF owns nearly half of the 11 sites which have been identified as potential nuclear power stations. The sites include Hinckley Point and Sizewell.Associated Link :
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27/1/2010
Subject: Changes to Limitation Periods Dropped
Description: Government Abandons Plans After Consultation
Following a consultation, the government has announced that it has abandoned plans to change limitation liability periods. The proposed amendments to liability periods would have reduced the current six years for a simple contract and 12 years for a deed, to a standard three-year limitation period for all contracts to run from the claimant’s “date of knowledge”. Lawyers had warned that the changes would have led to more disputes about whther a claim had been brought in time.Associated Link :
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22/1/2010
Subject: Public Procurement Challenge Thrown Out
Description: Court Rejects Application for Interim Injunction
B2Net responded to a tender issued by the defendant for the provision of IT goods and services, returning the Pre-Qualification Questionnaire (PQQ). The tender was for three Lots. After the defendant had evaluated the PQQS, it told B2Net that it had been unsuccessful, and would not be asked to submit a tender. At the debriefing, the defendant informed B2Net that it had scored the maximum available points for all but two of the criteria, the Quality Management System requirement and the breadth of experience. In these areas, B2Net scored 12 out of 30 and 45 out of 75 respectively.
To prove its previous experience, B2Net had been required to provide details of five example contracts from five different customers during the previous three years for Lot 2. The relevant part of the PQQ gave details of the information required, and then stated at the end: “Please note, no response to this question is required”. This was the only part of the PQQ which was optional. At the debriefing B2Net was told that out of the examples given, four of the contracts had not been awarded directly to B2Net and that this had been reflected in the marking under this section. B2Net pointed out that in answer to a question by another bidder which had been communicated to all, the defendant had stated that where a contract was placed directly, or owned or driver by the reseller, but a third party was used as an invoicing mechanism, a bidder would not be precluded from being award 5 points. B2Net stated that it had always provided its services directly to the client, and that it had used DSGI simply as a transactional partner providing an invoicing mechanism to satisfy procurement rules.
Subsequently, the defendant wrote to all bidders informing them that the question on “Growth of Business” in the PQQ had been challenged on the grounds of validity and had been removed. Consequently, the number of bidders which would be invited to tender would be increased. However, the defendant drew the qualifying line just above B2Net’s score. B2Net informed the defendant that it intended to challenge the scores it had been awarded and invited it to defer making any award. The main challenge was the validity of question L2c6 on previous experience.
B2Net sought an interim order preventing the defendant from continuing with the process. The court considered whether there was an issue to be tried as to whether the defendant had breached its obligations under the Public Contracts Regulations 2006.
The court concluded that for the defendant there was a justifiable difference between a prime contractor and a subcontractor. B2Net’s attempt to combine the two was weak. The court then turned to B2Net’s argument that damages would not be an adequate remedy because it was being barred from the opportunity to tender for the framework contract. The court applied the test in American Cyanamid C. v Ethicon Ltd., [1975] 1 All ER 504, the evidence pointed towards the conclusion that damages would indeed be an adequate remedy, more readily capable of calculation than many claims for damages for loss of business that came before the courts. Because of the weakness of B2Net’s case and because damages would not be an adequate remedy for the other parties who would be affected by the granting of an injunction, the court rejected the application.
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22/1/2010
Subject: Trinity Project Eats into Shepherd’s Profits
Description: Contractor Posts £1.5 million Loss
Shepherd Construction has posted a £1.5m pre-tax loss for the ear to June 2009 because of £26m of exceptional costs. The majority of this was due to financing problems on Wakefield’s Trinity Place project because of the recession. Some of the other charges related to company reorganisation and commercial property revaluation. Associated Link :
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22/1/2010
Subject: Negative Comments Prompt PBA Rethink
Description: JCT to Review Project Bank Accounts
The results of a consultation undertaken by the Joint Contracts Tribunal has showed that only 5% of parties have any experience of project bank accounts (PBAs), and only 30% of projects are likely to use them. There is some disappointment about the industry's lack of enthusiasm for PBAs, particularly since they are one of the Office of Government Commerce's weapons in the war against unfair payment practices. Despite the low uptake in PBAs, 90% of those responding to the survey thought that the PBA provisions would be suitable for use on their project. The JCT is taking on board some of the criticisms and concerns expressed with a view to possible changes to the PBAs. Associated Link :
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18/1/2010
Subject: Works Begins on 2014 Commonwealth Games Arena
Description: National Indoor Sports Arena for Badminton and Cycling Events
Construction work has begun on the National Indoor Sports Arena (NISA) and Sir Chris Hoy Velodrome, a venue which will host the badminton and cycling events at the 2014 Glasgow Commonwealth Games.
One of the biggest indoor sports facilities of its type in Europe, the NISA and velodrome will be located on a 10.5 hectare brownfield site close to Celtic Park in the East End of the city.
The complex will be the principal new dedicated sports facility for the 2014 Games and a national training centre for athletics, basketball, netball, track cycling and volleyball.
The venue’s highly flexible 5,000-seat indoor arena will be capable of staging international sporting events in a wide range of disciplines. The velodrome will house a 250m high-banked wooden cycle track and multi-use infield area. It will have a permanent 2,500 spectator capacity which will increase to 4,000 during the Games.Associated Link :
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18/1/2010
Subject: Local Authority Breached Statutory Duty
Description: Liable for Contribution for Removal of Support
Rushmoor Borough Council has been found neligent and in breach of statutory duty following the collapse of a house during works undertaken by Crowley Civil Engineers. The house collapsed when the support of a flank wall was removed during paving works. Crowley settled with the home owners, and then sought a contribution from the council. The court found that the Council should have undertaken adequate inspections which would have revealed that the foundations to the house were unsually shallow. The council was found to be 80% contributorily negligent.Associated Link :
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18/1/2010
Subject: Lewis Wind Farm Approved
Description: 150 Full Time Construction Jobs will be Created
A 33 turbine, 118 Megawatt (MW) wind farm at Muaitheabhal in the Western Isles, providing green electricity for 55,000 homes, nearly four times the number of homes on the islands, has been given the go ahead by Energy Minister Jim Mather.Associated Link :
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18/1/2010
Subject: BAM Wins Multimillion Pound Contracts
Description: Beats Laing to Chiltern Railways’ Evergreen project.
BAM Nuttall has won a £190m contract for phase 3 of the Chiltern Railways’ Evergreen project, which, it is believed will involve upgrading of about six stations between Oxford and London and linking two lines.
BAM has also recently won a £250m contract for the revamp of Tottenham Court Station in partnership with Taylor Woodrow.Associated Link :
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18/1/2010
Subject: Enfield Seeks Development Partner
Description: Plans for £80m Housing Development
The London Borough of Enfield is looking for a development partner to build more than 360 homes for its Ladderswood Way estate redevelopment. The core contract comprises of building 236 private housing units for sale and 129 social rented units as well as associated landscaping and construction of social infrastructure. Three companies are to be selected by competitive dialogue. The deadline for tenders is 18 February.Associated Link :
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12/1/2010
Subject: Deed Incorporated Terms of the Scheme
Description: Party no Entitlement to Set-off from Adjudicator's Award
The Technology and Construction Court in Bristol has found that the parties' amendment to their Model Conditions of Contract for Repair Modification and Rehabilitation of Boilers and Associated Plant to provide for adjudication did not entitle a party to set off from an adjudicator's award.
Whether or not there was an entitlement to set-off depended upon whether the Housing Grants Construction and Regeneration Act 1996 applied to the contract i.e. whether the contract was a “construction contract” within the meaning of the Act. RWE sought to rely upon the Deed which incorporated adjudication provisions into the contract, arguing that express provisions were required to exclude a right of set-off. Alstom’s take was that the Deed incorporated the provisions of the Scheme for Construction Contracts, which included the incorporation of the provisions of the underlying legislation so that set-off was prohibited.
The judge found that the effect clause 11 of the Deed was to incorporate the provisions of the Scheme, and by choosing to do this rather than use their own bespoke adjudication provisions, the parties had intended to import into the contract the underlying Parliamentary intention. Consequently, the incorporated wording should be given the same interpretation as the Scheme unless there were something else in the contract or in the background to it which forced a different conclusion. It was not possible to interpret the contract as permitting set-off from an adjudicator’s award without contradicting the purposes of the Scheme. Associated Link :
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12/1/2010
Subject: Scottish Government Approves 2 Wind Farms
Description: Schemes Will Supply 45,000 Homes
The Scottish government has approved the 52.5 Megawatt (MW) Baillie wind farm near Thurso, which will supply almost 25,000 homes and feed electricity in to the upgraded Beauly-Denny line. The £80 million scheme will create 30 jobs during construction with permanent local operation and maintenance jobs. The applicant will make an annual contribution to the West Caithness Community Fund to support local projects and five local businesses will be supported by rental income.
An extension to the Rothes wind farm near Elgin will boost capacity by an additional 45 MW, increasing the generating capacity from 50 MW to 95 MW. The extension will be capable of supplying over 20,000 homes. Around 60 construction jobs will be created, with permanent local operation and maintenance jobs. A community benefit fund will also be established.Associated Link :
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8/1/2010
Subject: Universities Slash Building Programme After Government Cuts
Description: Universities Review Options
More universities have begun to review their building programmes following the announcement of capital funding cuts by the government of over half. Some universities, such as Imperial College, London and Bristol are to reduce their programmes by 40%. Some universities are investigating ways of making up the shortfall by using private money. Cambridge, for example, is planning a bond issue.Associated Link :
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8/1/2010
Subject: RICS Postpones Decision on CIC Withdrawal
Description: Pressure from QS Members
The Royal Institution of Chartered Surveyors has postponed making a decision on whether or not to withdraw from the Construction Industry Council for three months. There has been considerable pressure from members to get the RICS to change its mind about the move.Associated Link :
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8/1/2010
Subject: Davis Langdon Profits Crash
Description: Recession Bites Despite Increase in Turnover
Davies Langdon has reported a 55% fall in profits in Europe and the Middle East despite a 6% increase in revenue. The figures have been blamed partly on the adverse conditions in commercial and retail development which accounted for a third of the company’s fees. In contrast, the company expects its global results to show a 20% growth in turnover. Associated Link :
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6/1/2010
Subject: UK Government to Announce R3 Wind Farm Contractors
Description: UK’s most Expensive Renewables Project
The winning contractors for the £3 offshore wind farm project are to be announced this week. The anticipated value of the project is £100bn by 2020, and the project will be a blueprint for future schemes. The government is hoping that it will also create a UK-based renewables industry, which will have long term benefits.
Aberdeen-based offshore contractor Sea Energy and Portuguese utility EDPR are expected to be awarded Scotland’s Moray Firth zone, while Dublin-based Mainstream Renewable Power has reportedly won the Hornsea zone. Other winners are understood to include E.ON, Centrica and DONG.Associated Link :
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6/1/2010
Subject: Dubai World Re-Commences London Gateway Project
Description: £1.5bn Project Will be Largest in Europe
Work on the essential infrastructure has restarted on the suspended London Gateway Project, the £1.5bn combined deep sea port and logistics scheme. Promoter DB World, which has been suffering from financial problems, had reviewed is options in the light of the current recession and has decided to go ahead, having purchased the extra land needed and bought out Royal Dutch Shell. The London Gateway project is one of the main drivers for the Thames Gateway and the Prime Minister has welcomed the news. Associated Link :
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4/1/2010
Subject: Adjudicator has Jurisdiction to Decide on Admissibility of Evidence
Description: No Breach of Natural Justice to Disregard Earlier Void Decision
The Jacques sisters sought an order enforcing an adjudication award made in their favour. The claimants had used their life savings to purchase a property and develop it into flats in order to provide an income. They engaged the defendant contractor, Ensign, to renovate the property for a contract sum of £139,300. The Contract Administrator was Huw Thomas. In a previous adjudication, it had been decided that practical completion had taken place on 3 November 2006, but there were outstanding issues about defects and whether outstanding works had been completed promptly. Mr. Thomas had certified payment of £319,058.56. His services were dispensed with and he was replaced by a Mr. Irvin.
There followed further adjudications between the parties which related to the service of the withholding notice, practical completion, and deductions made from certificate no., 7. The adjudicator in the third and fourth adjudications was Mr. Sutcliffe. In the fourth adjudication, the Jacques submitted that £198,000 of the £300,000 paid to Ensign was repayable because of deficiencies in the works. Mr. Sutcliffe decided that the “fair and reasonable value” of the Contractor's final account was £297,737.86, and ordered Ensign to repay £28,764.15. This decision had been based on a full investigation, which had included a site visit. He also expressed the view that the removal of Mr. Thomas amounted the Jacques “usurping the power and authority of the Contract Administrator”. The adjudicator attached considerable weight to Mr. Thomas’ witness statement in which he had expressed the view that Ensign’s standard of work had been generally in accordance with that required by the contract. Adjudication no. 4 was not enforced because Ensign raised a number of jurisdictional issues, including the adjudicator’s failure to address its disruption claim. On 30 July 2009, the parties came to a written agreement that Mr. Sutcliffe’s was void. And not binding upon them. This was reflected in a consent order, which also stated that the Jacques were entitled to adjudicate at any time a dispute concerning the amount to be paid to the Claimant pursuant to a final certificate issued…pursuant clause 4.8 of the JCT Minor Works Contract 2005 with Contractor’s Design.”
The Jacques served a Notice of Adjudication for what was to become adjudication no. 5. Essentially this related to the value of the final account, and included a claim for lost rent and repayment of £187,076.23. What was sought was the value of the works said to have been properly carried out, taking into account such defects. Mr. Paul Jensen was appointed as adjudicator.
Ensign maintained that it was owed £98,786.73, and, in its response, attached considerable importance to the null and void decision of Mr. Sutcliffe, particularly where he had stated that the Jacques’ submission that 60% of the works were defective was “doomed to failure”, and his finding that £298,587.86 represented a fair and reasonable value of the final account. Ensign also complained about the way in which the jurisdiction had involved themselves in Mr. Irwin’s work and “hampered” progress, and alleged that Mr. Irwin and a Mr. Nelson who had also been involved had not been independent, but had used their involvement in the project to generate work for their own company unbeknown to the Jacques. Ensign submitted that there had been no impartiality and that the Jacques’ case was based on lies.
Mr. Jensen wrote to both parties, informing them that he would not be taking into account Mr. Sutcliffe’s decision, which he considered to be irrelevant, but would be basing his decision on his own view of the evidence and submissions. Ensign’s solicitors responded that his failure to even read Mr. Sutcliffe’s decision was a breach of the rules of natural justice, as he would be unable to properly consider its response. Ensign reserved the right to challenge Mr. Jensen’s subsequent decision on that basis.
Mr. Jensen found that Ensign should repay the Jacques £96,868.18. In his reasoned decision, he stated hat he had carefully considered all the evidence and submission although not specifically referred to in this Decision”. Ensign paid neither Mr. Jensen’s fees nor the sum awarded to the Jacques, and they commenced the present enforcement proceedings. Ensign resisted enforcement, arguing that Mr. Jensen had breached the rules of natural justice by refusing to read Mr. Sutcliffe’s decision, and, therefore, he could not have considered or addressed the arguments and defences put forward by Ensign by reference to that earlier decision.
Whilst an adjudicator must properly consider all defences properly put forward, it was within his jurisdiction to decide what evidence was admissible, or helpful. If an adjudicator decides that some evidence is inadmissible, then it will rarely amount to a breach of the rules of natural justice even if he had been wrong in fact or law. In almost all natural justice cases, it will be necessary to distinguish between an adjudicator’s failure to consider a substantive issue and an apparent failure to address all aspects of the evidence given in a defence. Given the nature of adjudication and the time scales involved, it is not always possible for an adjudicator weigh up every aspect of evidence, and an adjudicator should not be considered to be guilty of breach of natural justice because he has failed to address each piece of evidence adduced by the parties.
Mr. Jensen had acted within his jurisdiction in not taking into account Mr. Sutcliffe’s decision because it had been within the ambit of his jurisdiction to decide whether or not it was admissible. As the parties had agreed that that decision was null and void, it was not binding upon Mr. Jensen, and it was not an inherent defence in adjudication no. 5. Mr. Jensen’s refusal to take it into account could not be categorised as an adjudicator failing to refusing to consider or address a defence. His decision not to consider a decision which was null and void had not been perverse or irrational. After Mr. Jensen had informed the parties that he would not taken into account Mr. Sutcliffe’s decision, Ensign had had ample time to present further evidence and argument and had done so. Mr. Jensen had also made it clear in his reasoned award that he had taken into account all the evidence and submissions and the content of his decision bore this out.
Because Ensign had raised a prima facie case that the Jacques would not be able to repay the award if required to do so, the court ordered a stay of execution on £60,000 of the award.
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23/12/2009
Subject: Court Reviews Adjudication Slip Rule
Description: Adjudicator Can Correct Mistake
O’Donnell (ODD) applied for summary judgement to enforce to adjudication decision. The defendant, BAL, challenged the adjudicator’s jurisdiction to make corrections in one adjudication, plus a stay. BAL later withdrew its application for a stay, so that the remaining issues were whether ODD was entitled to be paid £148,468.67 in accordance with the correction made to the adjudication, and what order for costs should be made.
ODD was engaged by BAL as a concrete frame subcontractor under a DOM/2 subcontract. BAL was the main contractor on the Cube in Birmingham. There were a number of disputes about interim valuations, extensions of time, and loss and expense, with a number of adjudications. Adjudication 8A was concerned with the value of contract works in Interim Valuation no. 25, and the validity of deductions made by BAL.
The adjudicator found that ODD was entitled to payment of £14,328,131.88 less retention, valid BAL deductions and payments to date. The next day, ODD notified the adjudicator that they thought there were two errors in his decision because he had included a sum paid for loss and expense awarded in Adjudication no. 7 which was after the date of Valuation no. 25. ODD also pointed out that at Item K in the table in the adjudicator’s decision, he had calculated the retention as 3% of the gross value of the works, including loss and expense (at Item F) and not 3% of the gross value excluding loss and expense.
BAL objected to these items being corrected, arguing that they did not come within the definition of slips which the adjudicator was entitled to correct. The adjudicator wrote to both parties, stating that he did have the power to correct both mistakes, and issued a corrected version , which awarded ODD £778,267.25 plus applicable VAT and interest..
Adjudication no. 9 dealt with the validity of BAL’s withholding notices against Valuation no. 26. In that adjudication, ODD was awarded £285,306.56. BAL did not pay the awards made in Adjudications 8A and 9, and it made it clear that it would challenge any enforcement proceedings on the basis that the adjudicator had not had the jurisdiction to make the corrections in Decision 8A. In addition, BAL said that it would seek a stay because of ODD’s alleged insolvency. This application for a stay was later withdrawn, and it paid ODD £920,670.35 in respect of both decisions.
The issue of whether the adjudicator had the jurisdiction to make the corrections remained to be resolved. BAL said that the adjudicator should not have made the corrections because he had asked ODD for information about the sums paid and the error he had made had been caused by ODD mistakenly giving incorrect information. That being so, BAL said that the correction to Decision 8A did not come within the slip rule, and it had not been open to the adjudicator to make the correction and increase the sum payable to ODD. ODD argued that the decision to amend the decision did fall within the slip rule provisions because the original decision had not reflected his intentions.
Generally, an adjudicator’s decision will be enforced even if it contains an error, or if he answers the right question in the wrong way. The slip rule enables an adjudicator to correct his decision providing that the correction is made within a reasonable time, even if the time for making his decision has expired. The present application for summary judgement raised a question of to what extent a court can interfere with an adjudicator’s exercise of his power under the slip rule.
Having reviewed a number of authorities, and listened to counsels’ arguments, the judge distilled the following propositions. If an adjudicator were to exercise a slip rule when there was no express or implied slip rule, that would clearly be a decision which was outside his jurisdiction. If a party asked the adjudicator to correct a slip and the adjudicator accepts that an error has been made within the slip rule then if the adjudicator makes an error of fact or law in making the correction, the judge considered that such an error did not take the exercise of the slip rule outside his jurisdiction. Finally, if a party asks an adjudicator to correct a slip which the other party agrees is a slip within the slip rule but in operating the slip rule he makes and error of fact or law, then Ramsey, J. was of the opinion that the court could not interfere in that decision.
Each case would have to be considered on the facts. In the present case, BAL had accepted that the slip rule was an implied term of the DOM/2 subcontract. The adjudicator had been asked to correct a slip, and accepted that he had made a mistake within the slip rule. Under those circumstances, the judge was of the opinion that the court could not and should not interfere because if it did, it would be comparable to interfering in a case where the adjudicator had answered the right question whether he was right or wrong in the answer given.
The present case was similar to that of YCMS Ltd. v Grabiner, [2009] EWHC 127 (TCC), where the adjudicator had made a patent error. He had been right to recognise the mistake as “inadvertent slip” because he made a deduction which he had not intended to make. This often happened, and was could be caused because the adjudicator relied upon information given by one of the parties. It was not that the adjudicator was trying to have second thoughts about his decision. Because the adjudicator had used the slip rule to correct an accidental error, BAL had no real prospect of successfully defending ODD’s claim.
ODD was awarded summary judgement, and awarded the costs of its summary judgement application on an indemnity basis, plus the costs of BAL’s withdrawn application to stay.
Copyright: Building Law Information Subscriber Service 2009.Associated Link :
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23/12/2009
Subject: Hirer Ntot Liable for Plant Driver's Injuries
Description: CPA Conditions Considered
The defendant, Brush Transformers Ltd., (BTL), hired a large mobile crane from MacSalvors (Plant Hire) Ltd., (MPH), to use in work on an electricity substation. The crane was supplied with Mr. Jose, an experienced operator. Mr. Jose was injured when he fell from the crane, and claimed against MPH for personal injury and loss and damage incurred due to its negligence or breach of statutory duty. Liability was agreed and MPH accepted that it was 25% contributorily negligent. The claim was compromised by MPH paying Mr. Jose £50,000. MPH brought third party proceedings against BTL, claiming to be indemnified under the clause 8 and 13 of the Construction Plant Association’s Model Conditions of Plant Hire.
The judge at Taunton County Court concluded that Mr. Jose was a competent operator although his method of descending from the claim had been unwise on that particular occasion, and rejected MPH’s submission that the accident had been caused solely by Mr. Jose’s negligence. He found that MPH had been in breach of regulation 6 of the Construction (Health, Safety and Welfare) Regulations 1996, and had been right to pay Mr. Jose the damages. In the judge’s view, 8 had been intended to cover the situation where the actions of the operator caused an accident and there was some consequential loss and damage. The wording of Clause 13 did not assist MPH because “if contractors … wish to exempt themselves from their own acts of negligence then they must set this out in express and specific terms”, but that had not been done. He found the present case to be similar to E. Scott (Plant Hire) Ltd. v British Waterways Board, Court of Appeal, 20 December 1982 unreported, and that he was bound by that decision. He dismissed MPH’s claim against BTL, and MPH appealed.
Clause 8 of the contract states:
“8. HANDLING OF PLANT
“When a driver or operator or any person is supplied by the Owner with the plant, the Owner shall supply a person competent in operating the plant or for such purpose for which the person is supplied and such person shall be under the direction and control of the Hirer. Such drivers or operators or persons shall for all purposes in connection with their employment in the working of the plant be regarded as the servants or agents of the Hirer (but without prejudice to any of the provisions of Clause 13) who also shall be responsible for all claims arising in connection with the operation of the plant by the said drivers/operators/persons. The Hirer shall not allow any other person to operate such plant without the Owner’s previous consent to be confirmed in writing.”
By clause 13, the Hirer must “fully and completely indemnify the Owner in respect of all claims by any person whatsoever for injury to personal property caused by or in connection with or arising out of the … use of the plant during the continuance of the hire period...” MPH argued that this claim was for the injuries suffered by Mr. Jose in connection with his use of the plant during the period of hire, and giving the words their ordinary meaning, this claim was included since the words of clause 8 were wide enough and unlimited in their scope. MPH argued that “all claims” included a claim by the driver.
Previous authority established that since the driver of the plant is beyond the control of an owner, an owner naturally wishes to pass on the responsibility for a driver’s negligence to the hirer. This is achieved by clause 8. As long as a competent driver is provided, the parties agree to treat him as the server of the Hirer, and, as between them, the Hirer will be responsible for all claims arising out of the operation of the plant. What was not contemplated was making the Hirer liable for claim arising from the Owner’s own negligence.
By clause 13, the Hirer must “fully and completely indemnify the Owner in respect of all claims by any person whatsoever for injury to personal property caused by or in connection with or arising out of the … use of the plant during the continuance of the hire period...”. The court considered whether the principles in Alderslade v Hendon Laundry Ltd., [1945] K.B. 189, operated so that any negligence by the owner was excluded.
The court concluded that an Owner cannot claim to be indemnified under Clause 13 for the injuries to its driver arising out of the use of the plant during the continuance of the hire period when that damage arose due to its own negligence. The judge had found negligence not just breach of statutory duty. It made no commercial sense whatever to submit that the Owner may fail because he did not expressly allude to “negligence” but he could still succeed because “breach of statutory duty” is something completely different and does not merit express mention. The two concepts went hand in hand. Neither was unmistakably and unequivocally excluded. The Owner could not seek an indemnity for its own negligence or its own breach of statutory duty.
Copyright: Building Law Information Subscriber Service 2009.Associated Link :
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23/12/2009
Subject: £3.5m Investment Pledged for UK’s First Commercial Tidal Farm
Description: Farm Planned in Next Two Years
British tidal energy company Marine Current Turbines (MCT) has raised £3.5m from an investor group led by Carbon Trust Investments Limited and including Bank Invest, EDF Energy, High Tide and a group of significant private investors, to help MCT in its plans to deploy the UK’s first commercial tidal energy farm.
MCT is the developer of SeaGen, the world’s first and largest grid-connected system that extracts energy from tidal currents. Part of the new funding will support MCT’s first deployment of SeaGen in Northern Ireland’s Strangford Lough which has now been successfully operating for more than six months. The company is now also looking to export its technology abroad.Associated Link :
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21/12/2009
Subject: Exhibition for Construction and Engineering Surveying
Description: Exhibition for Construction and Engineering Surveying
XCES 2010 – Exhibition for Construction and Engineering Surveying
SURCO Limited
XCES 2010 – Exhibition for Construction and Engineering Surveying
Co-sponsors of XCES 2010 - ICES, ICE, IHIE, ABE, CIAT, RSPsoc and AGI
For all who are involved with the measurement and monitoring of objects, space, quantities and costs within the built environment.
Following on from the success of the first XCES exhibition in April 2009, SURCO Limited, the information business of the Chartered Institution of Civil Engineering Surveyors, presents XCES 2010. XCES will again follow its established theme of being informative, educational and entertaining for all those who exhibit and attend. It will also be the first exhibition held to support the activities of the newly chartered institution.
Products showcased at XCES 2009 included; measurement, mapping, modelling, machine control, GIS, GNSS, laser scanning, data collection, CAD, terrain modelling, visualisation, underground detection, photogrammetry, aerial imagery, education and training….
This year, we aim to bring together the industry’s commercial and geospatial professions by featuring additional products and services, such as; project management software, bills of quantities, estimating, contract management, cost control, planning and programming, electronic document handling and monitoring which will be of interest to commercial managers, quantity surveyors, project managers, estimators, cost engineers and anyone who is involved with the measurement and monitoring of objects, space, quantities and costs within the built environment.
An educational zone will also be in place throughout the afternoon on 3 March which will provide the exhibitors an opportunity to demonstrate and provide activities and hands on experience of the latest equipment and software to the next generation of surveyors.
XCES will be staged at one of the top event venues in the south east, Sandown Park Racecourse, on 2 and 3 March 2010.
Visitors at XCES will be offered the chance to attend different workshops enabling exhibitors the opportunity to further promote their products and services.
An evening dinner has also been arranged during XCES. The evening will join colleagues together for a night of socialising with fine dining and top class entertainment.
THE FIRST 300 ONLINE REGISTERED VISITORS WILL RECEIVE A £5 FOOD AND DRINK VOUCHER.
Further information is available on the exhibition website www.surco.uk.com/xces.php and XCES will be promoted in Civil Engineering Surveyor, the monthly journal for the members of ICES, and other leading industry publications over the coming months.
For further information please contact:
Alan Lees
Media Sales Manager
SURCO Limited
Dominion House
Sibson Road
Sale
Cheshire M33 7PP
United Kingdom
Telephone: +44 (0)161 972 3122
Email: alees@cices.org
www.cices.org
Associated Link :
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21/12/2009
Subject: The QSI is now on Linkedin
Description: The QSi is now on Linkedin
The QSi is now on Linkedin
http://www.linkedin.com/groups?gid=2598081&trk=myg_ugrp_ovr
Why don’t you LINK and join in with discussions and place your contribution onto the site.
If you are a Freelance, why don’t you advertise your services?
If you are a Builder / Contractor tell us about your company
If you are in Private Practice, why not place your details on the site.
If you need a job or have one to offer, this can also be placed in LINKEDIN
Andrew Williams
Associated Link : http://www.linkedin.com/groups?gid=2598081&trk=myg_ugrp_ovr
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21/12/2009
Subject: QSI/ CIOB Joint event -13th January 2010
Description: QSi /CIOB Joint Event -13 th January 2010
Geraldine Fleming
CIOB/QSI - Joint CPD Event - 13th January 2010 - Pitfalls of Contracting by Geraldine Fleming of Knowles.
This is an open invitation extended to all QSi members:-
Further to our recent discussions in relation to QSi and the potential for future connections and involvement with the CIOB.
On behalf of the CIOB, and more specifically, the North Wales Centre, we are delighted to confirm our invitation to QSi to make our 13th January 2010 a joint event.
This event is to be delivered by Geraldine Fleming of Knowles, and is the first in a series of CPD’s entitled ‘Pitfalls of Contracting 1’. The event will be held in the Madog Room at Llandrillo College, Llandudno Road, Rhos – on – Sea, North Wales, LL28 4HZ, and we will meet for informal networking at 19.00hrs for a 19.30hrs event commencement.
The "Pitfalls" to be covered are listed below. Looking forward to seeing a full house on 13 January 2010.
Regards
Geraldine
1. Where a contractor’s order form includes the words “unless otherwise agreed the subcontractor is deemed to have accepted these conditions which shall apply to the exclusion of any conditions which appear on the Acceptance Form, Delivery Form or other document or letter emanating from the subcontractor”, will the conditions in the contractor’s order take precedence over any conflicting conditions referred to in the subcontractor’s acceptance?
2. Where a contractor / subcontractor whose tender is successful receives a letter of intent, is he at risk in commencing work or ordering materials or design if the project is abandoned before a contract is signed. On the other hand is he entitled to payment?
3. Can a subcontractor who finishes late have passed down to him liquidated damages fixed under the main contract which are completely out of proportion to the subcontract value?
4. If the employer suffers no loss as a result of a contractor / subcontractor’s delay to completion, is he still entitled to deduct liquidated damages?
5. Where a contractor / subcontractor includes in error an unrealistically low rate in the bills of quantities, can he or she be held to the rate if the quantities substantially increase or is he or she entitled to have the rate amended. What is the position if the rate is unreasonably high?
6. Where a cheque which is less than the amount claimed is sent to a contractor / subcontractor with an accompanying letter to effect that the cheque is sent in full and final settlement, does the cashing of the cheque indicate a binding acceptance or can the contractor / sub-contractor, having cashed the cheque, commence proceedings to recover the balance?
Associated Link :
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20/12/2009
Subject: The new QSi Linkedin Group
Description: The new QSi Linked in Group
Why not have a look at the new QSi Linkedin Group
over Christmas. Better still why not become involved an put your thoughts "on paper."
QSi - Quantity Surveyors International
http://www.linkedin.com/e/vgh/2598081/
Associated Link :
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19/12/2009
Subject: Roger Knowles Hot Tips 1
Description: Roger Knowles Hot Tips 1
Roger Knowles Hot Tips 1
Subcontract Programmes
Time is always at a premium. When entering into a subcontract, it is the norm for the subcontractor to have its time slot squeezed to fit into the main contractor’s programme. When a time slot has been agreed, often on a take it or leave it basis, there are a few dos and don’ts which need to be observed. When the subcontract is being drawn up for signing, make sure the agreed time slot is stated clearly in the subcontract. For goodness sake do not sign up to a subcontract which states that the subcontractor is obliged to carry out the work at such times, and in the order the contractor shall from time to time direct. If the subcontract states that the subcontractor must carry out the work in accordance with the contractor’s programme, make sure there is a programme reference number stated in the subcontract and you have actually seen the programme. Programmes are regularly changed and if care isn’t taken, the subcontractor’s time obligation becomes a movable feast.
Email
roger@rogerknowles.com
Associated Link :
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15/12/2009
Subject: £12m Transport Scheme Planned for Hucknall
Description: DOT to Provide £10m
The Transport Minister, Sadiq Khan, has announced that Hucknall Town Centre will benefit from a £12m investment in infrastructure improvements. The proposals include the construction of a new relief road, which will take thousands of vehicles a day away from the High Street. This will enable the pedestrianisation of the busiest stretch of Hucknall’s High Street, providing a safe and attractive environment for pedestrians and cyclists. A new bus-only link, which will connect the High Street and the new relief road, will serve as Hucknall’s main bus interchange with improved waiting facilities for bus users. The plans, which have initial Government approval, will cut travel times for motorists in the town centre, said Mr. Khan.
The balance of the funding will come from Nottinghamshire County Council and the private sector.Associated Link :
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11/12/2009
Subject: Major American Firms Stalk UK Consultancies
Description: Top QS Firms Named
It is believed that American mega consultancies are hunting for British companies to take over. It is thought that Davis Langdon, Turner & Townsend and EC Harris may be amongst those in their sights. Aecom, CH2MHill and Jacobs have all been in the UK in meetings.Associated Link :
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11/12/2009
Subject: RICS May have CIC Rethink
Description: Planned Withdrawal Opposed y Major Firms
The RICS may have to reconsider its plans to withdraw from the Construction Industry Council after some of the major QS firms threatened to leave the organisation and set up their own. The new government construction adviser, Paul Morrell, has also spoken out against the withdrawal.Associated Link :
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9/12/2009
Subject: Infrastructure UK to Oversee Funding
Description: New Agency will Prioritise Infrastructure Funding for Next 50 Years
The Chancellor, Alastair Darling has announced the establishment of a new agency, Infrastructure UK, which will replace he Infrastructure Finance Unit, the Treasury’s PPP policy team, and parts of Partnerships UK. The task of the new agency will be to identify new revenue streams for major infrastructure, and manage the government’s money earmarked for the 2020 European Fund for Energy, Climate Change and Infrastructure, and how low carbon electricity and High Speed 2 could be funded.Associated Link :
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8/12/2009
Subject: UK to Join First Offshore Wind Grid
Description: Nine Countries Sign up to Development
Nine countries, including the UK, have signed up to develop an integrated offshore grid in the North and Irish Seas. £5M of new grants have been awarded for offshore wind technology research and a Renewable Energy Expert Chair has been appointed by the government. A grid spanning European waters should make electricity supplies more secure for the participating countries by making it easier to optimise offshore wind electricity production , and will also help the EU to meet its renewable energy target for 2020.
The Government is to give Danish energy company Vestas £1.75 million and a further £1.75 and the South East England Development Agency will give £1.75m in addition to £6 million already awarded. Vestas say that they will now proceed with their R&D facility on the Isle of Wight. Vestas currently employ 160 on the Isle of Wight. By the time they open the technology centre in 2011 they expect this to grow to over 200 and then to nearly 400 over the following years.Associated Link :
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4/12/2009
Subject: Government Figures Say Ecession is Over
Description: ONS Statistics Show a 2% Rise
Preliminary figures from the Office of National Statistics reveal that construction output rose in the third quarter of 2009 by 2% compared with the sedonc quarter of 2009, with a quarter on quarter growth in output indicating the end of recession.
Going into recession is technically defined as two negative consecutive quarters of growth, whilst the end of a recession is taken to be the first growth quarter-on-quarter. Despite this glimmer of hope, however, But the figures still show the industry’s output of £25 billion last quarter is 9 per cent down on the third quarter of 2008’s figure of £27.3 billion.Associated Link :
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27/11/2009
Subject: “Secret Communication” Tainted Single Joint Expert’s Report
Description: Judge Permits Party its Own Expert
Mr. Edwards was the owner of a listed building in Liverpool. In 2004, he engaged the claimants to manufacture and install three replacement wrought iron balconies and balustrades. There were disputes over the quality of the claimants’ work, and the parties agreed to refer the matter to an expert architect, Mr. Brotherhood.
In his first report, Mr. Brotherhood was of the opinion that the casting was satisfactory and was prepared to visit the site to inspect the standard of work. If he found that that had also been completed to a good standard, he was prepared to certify the works had been completed satisfactorily, and that they were an improvement on the old balustrading.
Despite the content of the report, there remained an outstanding issue about the sums due to the claimants commenced an action in the County Court to recover £13,729.36 which they alleged were due. Mr. Edwards counterclaimed for a refund of £7,000. Both parties sought to rely upon Mr. Brotherhood’s report.
The matter was transferred to the Liverpool County Court. By that time, the claimants’ claim was in the region of £15,000, whilst its costs were about £60,000. Judge Mackay ordered that Mr. Brotherhood would be the single joint expert in the case, to which both parties agreed.
Mr. Brotherhood produced his second report nearly a year later. This proved to be something of a shock to the claimants because it now said that the claimants’ materials and workmanship were not acceptable. Some time later, the claimants learned that Mr. Edward’s solicitors had been in touch with Mr. Brotherhood in the interval between the production of the two reports, although the nature of this was not revealed either to the claimants nor the court. Although requested, copies of the correspondence were not provided.
The claimants obtained a report from a second expert, a Mr. Potter, and sought the court’s permission to rely upon it. The claimants feared that the contact between Mr. Edwards and Mr. Brotherhoodhad had biased the expert against them. Judge Mackay found the situation to be very unsatisfactory. If the claimants were not permitted their own expert, then given that Mr. Brotherhood had changed his report after intervention by Mr. Edwards’ solicitors, the claimants would be faced with the possibility of trying to argue points which were not in their favour because the expert evidence was against them. Although he was reluctant to permit the claimants their own expert, because of the overall justice to the parties, he allowed the claimants their application.
Mr. Edwards sought leave to appeal against this decision. The court reviewed the law appertaining to single joint experts and the effect of “secret dealings” by one of the parties. The real issue was whether the judge had been wrong to allow the claimants to rely upon fresh expert evidence at such a late stage, despite the wide discretion permitted him on case management decisions. That depended upon the effect of the secret communications between to Mr. Brotherhood and Mr. Edwards. Because of the limited information available, and applying the principles in Peet v Mid Kent Health Care NHS Trust, [2002] All ER 688, Judge Mackay had been obliged to conclude that because of the secret communications, the usual position of the single joint expert was untenable. The existence of these communications jeopardised the independence of Mr. Brotherhood’s second report. The claimants were entitled to adduce their own evidence because preventing them from doing so would result in an injustice.
Copyright: BLISS Books Ltd. 2009
Associated Link :
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23/11/2009
Subject: Olympics On Time and Within Budget, says ODA Report
Description: Quarterly Economic Report Shows Small Increase in Cost
The latest “2012 Olympic and Paralympic Games Quarterly Economic Report from the Olympic Delivery Authority says that whilst there is an increase of £7m in the anticipated final cost, no contingency will have to be released to cover it. The ODA expects the increase to be covered by savings in other parts of the building programme. The contingency of £1,27bn remains largely untouched, and progress remains good, says the ODA.Associated Link :
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23/11/2009
Subject: Planning Consent Granted for £28m Bradford Redevelopment
Description: £28m Passenger Terminal Approved
The planned £28m new passenger terminal at Bradford Airport has won planning approval, Architects Pascall+Watson will now set about designing the two storey extension to the existing terminal. There will be a new departure lounge and improvements to the security and baggage handling facility.Associated Link :
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23/11/2009
Subject: QS Construction Adviser Appointment
Description: Paul Morrell Expected to be Appointed
“Building” Magazine is reporting that Paul Morrell, a former senior partner in Davis Langdon, is to be confirmed as the government’s construction adviser. Mr. Morrell is said to have beaten off a “strong field” of candidates. He is currently an independent consultant and non-executive director of DEGW. One of his first tasks will be will be to chair a review of construction’s role in a low carbon economyAssociated Link :
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20/11/2009
Subject: RICS Threatens to Leave the CIC
Description: Cost-cutting Move
It has been reported that the RICS is considering leaving the Construction Industry Council. The RIS is a founder member of the CIC and would be the first professional institution to leave it. The RICS has informed the CIC that it is considering withdrawing from a number of international and national bodies in order to save money. There have already been some redundancies within the organisation.
There are also internal problems within the organisation over proposals to reorganise the regional boards so they are made up of RICS staff instead of elected members. Associated Link :
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16/11/2009
Subject: New Construction Act Published
Description: Adjudication and Building Contract Changes
The Local Democracy, Economic Development and Construction Act 2009 has now been published, Part 8 of the Act replaces the building contract and adjudication provisions of the Housing Grants Construction and Regeneration Act 1996.
A free copy of the Act may be downloaded from http://www.blissbooks.co.uk.Associated Link :
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13/11/2009
Subject: New Construction Act Receives Royal Assent
Description: Changes to Adjudication and Building Contracts
The Local Democracy, Economic Development and Construction Act 2009 has received Royal Assent. The Act will replace the Housing Grants Construction and Regeneration Act 1996.Associated Link :
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11/11/2009
Subject: Engineers Liable for Damages ffor Remedial Works
Description: House "Unfit for Human Habitation"
In a previous judgement, the Technology and Construction Court found that the second defendant, RMA, a firm of structural engineers, were in breach of section 1 of the Defective Premises Act 1972. The claimants were awarded damages of £218,616.91. RMA had been engaged by Huntsbuild to undertake site investigations and advise on the design of the foundations of a house which Huntsbuild were building for the claimants. There was no dispute that RMA owed the claimants a duty of care. The claimants noticed cracking in the house in 2002, and the cause was eventually traced to the badly designed foundations.
RMA appealed, denying that there had been any breach of duty, and that, contrary to the claimants’ argument, the house had been fit for human habitation. RMA’s case was that whilst the claimants were entitled to have the defects remedied, the house was habitable.
On appeal, RMA argued that the judge had applied the wrong test, and taken into account irrelevant considerations. In particular, the judge had taken into account the fact that the remedial works would take 12 months, forcing the claimants to leave the house. RMA also argued that the judge had concluded that the house was unfit for human habitation without considering or explaining how each of the items of damage made it so. The third ground of appeal was the submission that the judge had applied the wrong measure of damages because he had taken the cost of RMA’s failure to carry out the work in a professional and workmanlike manner- i.e. the cost of repairing all the damage caused by the ground heave- when the correct measure of damages should have been the cost of making the house fit for human habitation. Finally, RMA maintained that the judge’s finding that the defective foundations made the house unfit for human habitation had been made without any proper basis in fact.
Whilst each case turned on its own facts, having to vacate a house for a long period for remedial work to be undertaken was a significant factor, and highly relevant to determining whether or not the house was fit for human habitation. The defect complained of was fundamental to the stability of the building, and not just cosmetic. The court did comment on the judge’s use of the phrase “unfit for purpose” as perhaps confusing the issue, as “unfit for purpose” did not really clarify “unfit for habitation”.
Contrary to RMA’s argument, the judge had not been obliged to consider each defect individually and whether it made the house unfit for habitation. Some cracks were more serious than others, but all the defects had been caused by the ground heave and inadequate foundations. Given this, the judge had been entitled to conclude that the cost of remedying the defects was a foreseeable consequence of a breach of section 1 of the Defective Premises Act. The contention that the judge’s findings had no basis in fact was rejected.
(Bole and de Haak v Huntsbuild and Richard Money (t/a Richard Money Associates); 20 October 2009)
Copyright: BLISS Books Ltd. 2009.Associated Link :
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10/11/2009
Subject: Banks to Provide £1.4bn in Wind Farm Loans
Description: EIB to Provide New Finance
The European Investment Bank (EIB) is to provide up to £700 million of the new finance for wind farm projects of between £20m and £100m with the remainder matched by RBS, Lloyds Banking Group and BNP Paribas Fortis. The eligibility criteria are designed to ensure that the projects have an acceptable environmental impact and are located in commercially viable locations in terms of wind resource. The UK Government has welcomed the EIB’s commitment to the funding for renewable projects. Associated Link :
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9/11/2009
Subject: New Planning Framework for Port Development
Description: New National Policy Statement Sets Out Additional Port Requirements
The new NPS - which is subject to public consultation - sets out the broad need for additional ports capacity up to 2030 and beyond, taking such things as freight demand forecasts and the economic benefits of ports into account. The document builds on existing Government policy, which is that the need for ports capacity can best be met with an efficient and competitive industry working in a free-market environment. This new document also includes wider Government objectives for sustainable development, covering issues such as climate change considerations and the wider environmental impact of port development.Associated Link :
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9/11/2009
Subject: Nuclear Power Station Sites Announced
Description: Locations of Government Pre-Approved Sites Released
The Energy Secretary, Ed Milliband, has announced the three pre-approved sites for the construction of nuclear power stations. These are: Kingsnorth in Essex, Druridge Bay in the North East and Owston Bay near Hull. Mr. Milliband has also published draft National Policy Statements which are designed to prevent planning delays for large energy projects. Associated Link :
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6/11/2009
Subject: BLISS Books Relaunches Construction Law Service
Description: Bulletin and Research Services Will be Available
BLISS Books, the construction industry bookseller and document provider, has announced that it has taken over the construction law service and has re-launched the Building Law Information Subscriber Service weekly bulletin which is a digest of case law and industry articles from construction trade journals and courts in the UK and overseas, The service has been used by legal and construction professionals since its initial launch in 1988, and has established itself at the forefront of cost-effective construction law provision. QSI members can obtain a sample issue of the bulletin by e-mailing orders@blissbooks.co.uk Members are also entitled to a discount on current subscription rates.Associated Link :
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6/11/2009
Subject: Latest Fees Bureau Survey Shows QSs Suffering Most
Description: Falls in the Hourly Rate of Between 10% and 17%
The latest fees survey’ from the Fees Bureau the average hourly rate for a sole principal in a QS firm fell by 17% between 2008 and 2009 and by 10% for an associate. Quantity Surveyors have fared badly compared with architects and engineersAssociated Link :
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6/11/2009
Subject: RICS Reports Workload Optimism
Description: Construction Outlook Looks Positive at Last
Despite a further fall in construction workload in the 3rd quarter of 2009, the Royal Institution of Chartered Surveyors’ latest survey not only shows that the fall in workload is slowing, but also that there is some optimism about prospects for the next year. The survey shows that the public sector came off best with modest rises for the second consecutive quarter.Associated Link :
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6/11/2009
Subject: RWE and E.On Complete Horizon Nuclear Joint Venture
Description: Aims to Attract £15bn of Investment
Nuclear giants, RWE and E.On have finalised their joint venture to be called Horizon Nuclear Power. The new venture plans to develop in the region of 6,000MW of new nuclear capacity by 2025, with the first reactor coming on-line in 2020.
The company has secured sites at Wylfa on Anglesey and Oldbury-on-Severn in South Gloucestershire, and technical site investigations are proceeding.Associated Link :
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5/11/2009
Subject: New Guide to Local Authorities on Procurement
Description: Top Tips for Savings
The Local Government Association and the Improvement and Development Agency has published a members' guide on how to make savings in construction procurement. Councils spend some £16.2 billion each year on construction – far more than they spend in other areas. The guide suggests how they could save millions of pounds each year through more efficient and collaborative procurement.Associated Link :
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4/11/2009
Subject: Allegations of Fraud to Resist Adjudication Enforcement
Description: S.G. South Ltd. v King's Head Cirencester LLP, and Corn Hall Arcade Ltd.; 29 October 2009
SG applied to enforce two adjudication decisions. The application was resisted by the defendants who argued that the final account procedure which was due to be completed would show that they were owed a net balance. Alternatively, the defendants asked for a stay on the basis that the claimants were on the verge of insolvency. The defendants also raised issues on how the court should proceed if there were arguable issues of fraud involved.
The defendant developers contracted with the claimant for the construction and conversion of two sites. The work involved the creation of a shopping arcade and a hotel. The form of contract used was the JCT Management Contract, 1998 edition. Payment was made on a prime cost basis, based on certificates issued by the defendant's contract administrator. Clause 9A of the contract was an adjudication clause. There were a number of disputes, and the defendants purported to determine the claimant's employment in May 2008.
The claimant issued two notices of adjudication. The first related to alleged non-payment of Interim Certificate no. 8. Mr. Rudd was appointed as adjudicator. He found that of £202,429.72 was due to the claimant, but the defendants failed to pay.
In the second adjudication, the claimant sought payment of Interim Certificate no. 14, and Mr. Stimpson was appointed as adjudicator. In their response, the defendants intimated that they had become of widespread fraud on the claimant's part, and question whether it was lawful for the adjudication to proceed, given the provisions of the Proceeds of Crime Act 2002. The defendants alleged that the claimant had illegally removed and disposed of steel and fixtures and fittings from the existing buildings, and that there had been amendments to some of the plant hire invoices. All these allegations were denied by the claimant. In his decision, Mr. Stimpson referred to the fraud allegations, but considered them to be outside his jurisdiction, being a matter for the police and the courts. On the basis of Mr. Rudd's decision, he found that the claimant was entitled to £859,443.70, and that because the defendants had not issued withholding notices, they were not entitled to any set-off or abatement.
On 4 August 2009, the claimant issued its final account, and in the present proceedings sought to enforce the two adjudication decisions. Resisting the enforcement, the defendants argued that they had established that they had established a strong prima facie case that the claimant and its owner, Mr. South, had behaved fraudulently in a number of respects, and also that when the final account was finalised, it would show that the claimant owed them a substantial amount.
Depending upon the facts, fraud could be a defence in adjudication proceedings in the same way as in arbitration or court proceedings. Whilst the judge did not have to decide the fraud point, he did make some observations:
Fraud or deceit could be raised as a defence, provided it was a real defence to the claims. And it must be accompanied by clear and unambiguous evidence and argument. A distinction should be drawn between fraudulent actions which could have been raised as a defence and those which became known later. It was also necessary to differentiate between fraud which had an effect on the decision and fraud which was independent of it. The judge also warned that, whilst there were cowboy builders, only rarely would it be possible to presume that there had been fraud, and he doubted that there would be many cases where decisions would not be enforced because of fraud.
There was little prospect of the final account being settled within the next few weeks, as claimed by the defendants, or even at all because of the claims of fraud which the claimant was unlikely to accept. It was likely that the claimant would challenge the determination of the contract as being unlawful. The judge considered that what the defendants considered to be fraud in connection with the invoicing was more likely to be poor accounting practice. As for the illegal removal of items from the premises, the court had not been provided with any documentation about whether the claimant had been required to preserve the debris during its demolition works. Just because the claimant had taken items off site and sold them did not mean there had been any dishonesty or even breach of contract. The judge concluded that the defendants had failed to provide any credible evidence to support their allegations of fraud, and what the claimant had been able to remove from site under the contract.
In addition, the defendants were unable to demonstrate that the adjudication decisions had been procured by fraud. The defendants had properly issued the certificates in question, and no evidence had been produced to suggest that the certificates had been procured by fraud. Both decisions were enforceable.
Turning to the question of the claimant's financial position, the company accounts did show that the claimant was strapped and that it would be unable to repay the sums awarded in the adjudications if required to do so. However, the claimant's finances were no worse than when the defendants took the risk of entering into the contracts with them, and a stay of execution was not justified.
Copyright: BLISS Books Ltd. 2009.Associated Link :
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4/11/2009
Subject: Latest Trade Survey Results
Description: Conflicting Reports on Order Level
The latest trade survey from the Construction Products Association, (CPA), shows that construction orders are continuing to fall, despite some evidence of slow growth. The figures for the third quarter of 2009 indicate a continuing fall in enquiries and a reduction in the sales of construction products. However, this contradicts the findings of a survey from the National Specialist Contractors Council, whose members have reported a 13% increase in orders.Associated Link :
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2/11/2009
Subject: Suspension of Contract not Always a Repudiatory Breach
Description: Will Depend on the Circumstances of the Case
Mayhaven sought to appeal questions of law arising out of arbitration award. The defendant, DAB, undertook building work for Mayhaven on the Down Housing Nursing Home under a JCT Intermediate Form of Contract, 1998 edition.
Disputes between the parties were referred to adjudication in 2006, and the adjudicator ordered Mayhaven to pay DAB certain sums. Believing that Mayhaven had failed topay, DAB suspended the works. In fact the sums awarded were paid in a subsequent valuation. Mayhaven accepted the suspension as a repudiatory breach.
DAB commenced an arbitration in 2007, and the arbitrator issued an award on 13 April 2009. In its appeal, Mayhaven raised a number of questions of law:
Held:
1. REPUDIATION
DAB accepted that there had been an improper suspension of the works due to the misunderstanding about the payment. The question was whether that suspension amounted to a repudiatory breach. The arbitrator had found that it was not.
It was evident that that the arbitrator had correctly set out the correct principle of law that a breach of a contract will be repudiatory if it goes to the root of the contract. The court rejected the submission that that a wrongful suspension of the work under clause 4.4A of the Contract, which gave rise to a failure to proceed regularly and diligently under clause 2.1, amounted to a breach of a condition or fundamental term so that every such breach amounted to a repudiation of the contract. A wrongful suspension which gave rise to a failure to proceed regularly and diligently will vary in seriousness, depending on the circumstances. The court did not accept that every wrongful suspension which lead to a breach of clause 2.1 would automatically be a repudiatory breach. Rather, whether such a suspension and a consequent breach were to amount to a repudiation depended on the breach and the facts and circumstances of the case.
The arbitrator had taken into account the fact that DAB had made a genuine mistake about the payment. Mayhaven had been aware that they had made payment, but had not informed DAB of the misunderstanding prior to the suspension. Had they done so, the suspension would have been avoided.
DAB had genuinely believed that payment had not been made and was not going to be paid. They relied on a letter from Mayhaven’s Solicitors which stated that Mayhaven “will not be making any payment to your client pursuant to the Decision”. The arbitrator had also concluded that Mayhaven and their solicitors had known that DAB had been paid before the works had been suspended. Taking into account all this, the arbitrator had been correct in deciding that DAB’s suspension had not been a repudiation.
The arbitrator had been entitled to take into account DAB’s willingness to complete the works, evidenced by their letters.
Whether a contractor’s wrongful suspension of the works amounted to a repudiatory breach would depend on the terms of the contract, the breach or breaches of contract and all the facts and circumstances of the case. The question is not capable of a simple answer, as a matter of general principle.
2. LOSS OF PROFIT
Mayhaven claimed loss of profit in respect of the loss of use of rooms at the nursing home because of a delay in the completion of the works under the contract, caused by the need to carry out remedial works. The arbitrator awarded these damages, and calculated those damages on the basis that the rooms would have been occupied by elderly physically disabled rather than young (aged 18-65) physically disabled people (“YPD”) who would have led to a higher rate of income. ,Mayhaven argued that this showed that the arbitrator had misinterpreted the principles in Hadley v Baxendale (1854) 9 Ex 341, because the loss of profits should be assessed on the basis of provision of rooms for YPD and should do so under the first limb of Hadley v Baxendale because they only need to establish that the nursing home was a profit making business in the care industry and that loss of profit was likely to result if delay occurred.
The court concluded that the arbitrator had correctly found on the facts that loss based on YPD occupancy was not recoverable under the first limb, applying the test expressed in Czarnikow v Koufos. He also found that DAB did not have knowledge about loss arising from YPD occupancy so as to bring the case within the second limb of Hadley v Baxendale.
“Loss of profits” was not to be equated to “loss of a kind” so as to make all profits recoverable. The loss of profits in the Victoria Laundry case were not a single type of loss. Some might fall within the first limb and some within the second limb. In present case the arbitrator had found that loss of profit for the use of the care home for the more lucrative YPD occupants was not recoverable under the first limb of Hadley v Baxendale and was not recoverable because of lack of actual knowledge under the second limb. There had been no error of law.
3. Mayhaven also claimed for loss of profits arising from the delay to Phase 2 caused by delay to Phase 1. This was rejected by the arbitrator as not having been established. In order to assess any damages which might be recoverable for delay to Phase 2, the arbitrator had to know when Phase 2 would commence. He was considering this in the context of the availability of finance for Phase 2. This did not, however, establish when Mayhaven might actually commence the Phase 2 work. If it were to be a long time after the completion of Phase 1, there could be no connection between the delay to Phase 1 and the commencement of Phase 2. Unless Mayhaven established a date when they would have commenced Phase 2 and showed that it was, in fact, linked to delay to Phase 1, then the court concluded that the arbitrator had been entirely justified in saying that Mayhaven had not established loss of profits on Phase 2.
4. DEFECTIVE FOUNDATIONS
It was alleged that DAB had not constructed the foundations in accordance with the engineers’ drawings. The arbitrator had found that DAB were not liable, because they had constructed the foundations before the issue of the drawings. However, the arbitrator had also concluded that DAB were not liable because the Contract Administrator had impliedly approved the work.
The court found that a contractor who is in breach of contract in carrying out defective works is not to be relieved of liability for those defective works by any implied approval derived from the Contract Administrator’s failure to draw the contractor’s attention to defective works which should have been apparent when the Contract Administrator attended the site. Under the terms of the JCT Intermediate Form of Contract 1998 Edition, a Contractor is not excused from compliance with his contractual obligation to carry out the works in accordance with the contract drawings by reason of the Contract Administrator’s failure to require the contractor to remedy defective works. The court remitted this aspect of the award to the arbitrator.
Copyright: BLISS Books Ltd. 2009.Associated Link :
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28/10/2009
Subject: Atkins Warns of Future Reduction in Water Capacity
Description: Consultant Forced to Cut 100Jobs Because of Downturn
Consulting engineers, Atkins, has said that the capacity of the water industry may be reduced because of the five-year cycle of stop and start. The present dip in the AMP cycle has coincided with the current recession, and Atkins fears that the combination will lead to an inability to innovate, invest in infrastructure and maintain skills. Atkins is having to shed 100 jobs, and is not the only company being force to do so.
The Association for Consultancy and Engineering is urging the government to intervene and review the current funding methods for the industry.Associated Link :
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28/10/2009
Subject: QS Framework Advertised
Description: LIFT Framework
Community Health Partnerships in London is advertising a quantity surveyors LIFT framework for contracts between £750,000 and £3m. The framework providers selected onto the quantity surveying services framework will also be eligible to provide services in connection with the selection of a private sector partner from the Express LIFT framework.Associated Link :
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26/10/2009
Subject: New Adjudication Case on the Identity of the Contracting Parties
Description: Estor Ltd. v Multifit (UK) Ltd.; 23 October 2009
Estor Ltd. ("Estor") was the holding company for what has been called the Ginger Group, a group of companies which operate hair dressing and beauty treatment salons. The salons were actually called “Ginger Group”. Mr. Keith Warner (“Mr. Warner”) effectively owned and ran Estor and the other Ginger companies. Mr. Warner set up a further company, Ginger Westfield Ltd., for the purpose of setting up a shop in the Westfield White City complex.
Hub Design was engaged to undertake the fitting out works, and subcontracted a substantial part of the works to the defendant, Multifit. The contract with Hub was signed by Mr. Warner "of the Ginger Group" and the front page of the contract identified "The Ginger Group" in effect as the employer. However, Mr. Warner lost faith with Hub, and Messrs. Khan and Singh of Multifit indicated that they would be prepared to continue with the works. Multifit provided Mr. Warner with a quotation which was accepted by him in an e-mail. There was no indication, however, of which company was accepting the Multifit quotation. Multifit was not provided with a copy of the contract with Hub.
Ultimately, there were disputes about payments, and Multifit instructed a debt collection agency to recover sums using a standard letter addressed to "Keith Warner The Ginger Group”. Mr. Warner responded by e-mail “for and on behalf of Ginger Group Westfield” that there were certain snagging items and defects.
On 12 May 2009, Multifit issued a Notice of Adjudication, claiming £37,624.05. The issues before the adjudicator, Mr. Slegg, included the identity of the contracting parties, and whether the contract was in writing for the purposes of the Housing Grants Construction and Regeneration Act 1996. The adjudicator decided that Mr. Slegg decided that the contract was between Multifit and Estor, evidenced by emails of 20 and 23 October 2009, Multifit's quotation of 23 September 2008, the credit reference form signed by Mr. Warner and Multifit's Terms and Conditions referred to in that form. Further, he found that there has been no novation of the contract from Hub to Multifit. Estor was ordered to pay Multifit £37,624.05, plus fees and expenses.
Estor did not pay the sums awarded, but commenced its own adjudication proceedings, arguing that there was no contract in writing for the purposes of s.107 of the Housing Grants, Construction and Regeneration Act 1996.
Held:
1. The court was satisfied that Multifit had never been aware which company had contracted with Hub, and had not had a copy of the Hub contract until the commencement of the adjudication. Further, Mr. Warner had never made it clear to Multifit, either orally or in writing, that he wanted it to enter into a contract with Ginger Westfield. Whilst Ginger Westfield had been legally established, it had no operative bank account until October/ November 2008, and obviously had no funds of its own.
2. The Hub contract itself was not clear that Ginger Westfield would be the other contracting party. Mr. Warner only identified himself as being “Keith Warner of The Ginger Group” which was entering into that contract.
3. Estor made all the payments to Multifit, and all but one payment to Hub. When Mr. Warner received the letter from the debt collection agency, which was addressed to him and the Ginger Group Ltd. (GGL), he did nothing to suggest that the contract had been with Ginger Westfield rather than GGL or the Ginger Group.
4. It was common ground that Multifit’s e-mail quotation was an offer, and Mr. Warner’s e-mail of 23 October 2008 was the acceptance. Mr. Warner had signed the Credit Reference Form supplied by Multifit, which contained information about Estor. This form had been required for Multifit’s ISO 9000 accreditation. No other company had been mentioned as a potential employer under the contract. The fact that the first direct payment was made by Estor pointed unequivocally to Estor being mutually intended as the employing party.
Copyright: BLISS Books Ltd. 2009.Associated Link :
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16/10/2009
Subject: £200m Stockton Biomass Project Gets Go-ahead
Description: Gala and Aker Solutions to Build Plant
Stockton Borough Council has given planning permission for the construction of a £200m biomass plant, which will convert wood chippings to enough energy for 80,000 homes. The plant is to be built by Gala Power, with Aker Solutions, and is expected to be operational by 2012. Associated Link :
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13/10/2009
Subject: Brunel University Advertises for QS Services
Description: Esimated Value between £250,000 and £1m
Brunel University has issued an notice in the Official Journal for a quantity surveying and cost management consultancy services framework across its property estate. The call off contract will be used for the university’s 10-year capital expenditure plan. Associated Link :
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13/10/2009
Subject: Dong Withdraws from Power Station Joint Venture
Description: Peel Energy to Go it Alone with Hunterston Project
Denmark’s Dong Energy has withdrawn from a joint venture with Peel Holdings for the construction of a coal powered power station at Hunterston on the Clyde. The power station was one of 14 that Scotland’s “national planning framework” was to designate as being in the national interest. In addition to the coal, the Hunterston plant would have used some “biomass” material like wood. Dong’s decision has been based on financial considerations as the price and amount of energy sold is falling. Peel Energy, however, has said that it will continue with the project.Associated Link :
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7/10/2009
Subject: OJEU Contract Notice for Quantity Surveying Services
Description: Housing Private Finance Initiative Project
Stoke on Trent City Council (the council) is seeking to appoint a technical advisor to support the development and procurement of a Public Private Partnership (PPP) as part of 6th Round of the Housing Private Finance Initiative (PFI). This is targeted at estate renewal and transformation.
An invitation has been received from the Homes and Community Agency to proceed to the next stage and develop an Outline Business Case (OBC) based on our Expression of Interest. This identified development sites located across six of the City Council's priority estates.
The project is now to be progressed to Outline Business Case (submission currently no later than July 2010) and subsequently to the procurement period and mobilisation of the investment programme delivery up to the start of operational services, expected to be mid 2013.
We require a technical advisor to provide advice through the above stages and become a member of the operational team reporting to the Project Manager.Associated Link :
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6/10/2009
Subject: Balfour Beatty Named as Preferred Bidder on BSF
Description: Construction and Facillities Management Services
Balfour Beatty has been appointed preferred bidder for the £450 million Blackburn with Darwen and Bolton Councils BSF programme.The contractor will invest equity of £3.3 million into the delivery of the first school, Pleckgate High School, with the potential for a total of up to £20 million equity investment in the programme in total. The 25-year concesion involves a major capital investment programme.Associated Link :
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6/10/2009
Subject: Mouchel Posts Multimillion Pound Loss
Description: Increase in Turnover
Despite an 13% increase in turnover, Mouchel has posted a loss of £13.5m to July 2009, and has announced that it is withdrawing from the UK rail sector. The losses are being blamed on losing out on a Network Rail framework, and a £15m impairment charge in its Middle East business against fees which were not paid.Associated Link :
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4/10/2009
Subject: NEW STUDENT WEBSITE
Description: NEW STUDENT WEBSITE
Employers to benefit from new student website.
THOUSANDS of students across the UK and Ireland are being given the chance to sign up to a ground-breaking new social networking service that could radically change university and college life.
Studentnoticeboard.com offers students the chance to find jobs, cheap books, and affordable accommodation, all at the touch of a button.
The site offers a huge range of services including an on-line book exchange, accommodation, pub/club and business listings, and even a social networking service that could rival the likes of Facebook and Bebo.
Studentnoticeboard.com is free to join for every student in the country, and will offer extensive in depth information for students in each individual institution.
Martin Ramsden, who designed the site, said: “We’ve tried to cover every aspect of student life, making it as cheap and easy as possible”
“This is a great chance for students at different universities and colleges to network across the country which should make life a little easier, whether it be by swapping books, sharing accommodation or even finding exclusive offers and discounts, the site can benefit everyone.”
The site also plans to offer benefits to thousands of employers thanks to an innovative CV and portfolio service, allowing students to display their best work on-line, and giving companies the chance to hand pick the countries brightest prospects.
Martin added: “Studentnoticeboard.com plans to give employers looking to take on students, either on a part-time basis in term time or as a career after graduation, the chance to look at thousands of resumes and portfolios of work.
“It means companies can hand pick their candidates, in a cost effective manner.
“The site also gives businesses such as bars, pubs, clubs, restaurants and shops the chance to tap into the lucrative student trade, by promoting events, special offers and sales on-line.”
This means even smaller, local businesses can benefit from the site. They are given the chance to advertise job vacancies for free, giving them a cheap and easy way to find enthusiastic students looking for work, as well as an effective avenue to the student market. Private landlords can also list vacant properties for free, saving charges for students and landlords on middle men.
For more information go to www.studentnoticeboard.com today
Associated Link :
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30/9/2009
Subject: Plans for £300m Thames Flood Defence Scheme
Description: Three New Flood Diversion Channels to be Built
The Environment Agency has revealed plans for a £300m Thames Flood Defence scheme which will include flood diversion channels, weir improvements and river widening to protect homes and businesses in west London. There are also proposals to improve the capacity of weirs at Sunbury, Molesey and Teddington, and widening Desborough Cut, near Walton-on-Thames. The plans have been put out to public consultation until 4 December.Associated Link :
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29/9/2009
Subject: New Multimillion-Pound transport scheme for Yorkshire
Description: Tram-Trains will Head Straight into the Heart of Sheffield & Rotherham
A new tram-train project is to be trialled in South Yorkshire, and could be running within 3 years. The project will include linking tram and train tracks at Tinsley; electrifying the 5.5-mile rail line between Tinsley and Parkgate; building the new Parkgate station, and constructing low extensions to platforms at Rotherham Central. The scheme will be funded by money already earmarked for the development of transport in our region. Originally, ministers had planned to invest £25m in the Penistone rail line between Sheffield and Huddersfield, but that scheme has been shelved due to difficulties locating suitable diesel trams for the non-electrified track.Associated Link :
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29/9/2009
Subject: Tube Lines to Pay Out £10m Per Month for Delays
Description: Final Bill May Be £30m-£40m
Tube Lines has confirmed that it will be paying £10m after December 31 in respect of overruns to the resignalling contract on the Jubilee Line. Whilst no official completion date has been set, Tube Lines could be facing a bill of between £30m and £40m. This was revealed at a debate on London’s transport at the Labour Party conference in Brighton.Associated Link :
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28/9/2009
Subject: Scottish Government Announces Schools on Building Programme
Description: 14 Secondary Schools to Get £1.25bn Investment
The Scottish Government has announced which secondary schools are to benefit from a £1.25bn building programme to repair crumbling schools and provide top class accommodation. The government and COSLA will now drive forward the process of agreeing the first set of primary schools to benefit from investment, with an announcement expected before the end of the year. Every local authority local authority area across Scotland is expected to benefit from the first phases of the school building programme which sees £800 million of funding from the Scottish Government and £450 million from local councils.Associated Link :
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25/9/2009
Subject: Biggest-ever PFI Scheme Approved
Description: Defence Training Review Contract Will Go Ahead
Vale of Glamorgan Council has finally approved plans for a £13bn military training academy in south Wales, and building work is expected to start at the former air base in St. Athan late next year. The scheme will be funded under the biggest-ever PFI deal. The proposed Defence Technical College (DTC) will provide specialist non-combat training for all three services on a 1,000-acre site, with up to 3,000 students present at a time. The Metrix Consortium, which is led by Qinetiq, the Ministry of Defence’s former research agency, was named as preferred bidder for the contract in 2007.Associated Link :
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25/9/2009
Subject: Interserve Awarded £20m Sellafield Contract
Description: Modular Evaporator Contract
Interserve has announced in a press release that it has been awarded a £20m Nuclear Module Construction Contract by Costain Oil & Gas Process at Sellafield. The contract is for the construction of 14 modules, which, when put together will form a large evaporator plant, known as Evaporator D. This will be the largest contract in the UK to use the modular technique. The modules will be built at Ellesmere Port and transported to Sellafield by sea and installed into concrete cells. The largest of the modules will weigh about 500 tonnes.Associated Link :
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22/9/2009
Subject: Iberdrola, GDF Suez, and SSE Express Consortium Interested in UK NDA Sellafield Site
Description: Consortium Wants to Build UK Reactors by 2020
A consortium of Iberdrola SA, GDF Suez and Scottish and Southern Energy PLC has filed an expression of interest in buying land suitable for new nuclear power plants adjacent to the nuclear site at Sellafield. Earlier this year, the consortium withdrew from the U.K. Nuclear Decommissioning Authority's online auction for three plots of land suitable for new nuclear, but said then it was still interested in other opportunities. In April, GDF Suez said that it intended to work with its partners to build one or two nuclear power reactors in the U.K. by 2020.Associated Link :
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22/9/2009
Subject: Dublin Mega Scheme Receives Planning Permission
Description: Boost to Construction Industry
Development company Treasury Holdings has confirmed it has received planning permission for the massive scheme in Ballymun town centre on the north side of Dublin. The Spring Cross project will include 360 apartments, 60,000 squared metres of shops, 35,000 squared metres of offices and 11,000 squared metres of other buildings including cinemas, bowling alleys, a public library and restaurants. Developers have pledged that the three-year construction phase will generate 2,000 jobs while a further 8,500 people will secure employment after completion.Associated Link :
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22/9/2009
Subject: OFT Fines 103 Firms £130m
Description: Companies Found Guilty of Collusion on Tenders
The Office of Fair Trading has fined 103 contractors £130 for anti-competitive bid rigging on 199 tenders from 2000 to 2006. Most of the fines are related to cover pricing where one or more tenderers obtained an artificially high price from a competitor. This distorts the tender process and squeezes out potentially cheaper bidders, and meant that the lowest bidder had no real competition. As a result, the client may have unwittingly paid a higher price.
There were also a number of instances where successful bidders paid their unsuccessful competitors compensation payments on false invoices.
The Local Government Association is calling on the contractors involved to apologise and return the money.Associated Link :
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22/9/2009
Subject: North Yorks Energy Plant Wins £1.7m WRAP Funding
Description: Additional Money Pledged from Future Energy Yorkshire
The £20 million anaerobic digestion plant, which will convert 165,000 tonnes of food waste which would otherwise have headed to landfill sites to electricity has been given a £1.7m grant from the UK Waste and Resources Action Programme (WRAP) through its Organics Capital Grant Fund. The first