All posts by James

REUTERS | Zohra Bensemra

Plautus:

“Let us celebrate the occasion with wine and sweet words.”

How time flies. This month, Practical Law Construction celebrated its sixth birthday. It doesn’t seem like five minutes since we launched the service but, since then, we have covered all of the key developments in the construction industry, with an eye on the practical implications. As we don’t have a crystal ball, it’s hard to predict what will happen in the coming months and years but, regardless of what the government or industry throws at us, we will be here to guide you.

The blogs have been one of our key features since launch, with almost 1,000 posts published in the last six years. This month saw revamped blog pages, with new author and company pages and striking imagery to accompany our contributors’ views: Continue reading

REUTERS | Beawiharta

This post is yet another in my (not so) occasional series about expert evidence and expert witnesses. It could be called, “Is it time for some experts to throw in the towel?”

Last time I looked at experts, I said that Leggatt J’s judgment in Hirtenstein v Hill Dickinson was one to read if ever you wanted to see how not to be an expert witness. A similar thing could be said about Weatherford Global Products v Hydropath Holdings Ltd and others, where Akenhead J doesn’t pull any punches. Continue reading

REUTERS | Paulo Whitaker

Summer is swiftly drawing to a close, but while many of us have been on our holidays, the construction industry appears to have been running at full-bore throughout the summer. Although there was a minor stagnation in July, there is still a significantly greater volume of work than compared to five years ago, and labour shortages are clearly a problem. For example, I was speaking to a sub-contractor recently who is struggling to get labour and has seen his labour rates increase by over 15% in the last year, and yet he is still winning work.

Continue reading

REUTERS | Eduardo Munoz

Regular users of the NEC3 ECC will be familiar with its dispute resolution provisions set out in Options W1 and W2, used depending on whether the contract is a “construction contract” and the Construction Act 1996 applies (W2), or it isn’t and it doesn’t (W1). Both Options provide for disputes to be referred to adjudication and include similar prescriptive time limits for when things have to be done by. They also both provide for the giving of a notice of dissatisfaction in the event that one party is unhappy with the adjudicator’s decision.

Since none of this is new stuff, I was rather surprised to see the arguments advanced in Fermanagh District Council v Gibson (Banbridge) Ltd, which reached the Court of Appeal in Northern Ireland. Continue reading

REUTERS | Issei Kato

Outside of renovating a kitchen, in construction circles we usually talk about kitchen sinks in the context of a claim where one of the parties has thrown everything in to it, the proverbial kitchen sink claim. In my experience, kitchen sink claims often crop up in adjudication, featuring in the law reports when the adjudicator’s decision is being enforced and one of the parties suggests the adjudicator breached the rules of natural justice in some way by dealing with it.

I therefore had a wry smile when I saw Leggatt J in the Commercial Court recently refer to a claim that included a “vast array of fittings and accoutrements” which were “palpably unjustifiable”, including the kitchen sink. It was one of the many items that had been included on a spreadsheet of repair costs prepared by the claimant’s engineering expert. I have Michael Mendelblat to thank for drawing my attention to this one. Continue reading

REUTERS | Mike Hutchings

This post looks at the latest guidance from the Civil Justice Council, Guidance for the instruction of experts in civil claims 2014, which was published last month and takes effect this autumn. In contrast to Surveyors acting as expert witnesses, which I discussed last time and which is aimed at RICS members and applies to any form of tribunal, the CJC’s guidance applies to an expert of any discipline who is instructed to act in court proceedings. It reflects the April 2013 Jackson reforms and replaces the previous version, which is currently annexed to PD35. Continue reading

REUTERS | Lisi Niesner

When I read Lord Malcolm’s judgment in Bouygues E&S Contracting UK Ltd v Vital Energi Utilities Ltd, I was reminded of the TV game show, Supermarket Sweep. For those unfamiliar with Supermarket Sweep, as far as I can remember (with a little help from Wikipedia) the premise was that contestants played games to accumulate time, which they then used to fill their shopping trolley with goods by running around a supermarket. The one with the most valuable trolley at the end won the prize.

When you read Lord Malcolm’s judgment in Bouygues v Vital, you will see why I drew the supermarket trolley analogy. Continue reading

REUTERS | John Kolesidis

Consequential loss exclusion clauses are very common in commercial contracts, especially in those relating to construction and energy projects. They usually take a similar form to the following, which is from clause 17.6 of the FIDIC Red Book:

“Neither Party shall be liable to the other Party for loss of use of any Works, loss of profit, loss of any contract or for any indirect or consequential loss or damage which may be suffered by the other Party in connection with the Contract.”

The key thing to remember about consequential loss is that it doesn’t mean what you think it means. Continue reading

REUTERS | Mike Blake

John Steinbeck, Travels with Charley: In Search of America:

“What good is the warmth of summer, without the cold of winter to give it sweetness.”

Just like June, July has continued to be hot and sunny and to offer us a veritable feast of sport, with the World Cup finals (and Germany as the ultimate victors), Wimbledon, international cricket and the start of the Commonwealth Games in Glasgow. If that hasn’t been enough, it is only a couple of weeks before the start of the football season and the highs and lows that brings to many each year!

If you’ve had time away from the many sporting events, you may have noticed two major events in the legal world. If not, to recap:

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