Contractors gain from bond changes

Article Abstract:

International bonds and guarantees are not standard, not tied to the contract and can be called by the client whether or not the contractor has defaulted. The Uniform Rules for Demand Guarantees (No 458 May 1992) by the International Chamber of Commerce imposes a duty on the client to accompany the demand with a written statement giving details of the contractor's default. The International Bar Association has published the Illustrative Forms of Performance Guarantee (May 1992) which allows a call to be enforced by the client if one of 3 conditions is fulfilled.

International aspects, Suretyship and guaranty, Guarantees, Sureties

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Proximity debate touches architect

Article Abstract:

Architects risk being held responsible for careless certificates issued to contractors if the employer has gone bankrupt. The case of Pacific Associates v Baxter seems to disprove this but it occurred in different circumstances. Later cases have emphasised the relationship between architect and contractor outside their contracts with the employer. If the relationship is close and the employer no longer exists, the contractor could claim against the architect for errors made in certificates.

author: Buingham, Tony
Remedies, Architects, Malpractice, Contractors

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Heading for the hurdles

Article Abstract:

The use of conditional-fee agreements in the employment of solicitors in construction contract disputes is discussed. The provisions of new rules on such agreements are explained and the drawbacks for solicitors and clients examined.

author: Holloway, Julian
Dispute resolution (Law), Solicitors, Solicitors' fees

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subjects list: Construction industry, Laws, regulations and rules
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