Construction contracts need to be carefully drafted and managed to avoid exposing your organisation to severe financial penalties and turning a potentially profitable project into a loss-maker. In order to be profitable, a sound contract is vital and risk factors must be eliminated where possible.
This training seminar has been designed to equip you with the skills required for the effective management of construction contracts. You will gain a thorough understanding of the most recent legal issues surrounding construction contracts and acquire the know-how to protect your organisation from costly contractual disputes. This course covers the Construction Contracts Act which affects everyone who makes claims or payments on building work in NZ, and includes up-to-date revisions of the Act and associated construction contract laws.
KEY LEARNING OBJECTIVES
- Learn to effectively document construction contract negotiations to save time later on
- Eliminate problems up front by using the right language and procedures in your contracts
- Examine the merits of the various types of construction contracts
- Gain a deeper understanding of the Construction Contracts Act including payment schedule options
- Avoid common contractual pitfalls
- Understand the small print in construction contracts
- Ascertain when to terminate a contract and when to seek legal help
WHO SHOULD ATTEND
These courses will benefit anyone who is involved with contract management in the construction industry or whose daily work is governed by the laws and regulations of the construction industry including;
- Contract Managers
- Construction Managers
- Project Managers
- Quantity surveyors
- Site Managers
- Private Owners & Developers
- In-house legal teams
- Government Agencies and Public Owners
Drafting a legally effective construction contract
- What essential ingredients constitute a construction contract?
- Analysis of the principles underlying binding construction contracts
- Offer, acceptance and consideration
- Balancing legal necessities against commercial realities
- Structure of effective contracts
- Recitals, obligations and covenants
- Insurance and warranties
- Specific provisions
- Boilerplate clauses
- What formalities are required to make the contract legally binding?
Practical exercise: Drafting a construction contract
What to watch for when drafting a construction contract
- Terms to avoid or include
- Mistakes commonly made in forming contracts
- Standard obligations of the contractor with regard to workmanship and materials
- The design and build relationship
- Performance bonds, retention and security
Practical exercise: Examples of mistakes and correcting them
Standards used in construction contracts
- Common construction Standards used inNew Zealand
- Requirements of the Building Code and other Standards
- Recent revisions of Standards NZ contract Standards including NZS 3910:2003
- Best practice methods for drafting and reviewing contracts based on these Standards
Examining the Construction Contracts Act
- Types of construction work which is covered by the Act
- Examining the practical implications of the Act
- An overview of various processes that will be impacted by the Act
- The impact on the tendering process
Changes and revisions to the Act and related laws
- New legislation and provisions to the Act
- Amendment bills and discussion documents
- How these changes affect your construction contracts and business processes
Case Law – current examples of construction law disputes
How to read and understand construction contracts
- What clauses should you look out for in pre-printed contracts?
- Identifying common danger areas in construction contracts
- Foreseeing problems before they arise
- Pinpointing criteria that may lead to a breach of a construction contract
- Legal jargon explained: What are the terms that you are likely to come across?
Determining which type of construction contract is best suited to your project needs
- Analysis of the different types of construction contracts used inNew Zealand
- Examining the merits and demerits of each as experienced by the principal and the contractor
- Choosing the best contract type for your project based on your project objectives
- Fitting the contract type to your business strategy
Managing construction contracts to prevent disputes
- How to avoid common administrative problems in existing contracts
- Understanding the remedies available in the event of a dispute
- Making use of dispute management and resolution options
- Knowing when and how to terminate a construction contract
- Dealing effectively with lawyers and the legal system
Preparing for mediation
- Preparing a client's building case for mediation
- Who should attend the mediation?
- Assessing the role of experts in the mediation
- What documentation should be used?
Navigating the tendering process
- Procurement models for the construction industry
- What legal obligations do you undertake when submitting a tender?
- Getting the most out of the tendering process
- Communicating your business objectives
- Determining how to structure your tender
- Innovative approaches
- Managing risk and cost
Stephen Price, Partner, Minter Ellison Rudd Watts
LLB University of Auckland, 1995
BCom University of Auckland, 1995
Stephen is a Partner and an experienced construction lawyer who leads Minter Ellison Rudd Watts' Construction Division.
Stephen specialises in providing advice in all aspects of construction and commercial property issues for both commercial and residential matters, from negotiation and administration through to dispute resolution. He also advises clients on building and construction contracts, leases, property, general commercial and Fair Trading Act matters.
Stephen also appears in the District and High Courts, the Court of Appeal and the Supreme Court. He is also very experienced in arbitrations and mediations, as well as adjudications and enforcement of payment claims under the Construction Contracts Act 2002. Stephen recently presented the Auckland District Law Society seminar on the Construction Contracts Act.
Sorry, this event currently has no dates scheduled.