Do you need advice or assistance in relation to a JCT contract? Have you been asked to sign a JCT contract, and you are unsure of the effect of its terms or amendments made to it, or how you should put together the documents that accompany it? Or perhaps you have queries as to how the contract operates, such as how to deal with discrepancies or inaccuracies in the documents that make up your contract, or how to make claims for additional time or money.
How we can help
CCC are specialists in construction and we have assisted a great number of parties with their JCT contracts. CCC assists many parties by carrying out contract reviews and providing advice on amendments to JCT contracts, and produces amendments to JCT contracts. We provide training as well as advice and assistance in relation to projects at all stages, from before construction commences until after it has completed.
What is a JCT contract?
A JCT contract is a form produced by the Joint Contracts Tribunal (JCT), which has been producing standard form construction contracts and other documents since 1931. It produces new forms of contract and amendments to existing contracts with input from employers, consultants, contractors, and sub-contractors.
The JCT suite
A JCT contract is not a single contract, but part of a suite of difference contracts designed to be used in different circumstances. The JCT suite includes a large number of different ‘families’ of contract, which reflect the range of procurement methods used in the construction industry, from traditional or conventional procurement, to design and build, management, and integrated team or partnering contracts.
There are also different contracts to reflect the differing scale of projects. For example, at one end of the traditional or conventional procurement route is the Minor Works Building Contract, at the other end is the Standard Building Contract, and the Intermediate Building Contract falls in-between.
Each family of contracts then contains main contracts and sub-contracts, which are drafted to operate in harmony with one another.
What makes up a JCT contract?
JCT contracts comprise Agreements, Recitals, and Particulars which are completed to suit the requirements of a particular project, and the Conditions which accompany them and set out the detailed provisions which regulate the parties’ respective obligations.
Other documents which set out the scope, price and programme need to be agreed between the parties and incorporated.
It is crucial that the parties understand the effects of these documents and their significance. We have helped many parties understand these issues and protect themselves from the problems that they can cause.
For example, the design and build contracts require Employer’s Requirements, which are a statement of what the Employer wants, and Contractor’s Proposals which is an explanation of how the Contractor intends to meet the Employer’s brief.
The JCT design and build contract assumes that there is no divergence between the Employer’s Requirements and the Contractor’s Proposals and provides that, if there is, it should be removed by amending the Employer’s Requirements prior to signature. In practice, that often does not occur, leading to disputes about which document takes precedence. CCC can help navigate these difficult issues.
Common JCT provisions
Many of the JCT contracts contain concepts which are common across the suite, such as:
- Instructions and variations which allow changed or additional work to be carried out
- Errors, discrepancies and divergences in the contract documents
- Design responsibility
- Payment and retention
- Liquidated damages which allow pre-agreed deductions in the event of delay
- Delay and extension of time, which allow additional time to be granted in respect of delaying events
- Loss and expense, which allows for payment in respect of various Relevant Matters
- Defects
- Third party rights and collateral warranties
- Suspension of work
- Insurance
- Termination for the default of either party
The JCT contracts do not deal with all such issues identically however and it is important to understand what the effect of the actual clause in a particular contract is. Our experience allows us to put these clauses and the associated issues into context when assisting parties with their JCT contracts.
Amendments to JCT contracts
In its unamended form, the JCT is a form of contract which treats all parties reasonably.
However, JCT contracts are often amended. Some contracts may contain just a few amendments while for others the amendments may occupy as many pages as the original contract.
Sometimes amendments are made to reflect certain specific features of a project or a contractual arrangement, but the effect of many amendments is to make the contract more favourable to the party that drafted them.
Free initial enquiry
All initial enquiries from new clients are free of charge, so please do not hesitate to contact us by phone, email or using our contact form for a free initial consultation to discuss how we can help you in relation to JCT contracts, whether you are looking to put together a contract for use on an upcoming project, or whether you need advice in relation to an existing project.
