Out-Law News 2 min. read
15 Jul 2024, 11:29 am
The Joint Contracts Tribunal (JCT) has published a new suite of contracts for small to medium-sized construction projects in the UK.
The 2024 editions of the JCT’s Intermediate Building Contract suite include many of the changes made to the 2024 'Design and Build' Contract released in April and are intended to reflect the latest industry practices and legislation.
In the new contracts, collaborative working drafting - which was previously optional - is now a mandatory article. There are also new grounds for claiming time and - if selected as an option by the parties - money for epidemics and changes in law, as well as provisions for termination payments and damages payable after termination.
In addition, the new contracts include provisions aimed at improving sustainability, and provisions to cover legislative changes such as Part 2A of the Building Regulations 2010 and the Corporate Insolvency and Governance Act 2020.
The Intermediate Building Contract with contractor's design, known as the ICD, has new design liability clauses which set out the level of skill and care required in relation to the contractor’s designed portion’ and confirms that the contractor will not be subject to a ‘fitness for purpose’ duty.
One feature of the JCT DB Contract that has not been included in the Intermediate suite of contracts is the clause placing a certain level of site condition risk onto employers. The 2024 update to the DB form expanded the clause on antiquities to include relief for unforeseen contamination, asbestos and unexploded ordnance.
James Ladner, a construction law expert at Pinsent Masons, said the JCT’s decision to not extend site condition-related relief provisions to the Intermediate suite of contracts was in line with the previous edition of the Intermediate contracts.
“Contractors might want to argue that JCT should have gone further regarding site conditions, but the JCT approach is logical against the previous 2016 contracts. Parties can adjust the site condition risk by amendment as required,” Ladner said.
Michael Allan, a construction law expert at Pinsent Masons, said: “There are no major surprises in the changes to the Intermediate forms of contract. We are now clear on the approach that JCT are taking.”
“It will be good to have the set of Standard Building Contracts when they are released so that we then have the most popular contracts of the JCT family all in 2024 form.”
A publication date for the 2024 version of the suite of Standard Building Contracts has not yet been announced.
Read more of our series on the JCT 2024 updates: