Construction Foundations Newsletter May 2016

• United Kingdom

• Construction and engineering - Foundations
• Litigation and dispute management

20-05-2016

Welcome to Foundations, our construction and engineering monthly newsletter. Foundations will update you with details of what we think are the top three court cases decided in the previous month, a summary of important legislation changes or proposals, and a paper providing insight and guidance on a particular area of construction law and practice in the UK (UK insight) and internationally (International Insight). We hope you find our newsletter useful and informative.

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The regulation of misconduct in adjudication and arbitration

A paper presented to the Society of Construction Law at a meeting in Cardiff on 25th November 2015

This paper focuses on two aspects of misconduct on the part of lawyers and experts in adjudication and arbitration.  The first part explores the rules in place to control the conduct of lawyers admitted in England & Wales in domestic and international arbitration and statutory adjudication.  It outlines some of the tactics commonly used to intimidate arbiters, considers what sanctions or measures are available to an arbiter, and lastly highlights some case law on point. 

The second part follows the same structure, as applied to experts.  The final part of the paper offers some suggestions for the ways in which the shortcomings of the existing rules might be addressed. 

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Brexit and the implications for UK construction

The forthcoming EU referendum will be one of the most significant decisions the UK public will make in a generation. As has been well publicised in the media, regardless of your political affiliation, it is widely recognised that the outcome of a UK withdrawal from the European Union would have significant implications for the UK, with reverberations likely felt across Europe and potentially further afield.

In this article we briefly examine how a withdrawal from the EU may impact the UK construction sector. We will highlight some of the important considerations that businesses should be considering in the event of a “Brexit”.

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The importance of confining an adjudicator’s jurisdiction

In Stellite Construction Limited v Vascroft Contractors Limited, Carr J in the Technology and Construction Court severed part of an adjudicator’s decision on the basis that the adjudicator had exceeded their jurisdiction.

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Drawing the line on extensions of time

The case of Carillion Construction Limited v Woods Bagot Europe Limited and others concerned sub-contractors’ entitlement to an extension of time under the DOM/2 form of sub-contract.

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No amendment clauses – when contract and conduct conflict

The Court of Appeal has provided guidance and clarity on the previous conflicting case law on the effect of “no amendment” clauses in contracts in the case of Globe Motors Inc v TRW Lucas Varity Electric Steering Limited [2016] EWCA Civ 396.

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The Enterprise Act 2016 and the Concession Contracts Regulations 2016

This month we look at the Enterprise Act 2016, which received Royal Assent on 4 May 2016. The Act will be commenced in stages and has been enacted to help promote the growth of enterprise and small businesses within the UK.

We also outline the Concession Contracts Regulations 2016 (“the Regulations”) which came into force on 18 April this year. 

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Webinar to watch: this month we examine AMD Environmental Ltd v Cumberland Company Ltd [2016] EWHC 285 (TCC). The case serves as a further reminder that the court will seek to enforce adjudicator’s decisions and does not look kindly on attempts by parties to challenge them.

Watch the webinar

Upcoming webinars: Join us on Tuesday 21st June for a short webinar discussing a recent piece of case law and its implications to the construction industry.

To register or for further information, please contact Selina Davies.

The content within Foundations is produced to help you. If you have a particular issue or area of law that you would like us to cover, then email construction@eversheds-sutherland.com and we will endeavour to address it in a subsequent edition of Foundations. Alternatively, complete our readership survey.