JCT

JCT selecting the right contract

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• published: 27 Jun 2014
• views: 5176

The Joint Contracts Tribunal provides suites of standard forms for procurement processes and Main contracts in construction; the 2011 edition is the most current. JCT contracts are the most widely used in the UK construction industry. The procurement process needs clients and contractors to be aware of their roles and obligations, so that they use the right standard forms and contracts to mitigate risks for all involved. The JCT suite recognises three procurement processes; Traditional or conventional, Design and Build and Management. Traditional is where the design and construction elements are provided sequentially, by different organisations. Design and build procurements, have a single main contractor appointed to deliver both elements. In Management procurement the main contractor is paid a fee for defining and managing the construction process. The choice of procurement process will take account of a range of factors such as whether the project is a new build or refurbishment, or if it needs specialist construction skills. There are eight JCT Main contracts; Lump Sum, Measurement, Cost reimbursement or cost plus, Design and Build, Management Contract, Partnering Contract, a Pre-Construction Services Agreement, and a Consultancy Agreement. There are also variants to the eight Main contracts. The JCT has recognised the potential complexity of this variety of options, and published a flowchart to help clients decide which contract is the best fit for them. A JCT contract and the relevant suite of standard forms are consistent documents. If clients or even contractors introduce bespoke amendments to the forms then the balance of risks, the integrity and even the legality of the contract may be compromised. This video is produced independently of the JCT. For further details on please visit (http://www.jctltd.co.uk). © JCT is copyright of The Joint Contracts Tribunal Limited.