The document discusses key concepts related to the formation of construction contracts, including tenders, offers, acceptance, letters of intent, and letters of award. It provides examples of each concept and explains essential contract terms that must be agreed upon. Letters of intent and letters of award are described as important documents that provide assurance to contractors but do not legally bind parties until a formal contract is signed. Case law examples are also presented to illustrate how these concepts have been applied.
The Case for Standard Forms of Construction ContractTom Joseph Mukasa
A public lecture presentation on 8 July 2016 by Tom Joseph Mukasa, (sponsored by the Institution of Surveyors of Uganda) at Kyambogo University, Kampala - Uganda.
•What is Contract?
•What is Construction Contract?
•Purpose of Construction Contract
•Contract for Bid and Procurement
•Contract for Pricing Arrangement
•Construction Contract Component
•Contract Document List
•Standard Form of Contract in Malaysia
The Case for Standard Forms of Construction ContractTom Joseph Mukasa
A public lecture presentation on 8 July 2016 by Tom Joseph Mukasa, (sponsored by the Institution of Surveyors of Uganda) at Kyambogo University, Kampala - Uganda.
•What is Contract?
•What is Construction Contract?
•Purpose of Construction Contract
•Contract for Bid and Procurement
•Contract for Pricing Arrangement
•Construction Contract Component
•Contract Document List
•Standard Form of Contract in Malaysia
Contracts and Tenders
When two or more persons have common intention communicated to each other to create same obligation between them there is said to be an agreement. An agreement which is enforceable by law is a Contract.
A Tenders is called upon for executing certain specified work, or supplying specified materials; subjected to certain terms and conditions like rates, time limit, etc. It is an offer in written form: Legally speaking, it is an offer to receive an offer for the work, within the specified financial limits.
Check for more presentations at - www.archistudent.net
10 Essentials For An Effective Construction ContractSarah Fox
An overview of the 10 aspects every contract for a construction works package (however large or small) needs to include to make it an effective tool.
These 10 essentials are the foundation to the 500-Word Contract (TM), developed as a basis for construction contracts in England/Wales. They are also a checklist for your own terms and conditions.
For more information go to www.500words.co.uk or send Sarah an email sarah@500words.co.uk
The International Construction Contract governs the relations between a company (Contractor) and its client (Employer), located in different countries, for the undertaking of a works project. Construction Contract.
This seminar was part of the Bar Council practical construction law series presented by the Construction Law Committee to practitioners. It covers the topic of payments and common issues arising in the construction industry.
BIDDING-TENDER-CONTRACT
TENDERING PROCEDURE – AWARD OF TENDERS
ESSENTIAL ELEMENTS OF CONTRACTS
Types of contracts
MEASUREMENT BOOK
Security deposit
CONTRACT DOCUMENT
Earnest money deposit (EMD)
Qualification of contractors
IMPORTANT CLAUSES IN CONSTRUCTION CONTRACTS
Construction Contracts: Basics of Contracts and Contract AdministrationGerald R. (Jerry) Genge
The CCDC 2 Stipulated Price Contract is the "go to" document for construction contracts. Learn the basic components and roles of eth parties to the contract.
Contracts and Tenders
When two or more persons have common intention communicated to each other to create same obligation between them there is said to be an agreement. An agreement which is enforceable by law is a Contract.
A Tenders is called upon for executing certain specified work, or supplying specified materials; subjected to certain terms and conditions like rates, time limit, etc. It is an offer in written form: Legally speaking, it is an offer to receive an offer for the work, within the specified financial limits.
Check for more presentations at - www.archistudent.net
10 Essentials For An Effective Construction ContractSarah Fox
An overview of the 10 aspects every contract for a construction works package (however large or small) needs to include to make it an effective tool.
These 10 essentials are the foundation to the 500-Word Contract (TM), developed as a basis for construction contracts in England/Wales. They are also a checklist for your own terms and conditions.
For more information go to www.500words.co.uk or send Sarah an email sarah@500words.co.uk
The International Construction Contract governs the relations between a company (Contractor) and its client (Employer), located in different countries, for the undertaking of a works project. Construction Contract.
This seminar was part of the Bar Council practical construction law series presented by the Construction Law Committee to practitioners. It covers the topic of payments and common issues arising in the construction industry.
BIDDING-TENDER-CONTRACT
TENDERING PROCEDURE – AWARD OF TENDERS
ESSENTIAL ELEMENTS OF CONTRACTS
Types of contracts
MEASUREMENT BOOK
Security deposit
CONTRACT DOCUMENT
Earnest money deposit (EMD)
Qualification of contractors
IMPORTANT CLAUSES IN CONSTRUCTION CONTRACTS
Construction Contracts: Basics of Contracts and Contract AdministrationGerald R. (Jerry) Genge
The CCDC 2 Stipulated Price Contract is the "go to" document for construction contracts. Learn the basic components and roles of eth parties to the contract.
Tips for effective administration of a construction contract and for reducing the risk of delay and change orders. Interplay between the contractors, the consultant and an owner.
This presentation includes:
1. What is tender and types of tender?
2. What is contract and types of contracts?
3. Process of inviting tender and awarding contract.
4. Important definitions:- EMD, SD, Bill of quantities, Quotation, etc.
Contract management is the systematic process of creating, administering, and enforcing contracts between two or more parties. It ensures both parties fulfill their obligations as outlined in the agreement and minimizes potential risks.
Contracts provide a legally-enforceable framework for guiding any and every type of business relationship, from employment agreements to orders for parts and supplies. While these agreements are key to guiding business relationships and ventures across all sectors, getting contracts right is especially important within construction, where the ability to complete a build on time, on budget and to code hinges upon all vendor arrangements going as expected. From the builder’s perspective, contracts are also important for preventing scope creep and to reducing the risk of cost overruns they may unexpectedly have to absorb.
Construction management contracts encompass the work and/or materials required for a building project. Typically, they will address:
1)Project/deliverable specifications
2)Labor and material requirements
3)Timelines for completion/delivery
4)Compensation formula and amounts
While construction management agreements will typically include the above, they can be structured differently, with numerous types of contracts that are designed to best meet the needs of all parties under all sorts of different scenarios. Familiarizing yourself with the types of contracts that are typically in play within building projects is an important first step to optimizing all contract-related processes within construction management.
Sharpen existing tools or get a new toolbox? Contemporary cluster initiatives...Orkestra
UIIN Conference, Madrid, 27-29 May 2024
James Wilson, Orkestra and Deusto Business School
Emily Wise, Lund University
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Have you ever wondered how search works while visiting an e-commerce site, internal website, or searching through other types of online resources? Look no further than this informative session on the ways that taxonomies help end-users navigate the internet! Hear from taxonomists and other information professionals who have first-hand experience creating and working with taxonomies that aid in navigation, search, and discovery across a range of disciplines.
This presentation by Morris Kleiner (University of Minnesota), was made during the discussion “Competition and Regulation in Professions and Occupations” held at the Working Party No. 2 on Competition and Regulation on 10 June 2024. More papers and presentations on the topic can be found out at oe.cd/crps.
This presentation was uploaded with the author’s consent.
This presentation, created by Syed Faiz ul Hassan, explores the profound influence of media on public perception and behavior. It delves into the evolution of media from oral traditions to modern digital and social media platforms. Key topics include the role of media in information propagation, socialization, crisis awareness, globalization, and education. The presentation also examines media influence through agenda setting, propaganda, and manipulative techniques used by advertisers and marketers. Furthermore, it highlights the impact of surveillance enabled by media technologies on personal behavior and preferences. Through this comprehensive overview, the presentation aims to shed light on how media shapes collective consciousness and public opinion.
0x01 - Newton's Third Law: Static vs. Dynamic AbusersOWASP Beja
f you offer a service on the web, odds are that someone will abuse it. Be it an API, a SaaS, a PaaS, or even a static website, someone somewhere will try to figure out a way to use it to their own needs. In this talk we'll compare measures that are effective against static attackers and how to battle a dynamic attacker who adapts to your counter-measures.
About the Speaker
===============
Diogo Sousa, Engineering Manager @ Canonical
An opinionated individual with an interest in cryptography and its intersection with secure software development.
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Introducing Acorn Recovery as a Service, a simple, fast, and secure managed disaster recovery (DRaaS) by IP ServerOne. A DR solution that helps restore your IT infra within minutes.
International Workshop on Artificial Intelligence in Software Testing
CL Seminar
1. BACHELOR OF QUANTITY SURVEYING(HONS)
CONSTRUCTION LAW
(LAW 63804)
Jackson Ting Shii Hang 0324326
Koh Wen Qi 0323355
2. B. FORMATION OF CONSTRUCTION CONTRACT
1. Tenders as Offers
2. Qualifications in a Tender Submitted
3. Acceptance of Tender
4. Letter of Intent
5. Essential Terms of Agreement
6. Letter of Award
3. Offers
◈No contractual relationships bounded until the offer is accepted
◈The Client / Builder might be just an invitation to treat
◈The contractual relationship is made when the offer is accepted
◈Once the contract is signed , parties in contract has their rights and obligations
against each other
◈Both parties have to follow the duties or responsibilities stated in the contract
4. Qualifications in a Tender Submitted
◈ Tenderers may consider certain aspect of the design to be unnecessarily
costly or commercially inefficient undue risk
◈ All the required tender documents should be included to be used in the
future
◈Tenderer may seek to qualify the tender by excluding or amending certain
conditions to increase the attractiveness of his tender
I.E
Holland Hannen & Cubitts Ltd v Rural District Council (1964)
5. “
Acceptance
◈Acceptance means accept the offers made by offeror
◈ Usually a period of time will be given called as tender validity period
◈Acceptances is used to indicate that the parties intend to be bound only under a
formal contract when it is prepared and signed
◈ The acceptance of an offer must be unconditional and must be communicated in
order to form a contract which bound two parties with a contractual relationship
6. Letter of Intent
◈By issuing LoI, which means employer intends to award the contract to the
selected contractor.
Intends = Future action/Not yet
◈LoI usually set out the initial terms which allow the work to proceed, provided
both parties agreed on the terms and conditions.
◈Both parties can continue with negotiations on the detailed terms later.
◈In contract law, LoI is non-binding, can’t enforceable.
◈In CIPAA, LoI can be classified as written contract depends on the wording.
7. Letter of Intent
Purpose:
◈In the event of urgency, employer wants the contractor
to commence some preparation works first.
◈LoI provides the contractor with some degree of
assurance to persuade him to commence the mobilization
of resources for the project.
◈Contractor may place orders for materials which requires
long lead time, such as M&E equipments (lift, escalator).
8. Case Law
Turiff Construction Ltd v Regalia
Knitting Mills (1971)
• LoI should be treated as an
expression of a party’s intention
to enter into a contract at a
future date
• LoI can have no binding effect
except in certain express term
• So, how the terms spelled out
is important, it may create
certain legal obligations
between the parties
Monk Construction Ltd v Norwich Union Life
Assurance Society (1992)
• A maximum expenditure of £100k was
inserted in the LoI but in fact the total cost of
the work undertaken was £4m.
• The parties agreed that extra work had been
ordered since the letter of intent was sent.
• It was held that as some of the essential
terms of the contract had not been agreed,
no contract had come into being.
• Therefore the contractor was entitled to his
own payment on the over expenditure..
9. Example of Letter of Intent
◈This simple letter is not a
valid contract, however it is
some form of agreement or
treat it as an instruction.
10. Essential Terms of Agreement
◈In construction contract, an agreement requires the parties, price, time and
description of works (scope of works) as the minimum necessary for a contract to
be workable.
◈Without both parties mutual agreement on the essential terms, the contract is
not workable.
◈Case Law : Lord Blackburn in Rossiter v Miller (1878)
If the essential terms of the agreement remain to be decided afterwards, there is NO
contract.
11. Letter of Award
◈Issued by the employer once both parties have agreed on the principal terms of the
contract.
◈It may be issued although not all terms have been agreed between the parties, eg:
the definitions of milestones within a program, insurance and performance bond.
◈LoA incorporates all the terms and conditions, takes longer time to be prepared.
◈Usually drafted by lawyer/consultant.
◈Usually incorporated as part of the contract document.
◈Once contractor accept and sign LoA, the offer is valid.
12. SCOPE OF
WORKS
(with specifications,
drawings etc)
PARTIES TO THE
CONTRACT
(name, business address)
Typical Contents in the Letter of Award
CONTRACT
SUM
DOCUMENTS
(invitation to tender, tender
submitted and
any addendums)
COMMENCEMENT &
COMPLETION DATE
PERFORMANCE
BOND
INSURANCE
COVERAGE
13. –Parties to the contract
◈ When any dispute arises, only parties to the contract can look for their rights and obligations.
–Scope of works and documents
◈The parties to the contract need to aware of what they offer and what works should be carried out.
–Contract sum
◈Pricing risks may arise due to inflation, so it is important to state clearly whether the price is to be
fixed, re-measured, price adjustment for fluctuation etc.
Importance of the typical contents
14. –Commencement and Completion Date
◈The owner affords the contractor sufficient site possession to enable the works to proceed & the
completion date to ensure that this obligation is discharged on that date.
◈The site possession date and the construction period determine the operation of contractual
mechanisms for timely delivery of the works, including the operation of the LD provisions.
–Performance bond
◈If the works do not proceed by a designated date, the contractor would be deemed to commit a
breach which need compensation.
Importance of the typical contents
17. “
Question 1
In construction industry , we always issue a Letter of
Award to notify the bidder who won the tender.
What is the purpose to issue Letter of Award to the
bidder?
18. “
Answer for Question 1
◈ The letter will typically contain details of the amount of the award, the date
of the award, and when the contract will be signed. A notice to proceed may
also be included detailing the date on which a contractor may begin work.
◈ The aim of the letter is to give the successful bidder reassurance, and to
allow them to begin preparations, whilst refraining from any commitment to
legally binding obligations.
19. “
Question 2
It is common tenderers are always asked to pay
certain amount of money so called tender deposit.
What is the use of this deposit?
20. “
Answer for Question 2
◈ The main objective is to make sure that if the bidder is successful and the
tenderer is ready to award the contract to the bidder, the bidder should not
back out on any pretext.
◈ When the bidder is successful, he is asked to deposit this amount. The main
objective of taking this deposit is to ensure that the bidder supplies the
tendered items as per the terms and conditions of the bidding documents.
◈ The most preffered mode is through Bank Guarantee.
21. “
Question 3
If a letter of intent sent to a contractor only includes
an instruction to carry out works (construct a
building) with no basis for the rates of the materials,
what should the basis for the rates upon payment?
22. “
Answer for Question 3
◈ Where a letter of intent includes only an instruction to undertake work, the
contractor’s financial entitlement of payment should based on quantum
meruit.
◈ This is a payment which the work merits or in other words a fair and
reasonable payment (market price).
◈ This was illustrated in the case of British Steel Corporation v Cleveland
Bridge (1984).
23. “
Question 4
What is the importance of commencement and
completion date in Letter of Award?
24. “
Answer for Question 4
◈ The owner is obliged to afford the contractor sufficient site possession to
enable the works to proceed & the completion date to ensure that this
obligation is discharged on that date and works expected to be done.
◈ The site possession date and the construction period determine the
operation of contractual mechanisms for enforcement of timely delivery of
the works, including the operation of the liquidated damages provisions.