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Confederation Comment - Retention Madness!

 

 

 

Retention Madness!

December 2017

 

The Department for Business, Energy & Industrial Strategy (BEIS) have reported in their ‘RETENTION'S IN THE CONSTRUCTION INDUSTRY BEIS Research Paper 17’ that £700 million worth of cash retention has been lost in construction over a three-year period because of insolvencies. Significantly, 44% of surveyed contractors had experienced retentions being withheld in the last three years because of upstream insolvencies.

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Associate Member Article

 

 

 

Payment Provisions - Let the payer be aware!

November 2017

Firstly, a brief recap.  The Housing Grant Construction and Regeneration Act of 1996 (the Construction Act) introduced into all construction contracts for work in the United Kingdom, specific payment provisions.  There were only limited exceptions principally contracts relating to residential occupiers.  There were two particular provisions.

1.1   Section 110(i)(a) provided that every construction should provide an adequate mechanism for determining when payments became due and Section 110(ii) obliged a paying party to give notice no later than 5 days after the date when a sum became due specifying the amount to be paid and the basis upon which it was to be calculated.

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Training News - Arden University backed Dispute Avoidance programme

 

 

Training News – Congratulations to Jennifer Armstrong!

Published September 2017

 

Following a pilot programme, we are really pleased to announce that Jennifer Armstrong is the first recipient of the Arden University backed Level 4 Construction Contractual Dispute Avoidance Programme certificate.

 

The programme has six modules which instils candidates with the knowledge and confidence to rigorously interrogate candidates so that contract disputes can be avoided.

 

Course modules: Introduction to Contracts,  Supervising and Managing Specialist Construction Work, Obtaining Payment, An Alternative Form of Contract, Handling Claims & Disputes and Specialist Subcontract Management.

 

Programme Leaflet

 

Confederation Comment -Don’t give an excuse not to pay – understand and use your construction contracts

 

 

Don’t give an excuse not to pay – understand and use your construction contracts

August 2017 

Yet another survey that identifies that subcontractors are being poorly treated and are suffering with late and reduced payments.  

The latest Construction News survey; ‘Late Payment: The state of the construction Industry’ concluded that respondents to the survey indicated that 25% of payments are not made on time with 40% of respondents stating that their payment terms exceeded 40 days. In addition, only 55% of respondents from tier one contractors indicated that they pay in accordance with their contractual terms, with 25% of Main Contractors and 20% of subcontractors’ respondents indicating that contractual disagreements affect prompt payment.

…Read more

Associate Member Article

 

 

 

Changes in employment law expected to tighten up on labour only subcontractors, zero hours contracts and those working in the 'Gig' Economy

Published July 2017 

I recall the first case of worker status crossing my desk in November 2011, days after I had joined THSP as Head of Employment Law from my role as HR and Corporate Services Director at a large construction company. The case in question related to a ‘self-employed’ contracts manager. You may recall that the industry had a slowdown in late 2011 and, like many other construction companies, one of my clients needed to restructure its management to deal with a reduction in workload.

 

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New Construction Contractual Dispute Avoidance qualification

 

  

 

 

 

New Construction Contractual Dispute Avoidance qualification

June 2017 

 

We are really excited to announce that the Confederation has been collaborating with ARDEN University to develop a Construction Contractual Dispute Avoidance qualification. The qualification and course is now developed and we are now registering interest for a course later this year.

 

The course is made up of six units:

Introduction to Contracts, Supervising and Managing Specialist Construction Work, Obtaining Payment, An Alternative Form Contract, Handling Claims and Disputes, and Specialist Subcontract Management.

 

The course is set at Level 4, is thorough and substantial and is designed to provide a broad appeal to all construction staff who are involved with contracts. The course will give an in-depth understanding of contracts and the knowledge and confidence to use them to your company's advantage. Link to Leaflet

 

To register interest, contact:

Katy Barker (Membership and Training Co-ordinator)

This email address is being protected from spambots. You need JavaScript enabled to view it. 

Tel: 01252 624763

Associate Member Article

 

 

 

The Personal Guarantee Dilemma: Should a Director Succumb to a Personal Guarantee?

Published June 2017 

There are two fundamental principles in company law. First, every company has its own legal identity, which is not the same as the identities of its shareholders and directors. Secondly, in the case of limited companies, which take up the vast majority of companies in England, the liability of shareholders is limited: shareholders are liable to pay for their shares, but they are not liable for the company's debts.  

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Associate Member Article

 

 

 

 

Payment of Head Office Overheads in a Loss and Expense Situation

Published May 2017 

Loss and expense is a means by which a contract can cater for payment of monetary damages.  Where a contract permits a claim for loss and expense, the contract administrator or architect or engineer is normally authorised to award money in that respect.  Without such authority, payment of these monetary damages would only be made with the approval of the employer or following an award of court or of an arbitrator (or through an adjudicator’s decision).

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AGM & Luncheon

 

 

RAF Club|128 Piccadilly|Mayfair|London|W1J 7PY 

 

AGM & Luncheon September 29th, 2017

We are pleased to announce that we are holding the 2017 AGM and Luncheon on September 29th at the prestigious RAF Club in Mayfair London.

As the event is on a Friday, enjoy a long weekend in London; visit the theatre; see the sights. Why not bring the family too: all are welcome at the luncheon.

Contact Katy and reserve a place today!

This email address is being protected from spambots. You need JavaScript enabled to view it.

Reservation Form

luncheon Menu

Tel: 01252 624763

Confederation Comment - PQQs - Money Making Scam?

 

 

 

PQQs - Money Making Scam?

Published 21st April 2017 

Is it not time that the Pre – Qualification money making scam is ended?

Not only do specialist contractors have to deal with late payments, reduced margins and not getting fully paid, they are forced to participate in a pre-qualification process which is incredibly time consuming, exorbitantly costly and completely unnecessary. The process thrives on duplication and is required by Main Contractors to keep specialist contractors on their Approved Contractor lists. So, why don’t Main Contractors get together and develop forms/processes that are acceptable to all? Sounds simple, well yes, it is, if there was a will to do it. Of course, the more intuitive question would be, will Main Contractors willingly cease this money-making enterprise? And the predictable answer is, no they won’t!

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