Working for equitable contracts and fair payment terms

Fair Payment Terms for Specialist Contractors!

Fair Payment Terms for Specialist Contractors!

Published 21 September 2016

Referring to the Dunne Group collapse, SNP MP Martyn Day, according to the Construction Enquirer, has asked for a “… ministerial statement or debate in Government time on what steps the Government is taking to ensure better payment standards for contractors”. Well, we at the Confederation of Construction Specialists can think of a few steps that should be immediately taken to ensure better payment standards for specialist contractors:

  • Automatic compensation (at a punitive rate) for any late payment receipt (beyond agreed terms).
  • Automatic entitlement to payment on scheduled due dates (unless a notified defect in the Specialist’s Work remains outstanding) – no requirement for a further application or invoice etc., with automatic punitive interest rate for failure to make payment when due.
  • Main contractor terms, between Employer and Main Contractor, should be passed down un- amended to Specialist Contractors by default.

We wait to see if the Government will take any decisive action. However, best assumption is that the Government will use the same old tired line that it is reluctant to interfere too much in contractual relationships.

For over 30 years the Confederation of Construction Specialists has been supporting construction specialist companies. By providing contract training courses, professional advice and contractual guidance, the Confederation of Construction Specialists enables specialist companies to optimise the ways in which they operate contractual arrangements when dealing with main contractors or clients.

Gerald Kelly
General Manager – Confederation of Construction Specialists

Terms of application

  1. We/I hereby apply for Associate Membership of the Confederation of Construction Specialists.
  2. We/I understand that Associate Membership does not confer voting rights under the Confederation’s constitution.
  3. We/I understand that when the Confederation refers a member company to an Associate, any advice or help given is under the Associate’s own PI Insurance.
  4. We/I agree that this application will not be approved until the Management Committee has been granted an opportunity to comment on the application.
  5. We/I undertake to fully comply with and be bound by the Constitution and Code of Practice on admission to membership of the Confederation.
  6. We/I have understand that notice of intended resignation from membership must be provided, in writing, to the Confederation’s administrative office at least two months in advance of the membership renewal date.
  7. We/I have noted that as an Associate Member we/I will pay the annual subscription of £270 + VAT.

Terms of application

  1. We/I hereby apply for Contractor Membership of the Confederation of Construction Specialists.
  2. We/I understand that Contractor Membership confers voting rights under the Confederation’s constitution.
  3. We/I understand that when the Confederation refers a member company to an Associate, any advice or help given is under the Associate’s own PI Insurance.
  4. We/I agree that this application will not be approved until the Management Committee has been granted an opportunity to comment on the application.
  5. We/I undertake to fully comply with and be bound by the Constitution and Code of Practice on admission to membership of the Confederation.
  6. We/I have understand that notice of intended resignation from membership must be provided, in writing, to the Confederation’s administrative office at least two months in advance of the membership renewal date.
  7. We/I have noted that as a Contractor Member we/I will pay the annual subscription according to the turnover bands shown below. (Select one.)