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Sample text

Costs’ would include those incurred as a result of errors, and would not therefore add value to the project. 2) a contractor is reimbursed for estimated ‘expenditure’, not the cost, for the succeeding month, in contrast to the ‘value’ of the work completed in the month against which the application for payment is made. ‘The Contractor shall submit a request for payment to the Project Manager towards the end of each month. The request for payment shall be in the following form: (a) the Contractor’s estimate of the total of expenditure that he will incur and the sums that will be due to him in the month succeeding the month in which the request is made, provided that in the first month the Contractor may submit his estimate for that month at its beginning; (b) the total of the Contractor’s actual expenditure and sums due to him for the month preceding the month in which the request is made; less Contracts 31 (c) any amount previously certified by the Project Manager in respect of the Contractor’s estimated expenditure and charges for the preceding month.

These policies are renewable annually, but with no guarantee of renewal. They provide cover only for claims made in that particular year and not for those arising from negligence in that year which gives rise to a claim in a later year. The Brighton stormwater interception scheme provides one example of a design and build contract. A £20 million, 132000m3 capacity retention tank, 6m internal diameter and more than 5km long, was constructed parallel to the coastal interceptor sewer and up to 35m under the beach in order to comply with the EC Bathing Water Directives and offset flow onto the beaches from short outfalls at times of storm sewage overflows.

First, there are the ICE Design and Construct Conditions of Contract (1992) which more fully acknowledge, than is the case in the ICE 6th Tunnelling contracts and site investigation 16 Edition, the increasing role of the contractor in the design of civil engineering works. Second, notwithstanding the ingrained adversarial nature of British political and legal ‘life’ there is recognition that contractual relations in construction are best conceived and conducted in a non-adversarial spirit. Third, given the current generally unsatisfactory level of pre-contract preparation (for whatever reasons, the lack of time usually being quoted as one reason), the 6th (and 5th) Edition of the ICE Conditions of Contract can then encourage contractual disharmony through a claims scenario and might therefore ultimately be considered as a candidate(s) for abandonment as representing statements of potentially unachievable goals.

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