Civil Engineering Reference
In-Depth Information
8
Termination, Arbitration,
Adjudication and Completion
Termination is a serious procedure and it presents a number of dangers. Not least
of these is the fact that if you do not follow the contractual termination procedure
exactly, you may be held to be repudiating the contract unlawfully and be liable for
damages to the employer. Notices must be sent in the manner, form and to the
person prescribed. Standard letters are included to cover the situation, but before
actually issuing the notice of termination, you would be prudent to seek expert
advice.
Arbitration is also serious and costly. By the time arbitration is considered, you
should be receiving proper advice on your legal and contractual position, but some
standard letters for seeking concurrence in the appointment of an arbitrator are
included.
Adjudication in construction contracts was introduced by the Housing Grants,
Construction and Regeneration Act 1996 (the Construction Contracts (Northern
Ireland) Order 1997 in Northern Ireland). Some useful letters are included, but it is
impossible to cover all the many complex issues which may arise. Adjudication is
being used for extremely complex disputes, with large amounts at risk, for which
it was never intended. If you are likely to be involved in that kind of dispute or
a dispute which will require legal input, be sure to obtain proper assistance. It
is generally unlikely that the employer will initiate an adjudication against you,
although it does occasionally happen. Usually, you will initiate it.
The remaining letters in this section deal with completion of the Works and the
rectification period.
