School Event

Comparing Construction Contracts

This two day course compares the essential clauses in four construction contracts as prescribed by the CIDB.

 

1.       NEC3 

The NEC3 is a family of contracts which focuses on effective project management. The contract is designed to be as flexible as possible and is written in clear and simple language to make it easier to understand. This is especially helpful to those not used to formal contracts or whose first language is not English. 

 

Perhaps the most important characteristic of the NEC3 is the stimulus to good management. Every procedure has been designed so that its implementation should contribute to good management of the work. 

 

2.       JBCC

The JBCC Principal Building Agreement has been used almost exclusively in the building industry for projects in the private sector. The State took the policy decision that it too would use these agreements, subject to appropriate modification. These modifications were incorporated in the March 2005 edition of the JBCC Principal Building Agreement.

 

The 6.1 Edition was recently published in March 2014.

 

3.       FIDIC

With the 1999 contracts FIDIC has introduced a Construction Contract suitable for use in building works, engineering works and small works projects. These colour-coded contracts have also contributed a focused Design & Build/ Turnkey contract.

 

All books are intended to be flexible, recognizing the wide variety of users’ requirements; however, selecting the appropriate book is critical to the success of a project.  

 

4.       GCC

The GCC 2015 contract was released late in 2015 and the main objective is to set out fair, equitable, efficient, economic and transparent contract administrative procedures; and the allocation of risks.  The GCC complies fully with all the Construction Industry Development Board (CIDB) requirements for a form of contract.  GCC is for the procurement of engineering and construction works.

 

Course Outline

 

The course is separated into nine lessons covering the similarities and differences in the NEC3, JBCC, FIDIC and GCC 2015 contracts documents.

 

1.       The four contract documents and their distinguishing features

·         Language and Drafting

·         Structure

·         Risk

·         Options 

2.       Structure

This lesson will cover the structure of the four contract documents.

3.       Parties and Role Players

·         Parties to the Contract

·         Duties and Obligations of the Employers

·         The Contractor’s Duties and Obligations

·         Representatives

4.       Subcontractors

·         Subcontracting in the Built Environment

·         Domestic, Nominated and Selected Subcontractors

·         Subcontracting under each of the four contract documents

5.       Time and Change Management

·         Programme and Sequence

·         Commencement and Completion

·         Early Warnings and Notices

·         The Float

6.       Variations

·         Variations and Pricing

·         FIDIC – the right to Vary and Value Engineering

7.       Claims

·         Extension of Time Claims

·         Time Barring

·         Compensation Events

·         The Claims Procedure

 

8.       Suspension and Termination

·         Suspension

·         Termination

 

9.       Dispute resolution

·         Overview of Traditional Dispute Resolution Methodologies

·         The Dispute Resolution Procedure

·         Adjudication as a means of dispute resolution

 

Information will be conveyed by way of case studies, practical examples and general discussions. Delegates will be given the opportunity to work with the standard contracts, to analyze key clauses and to discuss problem areas.

Dates and Times:
  • Wed 21 June 2017  08:30 to 16:30
  • Thu 22 June 2017  08:30 to 16:30
Type: Course
Venue: CESA Training Centre, Johannesburg , Paulshof
Fee: R 6 631.58 excl. VAT
R 7 560.00 incl. VAT
R500.00 discount incl. VAT for CESA members
CESA Validation Num: CESA-879-06/2019
CPD Points: 2
Coordinator: Blessings Banda
Provider: Induna Training Services (Pty) Ltd
Presenter: Lydia Caroll