Construction Law

Legal issues, news, and regulations concerning the construction industry

1
Take Care When Drafting Definitions of “Practical Completion”
2
FPSO Europe Congress 2019
3
“If it isn’t broken…”: A practical guide to the effective use of standard forms of contract
4
Pay First, Ask Questions Later: Court of Appeal Ruling on “Smash and Grab” Adjudications in S&T (UK) Limited vs. Grove Developments Limited
5
Don’t Dump Stuff in the River
6
Congratulations to our Doha Construction Team – “Property & Construction Team of the Year”
7
Collateral Warranties: A Reminder of Their Importance
8
Presentation Available: Mega Project Management
9
New Planning Framework for the Western Sydney Aerotropolis
10
Court Places Assets in the Freezer

Take Care When Drafting Definitions of “Practical Completion”

By Kevin Greene and Daniel R. Cartmell, K&L Gates, London

The December 2018 decision in University of Warwick v Balfour Beatty Group Ltd [2018] EWHC 3230 (TCC) provides valuable insight into how courts could interpret “Practical Completion” – a central concept in most construction contracts, but one that often lacks clarity and/or definitional precision.

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FPSO Europe Congress 2019

K&L Gates was delighted to participate in the FPSO Europe Congress 2019 in London 19-20 February, 2019.  K&L Gates partner Jeremy Farr chaired roundtable discussions on developing strategies for successful construction or conversion projects and spoke in plenary on the lessons the industry can learn to protect budgets based on his many years’ of experience of FPSO construction/conversion disputes.

Click here to access Jeremy’s presentation, “Experiences of FPSO/Construction Disputes: Learning the Lessons to Protect Budgets”

Click here to see a sneak peek into into Day 1 of the conference!

“If it isn’t broken…”: A practical guide to the effective use of standard forms of contract

By Kiran Giblin and Inga Hall

Standard form building contracts play an important role in many construction and engineering projects. There are various advantages to using standard form contracts (as further detailed below), with a wide array of standard forms available to suit the particular types of parties, works and procurement routes involved in virtually all construction and engineering projects.

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Pay First, Ask Questions Later: Court of Appeal Ruling on “Smash and Grab” Adjudications in S&T (UK) Limited vs. Grove Developments Limited

By Kevin Greene and Saya Lee

In an eagerly awaited judgment, the Court of Appeal upheld the TCC’s judgment in Grove Developments Limited v S&T (UK) Limited, confirming that the employer may adjudicate to establish the “true value of the sum due” in a second adjudication.

Background

In March 2015, Grove Developments Limited (“Grove”) engaged S&T (UK) Limited (“S&T”) to design and build a new hotel at Heathrow Airport under the JCT Design and Build Contract 2011 with amendments, for a contract value of £26.4m. Following a delay of over 5 months, practical completion was achieved in March 2017. The parties subsequently conducted an adjudication to decide if Grove’s pay less notice dated 18 April 2017 was invalid on the basis that it was served late.The adjudicator decided, in S&T’s favour, that the pay less notice was invalid. 

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Don’t Dump Stuff in the River

By David L. Rieser

So, you are managing a major construction site in downtown Chicago. It’s been raining and you have thousands of gallons of silty water which you need to get off site. You can: (a) store it in tanks and then truck it to a waste water treatment facility; (b) discharge it to the local sewer under proper sewer authority; or (c) pump it into the river in full view of thousands of commuters walking over the bridges from the local train stations.

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Congratulations to our Doha Construction Team – “Property & Construction Team of the Year”

K&L Gates is proud to annouce that our Doha-based Construction & Infrastructure team was recently named the “Property & Construction Team of the Year” by the Qatar Business Law Forum. Members of our Doha office are pictured below accepting the award, which was presented on 13 November 2018.

 

Collateral Warranties: A Reminder of Their Importance

By Kevin Greene and Daniel Cartmell

The judgment of O’Farrell J in Swansea Stadium Management Co. Ltd v Swansea City and County Council ([2018] EWHC 2192 (TCC)) provides guidance on collateral warranties and acts as a warning for any potential claimants to be mindful of any limitations of time in which to commence proceedings under them.

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New Planning Framework for the Western Sydney Aerotropolis

Clive Cachia, Kirstie Richards

What has happened?

The NSW Government has played its hand in setting out the priorities for the proposed development of the Western Sydney Aerotropolis by releasing the draft Stage 1 Land Use and Infrastructure Implementation Plan (Draft Stage 1 Plan).

Further to our earlier updates on the development of the Western Sydney Airport (see here and here), the Aerotropolis will serve as Western Sydney’s new economic hub to support the massive public and private investment needed to construct and operate this once in a lifetime infrastructure development.

The Draft Stage 1 Plan provides clarity on the proposed re-zonings and sequencing of development for the Aerotropolis. The NSW Department of Planning and Environment (DP&E) is seeking feedback on the Draft Stage 1 Plan until 2 November 2018. See link for details on how to make a submission on the Draft Stage 1 Plan.

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Court Places Assets in the Freezer

By Sandra Steele and Michael O’Callaghan, K&L Gates, Sydney

The Supreme Court of Western Australia has recently made a freezing order in the matter of Trans Global Projects Pty Ltd (In Liquidation) (TGP) v Duro Felguera Australia Pty Ltd (Duro) [2018] WASC 136.

This decision sheds light on:

  • the factors that the Court will consider in granting a freezing order (i.e. an order whereby the assets of a company are “frozen” so that the company cannot dispose of or deal with those assets)
  • the circumstances in which a Court will issue a freezing order to enforce an arbitral award.

In short, the Court ordered that AUD20 million of Duro’s assets be frozen as Justice Tottle was persuaded that there was a danger that a prospective judgment based on an arbitral award against Duro would be wholly or partly unsatisfied because there was danger that the assets of Duro would be removed from Australia (or disposed of, dealt with or diminished in value). The Court made this determination notwithstanding Duro’s cross claims against TGP.

Read the full alert on K&L Gates HUB.

 

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