The Joint Contracts Tribunal (JCT) yesterday launched its eagerly anticipated 2024 Edition of Contracts with the initial release of the new Design and Build (DB) Contract.
JCT 2024 contracts will include the following changes:
- Modernisation: this will include the adoption of gender-neutral language, the ability to send notices electronically and to execute by electronic signature.
- Relevant Events: existing Relevant Events have been expanded on and new Relevant Events have been added to cover delays caused by unanticipated contamination and asbestos, unexploded bombs and the unavailability of labour and materials.
- Relevant Matters: existing Relevant Matters have been expanded to include Relevant Matters relating to the UK government’s exercise of its statutory powers, epidemics and unanticipated contamination, asbestos and unexploded bombs.
- Payment due after termination: a new clause relating to payment due after termination has been added.
- Disputes: parties now have the option to choose a body or appointer to resolve disputes that is not listed in the pre-populated list. The requirement for good faith negotiations under Supplemental Provision 10 has also become mandatory.
- Legislative changes: this will include updates to Part 2A of the Building Regulations, termination accounting and payment provisions to reflect the Construction Act 1996 and new insolvency grounds to reflect the Corporate Insolvency and Governance Act 2020. The Design and Build Contracts will also take into account the Building Safety Act 2022.
- Future proofing: this will include changes to reflect the objectives of the Construction Playbook and, the incorporation into the main document of previously optional supplemental provisions relating to Collaborative Working and Sustainable Development and Environmental Considerations.
- A new contract family: JCT Target Cost Contract (TCC).
Key contact
If you have any queries please contact Helen Andrews in Deloitte Legal's real estate construction team.
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