INSIGHTS

2017 Suite: Commentary on Clause 02 – The Employer

 27/01/2018

Get in touch

Edward Corbett, Consultant

INSIGHTS

2017 Suite: Commentary on Clause 02 – The Employer

 January 27, 2018

Get in touch

Edward Corbett, Consultant

Clause 2 now has 6 sub-clauses:

Employer’s claims has been removed to Clause 20; and new Sub-Clauses 2.5 [Site Data and Items of Reference] and 2.6 [Employer-Supplied Materials and Employer’s Equipment] have been added.

The obligations to provide possession, access and assistance with permits etc. are essentially the same, as are the consequences of failure to do so.

The main change to Clause 2.4 [Employer’s Financial Arrangements] is that the Employer now sets out his arrangements in the Contract Data. The Contractor can only request evidence of ability to pay if:

  • those arrangements change,
  • there is non-payment, or
  • there are variations in excess of 30% or a single variation over 10%.

Clause 2.5 has gathered Employer’s obligations from Clauses 4.7 (re survey points) and 4.10 (re site data) of the 1999 forms in a worthy effort to place all such obligations in Clause 2.

Clause 2.6 says, rather pointlessly, that if the Employer’s Requirements specify that materials and equipment are to be provided by the Employer, he should provide them. The Contractor is to take responsibility for equipment used.

Please get in touch at edward.corbett@howardkennedy.com with your thoughts or to discuss any concerns.