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Aims:

The aim of the module is to develop a broad and analytical understanding of the project management pre-contract administration practices and the legal requirements from project initiation up to construction contract award stage involving contract procurement methods, estimating and tendering, contract documentation and the placing of contracts, and the work of a quantity surveying practice relating to the development of likely construction costs at design development stage.

This module will therefore build on the legal overview and introduction provided in module BCPM0061 Introduction to Law, in order to give you a broad understanding of the law relating to procurement, tendering contract award and contracts including case law, theory and practice, which will be relevant to the potential professional Construction Project Manager.

The module will provide an introduction to the JCT (2016) Standard Form of Building Contract and to the NEC4 Engineering and Construction Contract (2017).

The module will also provide a detailed understanding of the legal framework for Health and Safety comprising EU Directives and UK legislation and case law. It will also explain the role of the HSE and the implications of CDM2015 including the legal roles and activities of the various parties, particularly the Client, Project Manager, Principal Designer and Principal Contractor.

Objectives:

To provide students with knowledge and understanding of:-

• procurement in the construction industry and of the process of tendering construction work and awarding contracts
• project cost management and cost control at the design stage
• EU directives relating to Health and Safety.
• Health and Safety at Work etc. Act 1974, in particular the Health and Safety at Work Act, the Construction, Design & Management Regulations 2015 and other relevant Health and Safety Acts and Regulations
• Contracts of Employment and the impact of the Human Rights Act
• The law relating to contracts
• JCT Standard Form of Building Contract (2016)
• NEC4 Engineering and Construction Contract (2017)
• Unfair Contract Terms Act 1997
• The Freedom of Information Act (2000)

Learning Outcomes:

By the end of the module, students should be able to:-

• Describe contract procurement methods and evaluate their applicability to various project scenarios
• Explain the process of obtaining tenders and the methods of selecting contractors and awarding contracts
• Describe the RIBA Outline Plan of Work and relate it to the Quantity Surveyor’s role in cost planning, cost checking and cost control as the design process develops
• Understand the importance of EC law in relation to health, safety and welfare
• Critically appraise the position of health, safety and welfare in the construction industry and be able to advise on the application of the law relating to health, safety and welfare from the position of the Client, Project Manager, Principal Designer and Principal Contractor etc
• Understand and apply the law relating to the contracting parties’ obligations
• Provide an overview of the requirements of the JCT Standard Form of Contract (2016), and the NEC4 Engineering and Construction Contract (2017), regarding the obligations of the parties
• Understand the legalities of employment and workplace legalisation.

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Syllabus:

The topics:

• The project procurement cycle and procurement methods, focusing in particular on the contractual arrangements, Client advantages/disadvantages/risks etc; including:-
  • traditional
  • design and build
  • management
  • partnering & frameworks
  • private finance initiative
  • construction strategy 2011 and 2016 – new procurement methods
  • the importance of the selection of an appropriate procurement method taking into account the client’s business case/needs & the objectives for the construction project.
• Controlling costs during the design stage
  • The RIBA Plan of work (2013)
  • the RICS NRM1: order of cost estimating & cost planning for capital works, focusing on the importance of cost control at the design stage.
  • project estimating methods and the significance of the Quantity Surveyor’s role.
  • Order of cost estimating
  • Elemental cost planning
  • Unit rate pricing
• Tendering methods and procedures, and tender documentation
• Tender evaluation, contractor selection and contract award in relation to the Public Contract Regulations (2015), focusing particularly on the likely selection criteria, criteria weightings, scoring systems, standstill period and potential challenges from unsuccessful contractors and/or consultants.
  • abnormally low tenders
• Freedom of Information Act (2000)
  • The effect on Tendering and Contractor Selection
• The Law relating to Contracts in order to provide future Project Managers with an understanding of contract law.
  • The legal status of a tender
  • The basic essentials of a valid contract
  • The functions of contract law
  • Express and Implied contract terms
  • Privity of contract
  • Contracts which are not binding
  • Misrepresentation, Frustration, Termination, Repudiation and Rectification
  • Remedies for Breach of Contract including Liquidated/Delay Damages
  • Letters of Intent
  • Restitution
  • Unfair Contract Terms Act 1997
• An Introduction to the JCT Standard Form of Building Contract (2016)
  • Recitals and Appendices
  • An introduction to the control of the work and the duties and responsibilities of the Contract Administrator/Project Manager
  • Obligations of Contractor and Employer
• An introduction to other Standard Forms of Contract and Sub-Contracts
  • Design and build
  • Intermediate forms
  • Major projects
  • Domestic sub-contracts
  • NEC4 Engineering and Construction Contract (2017)
• Health, Safety and Welfare at Work linking with the practical application of health and safety covered in module BCPM0067 Technology Studies. This part of the syllabus will focus on the Health and Safety criminal law aspects and in the Importance of Health and Safety compliance in contractor/consultant selection and contract award within the tendering stages etc.
  • The Health and Safety at Work etc. Act (1974)
  • The role of the Health and Safety Executive (HSE)
  • The Health and Safety (Offences) Act (2008)
  • EU position:
    • EU requirements via article 118(a) of the Single European Act (1986) and the use of Directives to establish minimum requirements
    • EU Directive 92/57/EEC on the Temporary or Mobile Sites Construction Directive
  • Construction Design and Management Regulations (2015) (CDM2015):
    • Communication documents arising:
    • Duties of the Parties
    • Requirements for Health and Safety skills, knowledge, experience and training
  • Health and Safety Policies
    • The development and implementation of a Health and Safety Policy for a construction organisations
  • The Corporate Manslaughter and Corporate Homicide Act (2008)
    • Case Law- R v Cotswold Geotechnical Holdings (2011)
  • Manslaughter by gross professional negligence
  • Civil claims for health and safety injuries at work
• Contracts of Employment
  • General rules
  • Discipline
  • Fair and Unfair dismissal
  • Discrimination in employment and recruitment
  • The Employment Rights Act 1996
  • The Employment Act 2002
  • The effect of EC law and the Human Rights Act 1998
  • The Disability Discrimination Act 1996
  • The Working Time Regulations 1998