COVID-19 – Contract Claims

COVID-19

We would like to reassure you that it is business as usual for MPG.  However we have received a number of concerned calls from clients and in response have drawn up the help list of bullet points below:

Look at the operational provisions of your contract:

  1. Are you obliged to submit a revised programmed due to disruption or notify your client;
  2. Does your contract obligate you to give early warnings of delays, if so you must do so promptly;
  3. Does your contract require regular progress reports, if so clearly set out impacts the disease has on the project.

Can you make a claim?

The starting point for your rights and obligations, should you find yourself affected by Coronavirus, will be your contract. None of the standard form contracts (e.g. JCT and NEC3/4) refer expressly to epidemics or spread of diseases.

Outbreak of illness does not fall within the meaning of “excepted risks” used in most of the standard forms so, contractors may have to rely on other clauses in the contract such as suspension, force majeure and prevention, or change in law.  Contractors may not be able to point to one clause for a full remedy, and may have to rely on multiple provisions – used in conjunction with the common law – in order to be granted both time and money.

What about common law remedies?

Contractors may also consider common law remedies but the primary basis of entitlement should be the relevant and applicable terms of the contract.

Is it Force Majeure?

Does your contract contain force majeure clauses, unexpected circumstances outside a contracting party’s reasonable control.  Check what events this covers and you may be able to claim costs arising from the impact.  Check also with regards to any subcontractors you may have.

What if the contract doesn’t contain a force majeure provision or what about claiming Impossibility/ Frustration/Prevention?

Can you argue the effects of Coronavirus itself or of government action aimed at combating it (such as mandatory quarantines) have prevented or frustrated the parties’ performance of your contract, or made performance impossible? If you can’t make a claim or classify Coronavirus as an event of force majeure, you might be released from further performance.  Prior to asserting either the occurrence of a force majeure event, or that a contract has been frustrated, it is very important to take legal advice.

What is the position under an un-amended NEC3 Contract

If you have entered into an un-amended NEC 3 contract Coronavirus may be a Compensation Event under 60.1 (19).  This covers an event which stops the contractor completing the work at all or by an agreed date, an event that couldn’t be prevented, would have been judged as an event with such a small chance of occurring it would be unreasonable for the contractor to consider it when entering into the contract.

What about an unamended JCT contract?

Clause 2.26.14 of the JCT Design and Build Contract identifies “force majeure” as a Relevant Event which entitles the contractor to an extension of time and  entitles either party to terminate the construction contract under clause 8.11.1, it is not a Relevant Matter and gives no entitlement to losses and expenses.

What about insurances?

If your operations are impacted by Coronavirus, you may have in place insurance that responds to at least some of your losses. Business interruption insurance policies in particular may cover disruption caused both by the disease itself and by public policy responses to it, such as enforced quarantines. However, there are often exclusions in such policies. it is important that you notify your insurers promptly.

Conclusion
There may be a number of remedies under your contract that can be used to grant relief from performance if the coronavirus has an adverse impact on any of your construction projects. These may be e.g. force majeure or claims for extensions of time and relief from liquidated damages. However, it will very much depend upon the exact wording of the contract itself and the impact of the virus on the project and any other surrounding circumstances.

For further more detailed information please contact us directly and we will be able to provide advice specific to your circumstances and contract.

MEP Design

Mechanical, Electrical and Public Health Engineering

MEP Design

MEP Design

Our approach to MEP is to ensure we consider the impact of building construction at all stages of the design development process. That includes working towards minimising the adverse effects of new buildings on the environment and achieving healthy indoor conditions for the occupants.
✨ At MPG, we understand the importance of our MEP role within the design team.
➯ Contributing towards synergy among team members
➯ Achieving buildings that are practical and cost-effective and adding value through their design
➯ Exceeding your expectations
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Engineering is by definition about optimising technical, practical and functional considerations. Our aim is to produce innovative yet practical solutions to suit your specific needs and budgets.
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We have an established reputation in the successful realisation of architects’ designs for a wide range of facilities. We enjoy working closely with clients and the other members of their design teams. When we work together from the earliest stage, it leads to a united understanding of the project’s demands and requirements. That in turn contributes to the efficient implementation of the construction process, helping to resolve potential problems and enabling us to be innovative in our engineering solutions.
✨ Our Mechanical, Electrical and Plumbing Engineering services

➯ Design Engineering Services
➯ Preparation of Specifications and Drawings
➯ Value Engineering
➯ Design Supervision
➯ Utilities Management
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#mpgqs #social #branding #socialmedia #sales #entrepreneur #entrepreneurship #marketing #branding #tech #business #followforfollowback #followme #likeforfollow #followers #likeforlike #followback #discount #smallbiz #success #businesswoman #businessOwner #businessTrip #businessCard #launch #digital #career #goalsetting

Dispute Resolution

Arbitration Services at MPG

Arbitration

With our twenty-five years of experience as experts in international arbitration, many of our experts have progressed to be nominated as arbitrator by both clients and lawyers alike.

Combining commercial and technical expertise with the knowledge and experience of legal process has seen MPG’s panel of arbitrators qualify with the Chartered Institute of Arbitrators in the UK. MPG have been appointed in the International Chamber of Commerce, London Court of International Arbitration, and the Dubai International Arbitration Centre

Ensuring a dispute is heard by an arbitrator with direct experience and understanding of the issues commonly arising in commercial disagreements is key.

At MPG our commercial and technical experts’ significant experience in the legal field of process has seen us successfully support our clients throughout the UK, Europe and beyond.

With no obligation or initial fee, we would be delighted to discuss the options available and provide an independent view on the merits of any potential dispute requiring, mediation, adjudication or arbitration.

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Latest MPGQS updates on Instagram

#mpgqs #construction #engineering #constructionlife #newconstruction #civilengineering #mechanicalengineering #technology #underconstruction #engineeringlife #constructionsite #engineeringmemes #constructionequipment #engineeringdesign #constructionmanagement #engineeringtech #constructionworker #constructionprojects #constructionbusiness #engineeringporn #constructionsupplies #engineeringbasics #engineeringgadgets #engineeringschool #engineeringteam #constructionproject #constructionmaterials #engineeringjobs #constructionuk #constructionphotography

Happy New Year

Happy New Year from the Team at MPG

Happy new year from the team at MPG. After a difficult and very different 2021 we wish you all the best as we head into 2022. Thank you so much for supporting our business in 2021. #newyear #2022

Project Management

Project Management Services at MPG

At MPG, we deliver our Project Management service specifically to meet your needs. We give expert advice and assistance in the procurement and construction of buildings for occupiers and both private and institutional commercial developers.

We are frequently involved throughout the lifetime of a project and beyond, from initial advice at the early concept stage through the selection and appointment of full consultant teams to procurement, construction on site and occupation.

We provide expert advice on terms of appointment to consultants, which we monitor for compliance throughout the design and construction process.

By developing a design brief from the initial proposal, we set the parameters within which your project will evolve. That design brief is constantly checked and updated by us to reflect changes as they are required and occur.

Your MPG Project Manager will develop suitable reporting procedures with you to ensure that full awareness of all stages and aspects of the Project is maintained with the appropriate client personnel.  Full financial control and reporting is an essential element of this process.

  • Recommend the best means of Procuring construction
  • Monitor duties undertaken by the Professional Team and Contractor
  • Prepare Feasibility Studies
  • Undertake Market Research
  • Obtain and develop the Client Brief
  • Conduct Design Competition and select Consultants
  • Co-ordinate the Design
  • Obtain all necessary Building and Planning Permissions
  • Ground Investigations and Traffic Impact Surveys
  • Review Design Development and update Budgets
  • Develop a Construction Method Statement
  • Programme Management
  • Pre-Design Management
  • Design Management
  • Risk Management
  • Construction and Post-Construction Management
  • Facilities Management

#project management #

From the team at MPG, best wishes for the festive season and a Happy New Year.

From the team at MPG, best wishes for the festive season and a Happy New Year.

#mep #disputeresolution #quantitysurveyors #seasonsgreetings

Mechanical & Electrical Contractors for Kuwait

MPGQS are actively looking for MEP Contractor’s with Port/Marine experience to bid for work in Kuwait. If you are interested in joining the tender list then please forward your details, company presentation and contacts to info@mpgqs.com.

#electrical #mechanical #contracting #kuwait #ports #marine #tender

 

Emirates Towers

MPG in Dubai for Cityscape 2021

The MPG team are getting ready for next week in Dubai attending the Cityscape Exhibition. The show has moved to the brand-new Dubai Exhibition Centre which is co-located with Expo 2020.

 

Cityscape

Cityscape Qatar

The 9th edition of Cityscape Qatar has officially opened its doors today and was inaugurated by His Excellency Mr Ali bin Ahmed Al Kuwari, Minister of Commerce and Industry and Acting Minister of Finance. They have already welcomed thousands of homebuyers, investors and real estate professionals waiting to discover the latest real estate opportunities in Qatar and beyond.

london marathon time

MPG MD completes the London Marathon 2021

MPG Managing Director, Michael Gallucci finished the Virtual London Marathon – Michael joined Kevin from Appleyard & Trew to run the London marathon on Sunday round the Olympic Rowing Lake at Dorney in Eton.

We were part of the world’s biggest-ever marathon  – running together with more than 22,000 others in 100 countries in the virtual event, along with thousands of others on the streets of London.

We had an amazing time and are looking forward to receiving the well-earned finisher’s medal and New Balance T-shirt.