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TCEP 143: COVID-19: Mitigating Impacts on Construction Projects
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audio
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Publication Date |
May 06, 2020
Episode Duration |
00:38:13

In this episode, I talk to Will Buckby LLB MCIHT, a Contracts and Projects Lawyer at Beale & Co. Will discusses the impact COVID-19 is going to have on the construction markets and projects, what relief is available out there for contractors and consultants, and what notices they should be giving to their employees. Disclaimer: […]

The post TCEP 143: COVID-19: Mitigating Impacts on Construction Projects appeared first on Engineering Management Institute.

In this episode, I talk to Will Buckby LLB MCIHT, a Contracts and Projects Lawyer at Beale & Co. Will discusses the impact COVID-19 is going to have on the construction markets and projects, what relief is available out there for contractors and consultants, and what notices they should be giving to their employees. Disclaimer: Please note, the information is this podcast episode and all associated documentation is not legal advice and should NOT be taken as such.  Consult with your own attorney for legal advice related to your projects.  EMI is NOT a law firm and does not provide legal advice. Engineering Quotes: Here Are Some of the Questions I Ask Will Buckby: Can you give us an overview of the impact that COVID-19 has had on the construction market? With the new directives, is it generally understood what a COVID-19 safe job site is going to look like? What are the legal ramifications if a contractor has a contract that doesn’t have a clause in it regarding a pandemic? Do you see changes coming for standard form and nonstandard form contracts specifically related to these kinds of circumstances? What should someone do if the site that they are working on is closed due to the pandemic? Do you see any kind of an impact, and what it might be, on the legal system with regard to construction cases? Here Are Some of the Key Points Discussed About Mitigating Impacts of COVID-19 on Construction Projects: COVID-19 is having a significant impact on the construction market. It has caused a lot of uncertainty and people are not sure if they should return to the construction sites. Contractors and employers are in a much better position to assess what has happened and to decide if a site should remain open or not. Big companies have suspended all projects to take the health and safety of all staff into consideration and to assess if construction projects can continue. Some construction projects are continuing, and some are still suspended at this stage. The Construction Leadership Council have issued three versions of site operating procedures dealing with social distancing, hygiene, and site meetings. If these procedures cannot be complied with, then the construction site should remain suspended. It is easier for some professionals to work from home than others. If you need to go to the office, then your employers must ensure that public health guidance is followed. For contractors and consultants who need to go onto the construction sites, the employers need to make sure that the public health guidelines are also being followed on the construction sites. A threat to health and safety can cause the inability to deliver services and works, which will cause delays and cost overruns. New site operating procedures are resulting in additional costs and time in delivery. Under English law, there is no concept of force majeure. This means that the common law outside of your contract cannot be forced into your contract unless it is written into your contract. With COVID-19 now, professionals should look at their contracts to see if there are force majeure, extension of time, and additional fees clauses in them that could entitle the professionals to extra time and money. If you are in the process of signing a contract, you need to be sure that it contains clauses providing you with remedies for the current circumstances. These clauses should have force majeure, an extension of time, and additional cost because of COVID-19 and the effects it will have after the pandemic is over. In terms of force majeure for your staff who are working abroad, you need to have a clause stating that the staff will need to return home if the law is put in place in your home country. This should also highlight the costs involved in doing this.

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