Changes to UK construction contracts to come into effect on 1 October 2011
05 July 2011
The commencement order has been issued confirming that Part 8 of the Local Democracy, Economic Development and Construction Act 2009 (LDEDC 2009) will come into effect on 1 October 2011.
This will amend the existing regime applying to construction contracts under the Housing Grants, Construction and Regeneration Act 1996.
Key changes:
- Adjudication even where contracts not in writing
- Restrictions on conditional payments
- Mandatory payment notices
- Introduction of Pay Less Notices
- Changes to suspension rights
- Introduction of Statutory slip rule
- Outlaw of "Tolent Clauses" on adjudication costs
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