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DOE CONSULTS ON REGS FOR FAIR CONSTRUCTION CONTRACTS

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Proposals that will lead to the commencement of the fair contracts provisions in the Housing Grants, Construction a...
Proposals that will lead to the commencement of the fair contracts provisions in the Housing Grants, Construction and Regeneration Act 1996 were published yesterday in a consultation paper by construction minister Robert Jones.

The paper, Making the Scheme for Construction Contracts, introduces detailed proposals for the working of the scheme.

In an answer to a parliamentary question, Mr Jones said: 'I have today published a consultation document entitled Making the Scheme for Construction Contracts containing proposals for regulations to underpin the fair construction contracts provisions in Part II of the 1996 Act.

'These proposals concern the fall-back arrangements which contracting parties may use if their contracts do not comply with the act in respect of adjudication and payment procedures. It includes detail on a number of important issues such as the appointment of adjudicators, criteria for appointing bodies, the conduct of adjudication proceedings, and payment machinery.

'Scheme procedures may be called upon in a variety of circumstances across all sectors of construction, so I am inviting comments from a wide cross-section of the industry and its customers.'

Proposals in the consultation paper cover: appointment of adjudicators and referral of disputes; criteria for appointing bodies; adjudication proceedings; decisions; costs and liability; dealing with problems; notice periods arising under S.109-111 of the 1996 act; and a payment mechanism to be used when the contractual arrangements are inadequate.

-- Copies of the consultation document are available from Mike Metherell (tel. 0171 276 6596), Department of the Environment, 2 Marsham Street, London SW1P 3EB.

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