Monday, 6th February 2012

New Construction Act to come into force in October

July 2011

After seven years of consultation, drafting and re-drafting the new Construction Act is to come into force on 1 October 2011.  It has been brought into force by SI 2011/1582.

Part 8 of the Local Democracy, Economic Development and Construction Act 2009 deals with construction contracts and makes various changes to the right to adjudicate and payment provisions.  The most notable change is the removal of the need for contracts to be in writing for the referral of a dispute to adjudication.

The new provisions are heavily reliant on an amended version of the Scheme for Construction Contracts which is, as yet, still in draft form.  You can find the suggested amendments here.