Australian Standard Contracts
The Australian Standard contracts for construction have been around for 20+ years and are a "standard form" that can be used as-is or modified to suit particular conditions. They have been a mainstay of the construction industry and are, in the natural form, considered generally balanced. But be aware if you receive one that has been modified, the amendments will have been made to favour the other party and not you.
Reviewing of amendments
It is worthwhile reviewing any such amendments and making sure you know what you are getting into before signing. It's important to understand the obligations on each party in a Design and Construct (and importantly the liability attached to the design) or a construct only contract.
Are you being paid via a fixed price/lump sum, or via a schedule of rates, or on a costs plus basis? And what about time - are you allowed to claim an extension of time for being delayed? If you are delayed, how much will you need to pay in liquidated damages for each day overdue? Can you increase your fee if a hidden latent condition suddenly causes your costs to spiral upwards?
How we can help
We can assist you to understand and, if necessary, price in these risks.
Some of the most frequently used Australian Standards include:
AS 4000 - 1997 General Conditions of Contract Construct Only;
AS 4902 - 2000 General Conditions of Contract for Design and Construct;
GC 21 General Conditions of Contract - NSW Government Funded Work;
Contact Ricketts & Associates to find out how we can help you.