scholarly journals Statutory Review of the Construction Contracts Act 2004 (WA)

2016 ◽  
Vol 18 (1) ◽  
pp. 124-159
Author(s):  
Phillip Evans
Keyword(s):  
Construction Industry ◽  
Western Australia ◽  
Construction Contracts

The Construction Contracts Act 2004 provides for security of payment in the construction industry through the use of rapid adjudication processes to determine payment disputes. It further prohibits or modifies certain “unfair” provisions in construction contracts and implies provisions in construction contracts about certain matters if there are no written provisions about these matters in the contract. In 2015 the Minster for Commerce commissioned a review of the Act to determine whether iy is meeting the needs of industry and whether amendment was required. This paper provides a background to the construction industry in Western Australia and the essential provisions of the Act together with the principal findings from the review. The recurring issue throughout the review was the critical need for widespread education and publicity regarding the existence of, and the provisions of the Act. Unless this occurs as a matter of urgency and priority, the Act will not fully achieve its objectives for the benefit of all sections of the construction industry.

scholarly journals Drivers of Productivity: a Case Study of the Australian Construction Industry

2015 ◽  
Vol 15 (3) ◽  
pp. 85-97 ◽  
Author(s):  
Will Chancellor
Keyword(s):  
Research And Development ◽  
Construction Industry ◽  
Western Australia ◽  
Productivity Growth ◽  
New South ◽  
Safety Regulation ◽  
Construction Productivity ◽  
South Wales ◽  
Construction Activity

Australian construction productivity has grown slowly since 1985 and remains arguably stagnant. The importance of this study is therefore to examine several factors through to be drivers of construction productivity and to understand possible avenues for improvement. The drivers tested are research and development, apprentices, wage growth, unionisation and safety regulation. Expenditure on research and development and the number of apprentices were found to be drivers of productivity growth in Victoria, New South Wales and Western Australia. These findings are important because collectively, these three states account for a majority of construction activity in Australia.

scholarly journals Identifying and prioritizing delay factors in Iran’s oil construction projects

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Aliyeh Kazemi ◽  
Eun-Seok Kim ◽  
Mohammad-Hossein Kazemi
Keyword(s):  
Construction Industry ◽  
Construction Projects ◽  
Successful Implementation ◽  
Content Type ◽  
Construction Contracts ◽  
Fuzzy Delphi ◽  
Low Efficiency ◽  
Comprehensive Framework ◽  
Governmental Management ◽  
Laws And Regulations

Purpose Successful implementation of construction projects is one of the crucial factors for the economic development of every country. The main part of the countries’ capital is allocated to civil and infrastructure projects annually, most of which are accomplished with delay. Construction projects are often criticized for overrunning time and budgets. Analyzing the factors causing delay is essential for omitting them and timely implementation of these projects. Due to the importance of oil projects, this study aims to investigate and analyze the factors causing a delay in Iran’s oil construction projects. Design/methodology/approach In this research, after a broad literature review, using the fuzzy Delphi method, a total of 75 delay factors were identified under 11 major categories of owner, contractor, consultant, equipment, labor, materials, design, contract and contractual relations, laws and regulations, environmental factors, and managerial factors. Then, by using the best-worst method, the factors were prioritized. Findings The results showed that sanction, governmental management systems, weak project management by the contractor, technical and managerial weaknesses of the consultant, financial problems and delay in payment by the owner, low efficiency of the equipment, low productivity of the workforce, changes in laws and regulations, inappropriate organizational structure linking to the project, changes in the design, and changes in the price of materials are the most crucial factors causing a delay in Iran’s oil construction projects. Research limitations/implications These findings are expected to have significant contributions to Iran’s oil construction industry in controlling the time overruns in construction contracts. Originality/value The main contribution of this study is to develop a comprehensive framework in which, causes of delay in Iran’s oil construction projects are addressed and prioritized.

scholarly journals Arbitration as an Alternative to Litigation in Construction Projects

2020 ◽  
Vol 4 (9) ◽  
pp. 166-171
Keyword(s):  
Construction Industry ◽  
Construction Projects ◽  
Dispute Settlement ◽  
Higher Learning ◽  
Primary Sources ◽  
Primary Data ◽  
Construction Contracts ◽  
Imo State ◽  
Arbitration Clause ◽  
Fact Finding

In many countries of the world, arbitration has been used as an alternate disagreement resolution technique, which remains a form of dispute settlement process outside a courtroom. Disagreements and conflicts in the construction industry have been viewed as disagreeable events in the implementation of projects by numerous researchers and these harm costs, performance, and complete objectives. Such conflicts have in the past been settled by litigation and lawsuits in which commercial ties were ultimately destroyed. The study employed four research objectives and research questions. Data used for the study existed from secondary and primary sources. Secondary records were assembled from related works on preceding studies although primary data were collected from fact-finding. The sample size is 100 respondents made up of staff from the Federal Ministry of Works and the state ministry of works in Owerri, Imo State, Nigeria. Four establishments of higher learning in Imo State were also covered. A list of contractors was assimilated from the federation of building and civil engineering contractors Imo State branch. The study exposed that arbitration has been established to be worthwhile and less time overwhelming. Furthermore, usage of arbitration is additional facilitated by the inclusion of an arbitration clause in most construction contracts which usually states that all disputes arising in the contract shall be settled by arbitration. The study concludes that the use of arbitration in dispute resolution in construction contracts not only minimizes cost and time but also facilitates cordial relationships among the parties after the dispute and this minimizes the incidence of project failure and abandonment in the construction industry. It recommended that in addition to proper education on the use of arbitration, there should be adequate enlightenment and awareness creation on the importance and use of arbitration in the building industry, especially in the informal sector.

scholarly journals Assessment of bonds utilisation in the Nigerian construction industry

2019 ◽  
Vol 10 (5) ◽  
pp. 1607
Author(s):  
Usman Muhammed ◽  
Emmanuel Chididebere Eze ◽  
John Abel Tsado ◽  
Blessing Okokun
Keyword(s):  
Construction Industry ◽  
Scientific Method ◽  
Construction Projects ◽  
Financial Burden ◽  
Survey Method ◽  
Cost Performance ◽  
Construction Contracts ◽  
Advance Payment ◽  
Timely Completion ◽  
Performance Bond

Default by contractors in meeting the time and cost performance of a project is usually counterproductive. Considering safety from the high financial burden of construction projects, clients are compelled to seek a level of guarantee in bonds to safeguard them from financial problems and provide incentive for proper and timely completion of the project by the contractor, thereby minimising failures and risks. Therefore, the study assessed the level of bond utilization in Nigerian construction industry, with a view to examining the benefits of its utilisation in construction projects. Survey method was adopted in which questionnaires were used to collect data from respondents. With a response rate of 45.30% (164 of 362), the collected data were analysed using descriptive and analytical scientific method. It was found that the level of bond utilisation in construction contract is high, with performance bond and Advance payment bond being most commonly used construction bond types. Assurance of performance and financial security are the major benefits of bond utilisation. The study recommends that there is need for more enlightenment of construction participants on the various types bond used in construction contracts

scholarly journals A Proposed Pandemic Clause for Force Majeure Events under Construction Contracts in Malaysia

2021 ◽  
Vol 6 (16) ◽  
pp. 33-37
Author(s):  
Shahrizal Mohd Zin ◽  
Nur Ezan Rahmat ◽  
Abdul Mu’iz Abdul Razak ◽  
Nik Hasbi Fathi ◽  
I Nyoman Putu Budiartha
Keyword(s):  
Construction Industry ◽  
Publishing House ◽  
Construction Contracts ◽  
Global Pandemic ◽  
Force Majeure ◽  
Qualitative Research Methodology ◽  
International Publishing ◽  
Triggering Events ◽  
Under Construction ◽  
Open Access Article

The construction industry is not spared from the adverse effect of the Covid-19 pandemic. This paper aims to identify the triggering events of Force Majeure under the standard forms of construction contract in Malaysia and determine the extent to which the relevant provisions in these contracts apply to the Force Majeure events during the pandemic. This research employs a qualitative research methodology, and the outcomes will help clarify the grey area of Force Majeure law caused by a global pandemic. It proposes guidelines to the construction industry when dealing with a similar disruption caused by an outbreak of the disease. Keywords: pandemic clause, Force Majeure, construction contracts eISSN: 2398-4287© 2021. The Authors. Published for AMER ABRA cE-Bs by e-International Publishing House, Ltd., UK. This is an open access article under the CC BYNC-ND license (http://creativecommons.org/licenses/by-nc-nd/4.0/). Peer–review under responsibility of AMER (Association of Malaysian Environment-Behaviour Researchers), ABRA (Association of Behavioural Researchers on Asians/Africans/Arabians) and cE-Bs (Centre for Environment-Behaviour Studies), Faculty of Architecture, Planning & Surveying, Universiti Teknologi MARA, Malaysia. DOI: https://doi.org/10.21834/ebpj.v6i16.2733

scholarly journals Adequacy of Quality Provisions in Standard Forms of Local and International Construction Contracts

2009 ◽  
Vol 1 (1) ◽  
pp. 1-9
Author(s):  
Kwang Q.W. ◽  
Ting S. N
Keyword(s):  
Construction Industry ◽  
Current Standard ◽  
International Standard ◽  
Construction Contracts ◽  
Construction Market ◽  
International Construction ◽  
Construction Disputes ◽  
Local Construction ◽  
The One

Standard forms of contracts have been in use in the Malaysian construction industry as a means to expedite contractual and legal duties for the clients who wish to avoid expensive and complex legal endeavors to arrive at an agreement with their contractors. Various forms have been drafted by various professional bodies and organizations, both locally and internationally, to meet the demands of the local construction market for standard forms. Quality provisions are among the topics/issues covered in the standard forms. However, evidently, it is noted that the quality and its standards in the Malaysian construction industry has consistently remained as the root for many construction disputes. Whether or not standard forms of construction contracts have sufficiently cater for quality, remains a question. If the "one-size fits all" postulate does not hold especially when it comes to ensuring quality on site, the question of validity and effectiveness of standard forms becomes a pertinent one. This paper presents a study of various quality related clauses in local and international standard forms and comparisons were made among the chosen forms. Experts opinion within this field are sought as well in order to improve the robustness of this study. This paper also investigates the adequacy of the provision of these forms and suggests suitable changes to the current standard forms, where necessary, within the study.

“No Place for Tourists”: Deaths on Western Australian Construction Sites

2020 ◽  
Vol 119 (1) ◽  
pp. 115-142
Author(s):  
Bobbie Oliver
Keyword(s):  
Construction Industry ◽  
Western Australia ◽  
Trade Union ◽  
First Century ◽  
Construction Sites ◽  
Safety Measures ◽  
The Third ◽  
Mandatory Training ◽  
Starting Point ◽  
Western Australian

The deaths of three young “backpackers” on Perth building sites is the starting point for this investigation of an industry that is ranked the third most dangerous in Western Australia. All were on a working holiday. They were unskilled, untrained and underpaid, revealing aspects of the construction industry since the beginning of the twenty-first century. The article suggests these fatalities are occurring, despite OHS reforms and mandatory training, because the decline of trade union rights and presence on work sites has led to inadequate policing and enforcement of safety measures. Deregulation and employers’ over-emphasis on productivity have resulted in an unskilled, casual workforce and a culture of blaming individual employees rather than management, which has created a climate of fear where those who draw attention to safety breaches risk losing their jobs. The article considers arguments for introducing industrial manslaughter legislation, but the evidence suggests that the most effective solutions are to restore union rights. This would encourage a culture in which workers have a voice, and pointing out safety breaches on sites could be rewarded, rather than penalised.

Statutory adjudication in Western Australia: adjudicators’ views

2015 ◽  
Vol 22 (1) ◽  
pp. 54-72 ◽  
Author(s):  
Ping Yung ◽  
Kieran Rafferty
Keyword(s):  
Western Australia ◽  
West Coast ◽  
East Coast ◽  
Cost Effective ◽  
Annual Reports ◽  
Dual Model ◽  
The West ◽  
Content Type ◽  
Construction Contracts ◽  
Number Of Authors

Purpose – The purpose of this paper is to evaluate the effectiveness of the statutory adjudication legislation in Western Australia against its stated aims. Design/methodology/approach – The four objectives of the Western Australia Construction Contracts Act 2004 were identified. For each objective a number of criteria has been devised. In total, 22 registered adjudicators were interviewed, representing 28 per cent of all adjudicators in Western Australia. The interviewees were divided into two groups, one with legal background (being both lawyer and adjudicator), the other without (construction professionals). They were asked to evaluate the criteria against a five-point Likert scale in addition to open ended comments. Mann-Whitney U tests were used to examine whether there were significant differences between the two groups. Annual reports of Building Commissioner, database of the WA State Administrative Tribunal and some law cases were also referred to. Findings – It is found that the West Coast Model is fair to both parties, the adjudications are generally completed speedily according to the prescribed timeframe, and they have been conducted in various levels of formalities. Adjudications are very cost effective for larger claims. However, they are not so for smaller claims. The increasing uptake rate shows that adjudication is getting more popular, while the low appeal rate shows that decisions on dismissal are fair. Research limitations/implications – The adjudicators’ opinions are only part of the overall picture and that more research on this topic needs to be done. Originality/value – There have been two distinct legislative models in Australia, commonly known as East Coast Model and West Coast Model. A number of authors have called for a national dual model incorporating both current models. However, it might be too early to discuss the national dual model when there have been very few evaluations on the West Coast Model and among the few there have been problems in the research design. This paper seeks to bridge the gap by evaluating the West Coast Model against its stated aims.

Part XIII Dispute Resolution in the Construction Industry, 36 Shifting the Burden of Proof: Revisiting Adjudication Decisions

2016 ◽  
Author(s):  
Tweeddale Andrew ◽  
Tweeddale Keren
Keyword(s):  
Dispute Resolution ◽  
Construction Industry ◽  
Burden Of Proof ◽  
Construction Contracts ◽  
Fundamental Part ◽  
English Law ◽  
Court Proceedings

The concept of the burden of proof is a fundamental part of any adjudicative procedure-whether it be court proceedings, arbitration, or adjudication. Stepped dispute resolution clauses are now the norm in construction contracts and this chapter examines how these clauses affect the burden of proof. English law provides that in cases where the burden of proof is unclear-because the parties’ cases are equally weighted-the burden of proof lies on the party who would be unsuccessful if it did not produce any evidence. Also, it does not matter if a party is making an affirmative or negative assertion, the burden of proof still lies with that party. The chapter analyses the issue of whether an adjudicator’s decision shifts the burden of proof by considering cases such as Walker Construction (UK) Ltd v Quayside Homes Ltd, City Inn Ltd v Shepherd Construction Ltd, The Construction Centre Group Ltd v The Highland Council, and Aspect Contracts (Asbestos) Ltd v Higgins Construction Plc.

The Availability in the UAE of Liens to Secure Payment under Construction Contracts

2010 ◽  
Vol 24 (3) ◽  
pp. 309-317 ◽  
Author(s):  
Amy L. Barrette ◽  
Neal R. Brendel ◽  
Wadih El-Riachi
Keyword(s):  
Construction Industry ◽  
Common Law ◽  
Civil Procedure ◽  
Civil Code ◽  
Federal Law ◽  
Construction Contracts ◽  
Procedure Code ◽  
A Priority ◽  
Under Construction ◽  
Code Provisions

AbstractWhile much attention has been devoted to curbing the rise of lawsuits surrounding Dubai’s struggling construction industry, surprisingly little attention has been focused on another option available to contractors who seek payment for failed or troubled projects. Contractors, architects, and engineers may find relief under a seldom-reported UAE federal law that establishes qualified rights for contractors to secure payment for work under non-governmental contracts by filing a priority lien against the project itself. This article discusses the remedy, known in many common-law jurisdictions as ‘mechanic’s liens’ or ‘builders’ liens’, and why it is important for contractors to be familiar with the applicable Civil Code and Civil Procedure Code provisions. Those who first exercise their lien rights and seek to register liens with the Land Department will be treading new ground and will want to be well- prepared and educated on their rights provided under existing law.

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