Webinar - Overview of Payment Provisions under JCT D&B Contract - Listed items and deductions

This topic is for all questions raised on our webinar “Overview of Payment Provisions under JCT D&B Contract - Listed items and deductions”. If you haven’t already attended it, you can sign up here Webinar - Overview of Payment Provisions Under JCT D&B Contract - List | Built Intelligence

The aim of this webinar is to explain the payment provisions under the JCT Design and Build Contract, in relation to both listed items and deductions including the employer’s obligation to play, plus the processes for final payment and conclusiveness.

You will learn

By the end of this webinar you will be able to:

  1. Understand the basics of the process for making payment provisions for listed items, costs and expenses for suspension-related costs and other miscellaneous items under DB16
  2. Describe the process for adjustments from the gross valuation, including notably withholding percentage and advanced payments and bond,
  3. Explain how to overall payment process works under DB16
  4. Identify the process for making deductions on payment provisions for DB16
  5. Explain what meant by the conclusive effect of the final settlement.
  6. Describe interim payments after practical completion and final payment.
    @stevencevans

Just to be clear are you saying that if the contractor does not make an application the employer is not duty bound to issue their own assessment in compliance with the due date? thanks.

Are subcontractors working for the contractor able to tie up retention payment dates for their subcontractors to their contractor retention date. Example, retention released at PC for the subcontractor so they paid the subcontractor carrying out the works once they receive the monies. Is this legal due to the HGRA amendment? @steven.evans13 @stevencevans

No, any payment under one contract made conditional upon a certificate or action in another is made void by HGCRA (providing the contract is a construction contract as defined by HGCRA). If the contract contains a clause making it conditional, then the appropriate provisions in the Scheme for Construction Contracts will apply instead

What happens if the Employer wants to pay more than in the Payment Notice (due to error, for example)?

@stevencevans

If the Contractor doesn’t submit an application for payment, and the Employer wishes to levy LAD’s, how can a Pay Less Notice be issued to withhold LAD’s when payment timescales aren’t established?

@stevencevans