Construction

In Daewoo Shipbuilding & Marine Engineering Co Ltd v INPEX Operations Australia Ltd  NSWSC 1125, Daewoo sought to prevent INPEX from calling on a bank guarantee. The Supreme Court ruled against Daewoo. Under a construction contract, the Principal may be entitled to call on a bank guarantee, even while the…

A new trend has emerged in the drafting of construct-only construction contracts which places unexpected design risks on Contractors. Contractors should pay close attention to any clause containing the terms buildability or constructability, which may entail broad design obligations, even where the contract is otherwise a construct-only variety such as…

Modern construction contracts increasingly blur the roles and responsibilities of the parties. Consistent with this pattern, ‘Fitness for Purpose’ (FFP) warranties may be used to place the design risk on the contractor (as opposed to the designer or professional engineer). Contractors should be aware of express and implied FFP warranties…

Since its introduction in 2020, the Queensland construction industry has been adapting to the Building Industry Fairness (Security of Payment) and Other Legislation Amendment Act 2020 (Qld) (‘BIFOLA’). One of the most significant amendments made by BIFOLA is the introduction of the new trust account framework to replace the previous…

Rise and fall clauses have been largely overlooked in the Australian construction industry for over two decades. Interest has picked up in recent months due to rapid increases in materials prices. As we re-enter an inflationary environment, legal practitioners and Contractors should learn about or refresh their knowledge of rise…

The NSW Government has tabled proposed amendments to key construction laws, including the Building and Construction Industry Security of Payment Act 1999 (NSW) (SOPA) and the Design and Building Practitioners Act 2020 (NSW) (DBPA), which it refers to as the Tranche II building reforms. On Wednesday 23 February 2022, a…