BUD 374
Building Contracts Law and Alternative Dispute Resolution
2
Course Description
At the end of this course, the students should be able to understand the:
1. the laws of agency and torts;
2. the nature of building contracts and contract conditions;
3. the rights and duties of various parties to a contract; and
4. the advantages of Arbitration over legal proceedings.
Course Outline
A comprehensive study of construction contracts including conditions of agreement and
modifications. The students will also be introduced to related laws of agency and tort.
Nature of building contracts, formation of contracts, construction contracts and rectification,
conditions of contracts: standard conditions of building contracts FMW version (latest edition),
JCT, FIDIC.
Rights, and duties of various parties, interrelationships of the various consultants and the
contractor, relationship between main contractor and nominated sub-contractors, principles of
domestic sub-contracting.
The right to payment at the time of completion, varied work.
Contract types (lump sum, cost plus, PPP); conditions, and disadvantages, standard contract
documents, articles of agreement for building contracts,
general principles of tort, tort affecting land and negligence, nuisance, trespass, strict liability,
liability for animals.
Meaning of arbitration and its contrast with other legal proceedings,
basic ingredients of agreement to submit to arbitration Vis a Vis conditions of contract, Arbitration
decree 1988 (and previous Acts),
Arbitration as it relates to construction industry disputes,
appointment and duties of arbitrator/umpire/referee: multi-door court houses,
arbitration proceedings: procedure prior to hearing.
Hearing – preparation of cases, award, costs/fees, evidences, valuation, point of claim and
defence, other particulars.