Construction Law

Construction Industry, Construction Law, Contract Administration, Procurement Management, Project Management, Security of Payment

The Importance of Timely Payments in the UAE Construction Industry: Challenges and Solutions

By Dr Samer Skaik

Cash flow is the lifeblood of the construction industry, and timely payments are essential for maintaining a healthy financial ecosystem. In the UAE, delayed or non-payment by employers has become a significant issue, leading to severe cash flow problems for contractors and their supply chains. These disruptions not only impact the construction companies but also have broader implications for the UAE’s economy, where construction contributes significantly to the GDP.

Traditionally, contractors claim payments upon completing specific project milestones, with payments made on a monthly basis or as specified in the contract. However, various factors can jeopardize this smooth cash flow, causing delays that ripple through the entire supply chain. Delayed payments can lead to project delays, disputes, and reduced profitability, and in extreme cases, even push contractors and subcontractors toward insolvency. …

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Construction Industry, Construction Law, Contract Administration, Procurement Management, Project Management

Navigating Nomination Procedures in Construction Contracts: Insights and Challenges

By Dr Samer Skaik

In the realm of construction project management, nomination procedures play a pivotal role in determining how subcontractors are selected and engaged. These procedures have evolved significantly over time to address various shortcomings and complexities inherent in subcontractor nomination. This blog post explores the intricacies of nomination procedures, the risks associated with them, and strategies for improving their effectiveness. …

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Construction Industry, Construction Law, General Management, Procurement Management, Project Management

Navigating the Insolvency Risks in the Australian Construction Industry: Insights from a Recent Study

By Dr Samer Skaik

Insolvency is a pressing concern within the Australian Construction Industry (ACI), where businesses face significantly higher risks compared to other sectors. This challenge is not unique to Australia, as construction industries globally experience similar issues. However, the causes of insolvency can vary widely across different regions, prompting the need for tailored approaches to predict and manage these risks.

A recent study has shed light on the critical factors contributing to insolvency within the ACI, offering a theoretical framework that prioritizes these factors based on their relative importance. This framework, derived from a rigorous systematic literature review (SLR) and supplemented by data from the Australian Securities and Investments Commission (ASIC), highlights both quantitative and qualitative factors essential for predicting insolvency. …

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Construction Industry, Construction Law, Contract Administration, Procurement Management

How to Deal with Provisional Sums Under FIDIC 1999

By Dr Samer Skaik

In construction contracts governed by FIDIC 1999, provisional sums are often included to account for certain parts of the work that are not defined in detail at the time of contract signing. These sums provide flexibility to accommodate future decisions by the Employer or Engineer regarding specific work items or materials. Proper management of provisional sums is crucial to ensure that the contract remains fair and that all parties understand their obligations and entitlements. …

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Construction Law, Security of Payment, Statutory Adjudication

The Evolution of Judicial Review of Adjudication Determinations

By Dr Samer Skaik

The judicial review of adjudication determinations under the Building and Construction Industry Security of Payment Act 1999 (NSW) has evolved significantly over the years, reflecting a shifting legal landscape and its impact on the construction industry. This evolution, shaped by landmark cases and legislative intent, has had far-reaching implications for the adjudication process. …

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Construction Law, Security of Payment, Statutory Adjudication

The Court’s Approach When Intervening in Adjudication

By Dr Samer Skaik

The intersection of adjudication and judicial intervention in construction disputes presents a complex legal landscape, often necessitating the use of injunctions to address specific issues. This post provides an in-depth exploration of the court’s approach when intervening in adjudication, drawing insights from recent legal cases and judicial interpretations. …

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Construction Law, Contract Administration, Security of Payment, Statutory Adjudication

Navigating the Adjudication Process under the Building and Construction Industry Security of Payment Act 1999 (NSW)

By Dr Samer Skaik

The adjudication process, governed by the Building and Construction Industry Security of Payment Act 1999 (NSW), plays a crucial role in ensuring the speedy resolution of payment disputes within the construction industry. Let’s delve into the intricate details of this process and the key considerations for both claimants and respondents: …

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Construction Law, Contract Administration, Security of Payment, Statutory Adjudication

How to Approach Security of Payment Claims in Construction Contracts under the New South Wales Model?

By Dr Samer Skaik

In the construction industry, ensuring timely and fair payment for work done is crucial for the smooth functioning of projects. Understanding the statutory right to progress payment and the adjudication mechanism outlined in the Building and Construction Industry Security of Payment Act 1999 (NSW) is essential for construction professionals to effectively manage security of payment claims. Here’s a practical guide on understanding how to approach security of payment claims: …

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Construction Law, Contract Administration

Understanding Entitlement and Preparing Extension of Time and Prolongation Cost Claims

For contractors, understanding entitlement and preparing extension of time and prolongation cost claims are crucial aspects of managing complex contractual arrangements. These processes require attention to detail, thorough documentation, and an understanding of the contractual terms and applicable laws. In this post, we will provide guidance to contractors on how to identify entitlement and effectively prepare extension of time and prolongation cost claims. …

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Construction Law, Contract Administration, Security of Payment, Statutory Adjudication

Understanding the Features of Security of Payment Legislation in Australia and Singapore

By Dr Samer Skaik

In the realm of construction, ensuring timely payments and fair resolution of disputes is crucial for the smooth functioning of projects. Payment disputes, if not managed effectively, can lead to delays, strained relationships, and costly litigation. To address these challenges, jurisdictions like Australia and Singapore have implemented robust security of payment legislation. Let’s delve into the intricacies of this legislation, its features, criticisms, and its role in maintaining financial stability within the construction industry. …

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Construction Law, Project Management, Security of Payment, Statutory Adjudication

Unravelling Complexity: Towards a More Accessible Adjudication Process for Low-Value Claims

By Dr Samer Skaik and Ali Alkhatatneh

Low-value claims adjudication has become an increasingly intricate process, particularly for small subcontractors and individuals lacking legal expertise. This post delves into key factors influencing complexity in low-value claims adjudication, as outlined in our recent academic article commended in the 2023 Brooking Prize by Society of Construction Law Australia.

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Construction Law, Contract Administration, Project Management

Termination of Construction Contracts for Owner’s Convenience: Know Your Rights

By Dr Samer Skaik

In the complex landscape of construction contracts, the termination for the Principal’s convenience is a critical area for contractors to understand. This post aims to illuminate your rights as a Contractor in such situations and guide you through navigating the process both legally and professionally.

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