Contract Administration - CMGuide

How to Deal with Variations in Construction Contracts?

Variations are changes to the scope of work required under a construction contract. They can be requested by either the owner or the contractor, or arise due to unforeseen circumstances, such as government regulations, latent conditions, or design errors. Variations can have significant impacts on the cost, time, and quality of the project, and are a common source of disputes and litigation in the construction industry. Therefore, it is important to understand how to manage variations effectively and avoid potential risks and liabilities. …

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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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Contract Administration, Security of Payment, Statutory Adjudication

Beyond Contractual Barriers: Maximizing SOP Act Protections for Progress Payments

By Dr Samer Skaik

The Security of Payment (SOP) Act stands as a crucial piece of legislation designed to facilitate timely progress payments in the construction industry. However, complexities arise when contractual preconditions conflict with the objectives of the SOP Act. In this post, we discuss legal issues surrounding the invalidation of such preconditions, drawing insights from various authorities. We will also explore how the SOP Act (Vic) interacts with and potentially supersedes other statutory requirements imposed by the Domestic Building Contracts Act 1995.

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Construction Law, Contract Administration, Project Management, Statutory Adjudication

Unveiling the Veil: The Complex Role of Superintendents and QS in Construction Projects

By Dr Samer Skaik

In the intricate dance of construction projects, the roles of superintendents and financier-appointed quantity surveyors (QS) are central yet often enveloped in complexity. These roles are critical in maintaining contractual integrity and financial oversight. However, their independence and impartiality are subjects of ongoing legal scrutiny. This post delves into the delicate balance these professionals must maintain, guided by insights from landmark legal cases.

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

Turnbull Government is considering the findings of my PhD

By Dr Samer Skaik

A few days ago, the Turnbull Government released the final report of the Review of Security of Payment Laws, undertaken by Mr John Murray. Murray’s report made 86 recommendations to improve consistency in the security of payment legislation. In the relevant Media Release, the Minister stated that:

the Government will consult with industry to consider the report’s recommendations and explore ways to improve the protections for individuals and businesses involved in subcontracting in the construction industry.

The report provided eight recommendations (43-50) pertaining the introduction of review mechanism in statutory adjudication based on my written submission in this regard. The written submission was merely a presentation of the findings of my PhD entitled “Introducing review mechanism into statutory construction adjudication.” I cite the relevant paragraph from the final report which cites my rationale of introducing this concept: …

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Civil Engineering, Construction Industry, Construction Law, Construction Technology, Contract Administration, General Management, PMP Hints, Procurement Management, Project Management, Statutory Adjudication

Launching My Channel on YouTube

By Dr Samer Skaik

Very recently, I have launched a channel on Youtube. This channel aims to provide integrated, handy and focused educational materials for those interested in developing their competencies in construction project management, professional practice and leadership. My aim is to help raise the bar by providing sound, solid and up-to-date knowledge for students, graduates and professionals in the construction sector. The channel, in addition to the videos, includes other interesting educational playlists. You can display the playlists chronologically if you are keen to develop a robust understanding in the field and advance progressively towards mastering the subject. …

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Contract Administration, Procurement Management, Project Management

FIDIC’s Middle Eastern launch for the new contracts

The FIDIC Middle East Contract Users’ Conference in Dubai is your opportunity to gain exclusive analysis and best practice guidance on the three new FIDIC contracts.

In order to provide accurate and balanced information, the FIDIC Contracts Committee will be joined by distinguished professionals and contract users from across the region and will also be delivering insights on successfully using the full FIDIC Suite, managing major projects, mitigating risks and resolving disputes in the Middle East. …

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Construction Law, Contract Administration, Statutory Adjudication

Why should adjudicators refrain from deciding jurisdictional issues? (Part 1)

By Samer Skaik

The intent of the Security of Payment (SOP) legislation in many jurisdictions[1] was set out to help vulnerable class of subcontractors get paid in a timely manner. As such, rapid statutory adjudication was introduced within the legislation whereas adjudication decisions are binding and interim pending any subsequent final resolution of the dispute by arbitration or litigation. However, adjudication decisions can mainly be set aside[2] by way of judicial review on grounds of jurisdictional errors which invalidate adjudication process. Adjudicators are always susceptible to errors when deciding upon jurisdictional issues due to many factors including the complex drafting of the SOP legislation, tight timeframes, complexity of raised arguments, a failure by disputants to raise jurisdictional issues not apparent on the submissions as well as the inappropriate selection of adjudicators where the referred matter requires a particular expertise. …

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Launching CMGuide Inaugural Mentoring Programme

We are very delighted to launch the Inaugural Mentoring Programme targeting graduates and early-career professionals in the construction industry.

This is a free service initiated and operated by CMGuide and led by CMGuide Founder (Dr Samer Skaik). The mentoring programme is targeting ambitious graduates and early-career professionals in the construction industry. The programme is only available in Australia. We encourage prospective and interested mentors in Australia who have the experience in any of the mentoring areas to join our ‘Mentors Panel’ ASAP so we can serve and enrol more mentees in the programme. Interested mentors should mention the mentoring area and availability arrangement so we can properly match mentees (protégé) with appropriate mentors. It is completely up to the mentors and mentees once to discuss and agree the mentoring arrangement during the mentoring year such as mentoring duration (not less than 6 months), communication method, frequency of meetings, level of support, etc. …

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Construction Industry, Construction Law, Contract Administration

The tip of the iceberg: Jurisdiction of statutory adjudicators

By Samer Skaik

I am delighted to see my article entitled “The tip of the iceberg: Jurisdiction of statutory adjudicators” published this month in Construction Law Journal under Construction Act Review Section. This is the second time I got an article published in this section. A third article is also in the pipeline for the next edition.

This is the brief as quoted from the Editorial introduction:

Samer Skaik discusses the jurisdictional limits of statutory adjudicators in both the UK and New South Wales adjudication models, focusing on challenges relating to the validity of the adjudicator’s appointment. The author identifies the trend of the Australian courts in particular to allow adjudicators to provisionally determine their own jurisdiction rather than encouraging pre-emptive applications by the parties. He considers this approach problematic, in part because adjudicators may not be legally trained, but also as giving rise to other difficulties and inconsistencies that in his view undermine the intention of the legislation. The author concludes by proposing a “roadmap” to regulate adjudicators’ jurisdiction, to assist with navigating around the difficulties and deficiencies that he identifies.

To read the full article, please click here

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Construction Industry, Construction Law, Contract Administration

Does Statutory Adjudication fall short in dealing with complex claims in Australia?

1 Comment

By Samer Skaik

Statutory adjudication has been enacted progressively throughout Australia on a state-by-state basis over a period of 10 years starting in 1999. The first Australian jurisdiction to introduce statutory adjudication was New South Wales (NSW) by virtue of the Building and Construction Industry Security of Payment Act 1999. Despite the many differences between all of the Acts in Australia, they can be broadly grouped on the basis of similarity into the East Coast model Acts (including New South Wales, Queensland, Victoria, South Australia, Tasmania and Australian Capital Territory)[1] and the West Coast model Acts (including Northern Territory and Western Australia).[2] The East Coast model Acts were modelled after the original NSW Act and provide, in addition to an adjudication scheme, for a highly regulatory statutory payment scheme which runs alongside the contractual payment scheme. The West Coast model Acts are more akin to the UK Act, affording primacy to the contractual payment scheme. The common objective of all the legislation is to facilitate timely cash flow within the construction contractual chains. …

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Construction Industry, Construction Law, Contract Administration, Statutory Adjudication

The impact of flawed appointment on the quality of adjudication outcome

By Samer Skaik

Quality of adjudication decisions under the Security of Payment legislation may mean different things to different people. The ultimate yardstick by which adjudication quality can be measured is to be found in the legal accuracy – both in terms of procedural and substantive fairness – of adjudication decisions whether such decisions involve a determination on the merits or dismissal for want of jurisdiction. However, recognising that there is a trade-off between fairness and efficiency in dispute resolution,[1] this criterion needs to be calibrated in the light of the legislative objective, being to provide a rapid dispute resolution procedure in order to expedite cash flow on construction contracts. Thus, it would clearly be absurd to hold adjudication decisions up to as higher level of scrutiny as in arbitration or litigation. …

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