Latest News Tue, Mar 22, 2016 5:26 PM
A survey of the UK construction industry by NBS, part of RIBA Enterprises, has revealed an increase in the number of disputes over the last 12 months.
Undertaken with the help of the membership of more than 20 industry bodies, the 2013 NBS National Construction Contracts and Law Survey of more than 1,000, clients, contractors and consultants found that 30% had been involved in one or more contract entering into dispute in the last 12 months compared to 24% in the previous year, with 7% reporting that they had been involved in three or more disputes.
The perception that the tough economic climate has forced parties to be more adversarial is backed up by nearly half of those surveyed saying that the number of disputes have increased (and fewer than ten per cent that are saying they have decreased), with consultants reporting that over the past few years the number of non-paying clients, and clients going bankrupt, has dramatically increased.
It is also clear from the NBS survey that many disputes involve large sums of money and have a significant effect on the construction process. The survey found:
The survey also revealed how international work (through UK-managed contracts) brought its own issues with cultural differences coming top followed by risk distribution, unfamiliar contract forms, security of payment and language issues, listed as challenging issues for at least a quarter of those involved in international contracts.
Those calling for greater collaboration in the construction industry will also be disappointed to learn that nearly a half of respondents did not adopt any collaborative techniques in 2012, and only 10% did so for all projects.
Almost half of those questioned felt that greater collaboration between all parties was helped by the adoption of BIM (only 6% didn’t) but it is still not normal practice for BIM to be referenced in contracts, with fewer than a quarter agreeing that they referenced BIM, or have adopted BIM, in their contracts.
Richard Waterhouse, Chief Executive of NBS’s parent company, RIBA Enterprises said: “Further work is required to develop knowledge on how to improve and create effective contractual mechanisms that provide the framework for collaboration in construction projects
While disputes appear to be increasing, use of industry standard contract forms is not. Bespoke contracts and appointment arrangements remain prevalent. The survey gives us no evidence to support the view that bespoke contracts are a way of avoiding dispute.”
Featured News
Unilin Flooring’s Quick-Step has revamped its Impressive waterproof laminate...
Now showcased at London Build, the UK’s leading construction show Zoontjens...
BUILDING PRODUCT LIBRARY - LATEST BROCHURES
Stannah Commercial B...
By Stannah Group
Levelmaster
By Stannah Group
Trolleylift
By Stannah Group
Stannah Midilift CLS
By Stannah Group
Stannah Midilift CL
By Stannah Group
BUILDING PRODUCT DIRECTORY - LATEST PRODUCTS
The Supreme heavy-duty loft ladder is supplied as a ready to fit unit. It is manufactured from high...
Insulated and Airtight wooden loft ladder……sets the standard for long-lasting quality and...
The Elite heavy-duty loft ladder...The Elite heavy duty concertina loft ladder is supplied without a...
CONSTRUCTION VIDEOS - LATEST VIDEOS
Proctor Air® is an air and vapour permeable, highly water resistant roofing underlay. Its...
In this video, we explore how blue roofs are transforming urban landscapes by helping to mitigate...
At RMD Profiles, we’re more than just metal decking. From supply-only solutions to full design and...