Construction
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Climate Change and the Construction Industry: Counting down to a national strategy
The Government is getting closer to the publication of a national strategy for responding to climate change.
21.09.2021 Posted in Climate Change & Construction
Clarity on Liquidated Damages following Termination
The United Kingdom Supreme Court in Triple Point Technology Inc v PTT Public Company Ltd [2021] UKSC 29 has clarified the operation of liquidated damages clauses in the event of termination.  The dec...
How much does one truly deserve?
A critical analysis of the New Zealand and Australian High Courts' approach to quantum meruit claims within the construction industry
06.09.2021 Posted in Construction & Regulatory
Unprecedented ! NZS3910, Risk Allocation and COVID-19
The first Level 4 lockdown of 25 March 2020, implemented in response to the COVID-19 pandemic, exposed various flaws in the risk allocation regime under standard construction contract NZS3910.   
06.09.2021 Posted in Construction
Centrality of Price in New Zealand Procurement: Time for Change
The focus on centrality of price in New Zealand procurement (or securing the lowest price) continues to be a key concern for the construction industry. 
06.09.2021 Posted in Construction
Subcontractor entitled to raise set-off claim against principal’s warranty claim
A recent High Court case examined the all too common situation where a contractor goes into liquidation, but there are unresolved matters on a construction project affecting both the principal and sub...
Enforceability of limitation clauses
Construction contracts and contracts for professional services typically include a range of provisions which seek to allocate risk between the parties, and limit potential liability to be attributed to one party.
NZS 3910 Court Judgment, With Implications
The High Court decision in Hellaby Resource Services Ltd v Body Corporate 197281 [2021] NZHC 554 is a rare NZS 3910 decision, with implications for the construction sector. 
09.07.2021 Posted in Construction
Construction Contractor Controversy: Guidance on the Status of Contractors
Workers in the construction industry are frequently engaged as independent contractors.
18.06.2021 Posted in Business Advice & Construction & Employment
Retentions Regime: On the Road to Repair
The retentions regime in the Construction Contracts Act 2002 is on the road to repair with the introduction of the Construction Contracts (Retention Money) Amendment Bill (Bill) on 1 June 2021.  The ...
16.06.2021 Posted in Construction
Contractors, Caveats, and Retention of Title clauses
The High Court in Development Construction Company Ltd v Mackenzie [2021] NZHC 546 has confirmed  that retention of title (RoT) clauses do not provide contractors with a caveatable interest. This dec...
Adjudication When In Administration
In Meltzer and Lamacraft v Amstar New Zealand Ltd the High Court highlighted the interplay between insolvency and construction adjudication issues.
15.04.2021 Posted in Construction
Construction Contracts Act Enforcement Costs
Cubo Projects Ltd v S&S Import Solutions Ltd
17.02.2021 Posted in Construction
My way or the highway: repudiation, cancellation and dispute resolution clauses
In Jade Residential Ltd v Paul, the Court of Appeal reviewed two issues which may arise in contractual disputes: The right to cancel a contract for “partial” repudiation; and Whether an aggrieved...
Making up the shortfall: Interim injunction requiring retentions in a separate trust account
In a recent High Court decision,[1] Hanlon Plumbing Limited (Hanlon) successfully obtained an interim injunction on a without notice basis requiring Downey Construction Limited (Downey) to pay retenti...
16.11.2020 Posted in Construction
Proposed Reforms to Building Act and Regulations
There are major changes to the Building Act on the horizon that will impact the entire construction sector including manufacturers, builders, building consent authorities, consultants and many others ...
The City’s Breaking and Everybody’s Shaking
Climate change and its effect on contract risk in the construction industry
14.09.2020 Posted in Construction
Construction’s Insolvency Predicament: Cooper, Mainzeal and Reckless Trading
Insolvency events have become common place in the construction industry in recent years. In particular, a focus has been investigating whether directors allowed their insolvent company to engage in re...
Fresh guidance on payment schedule requirements
Payment schedule in Commercial Bay project fails to comply
28.08.2020 Posted in Construction
A high bar to set aside statutory demands to enforce adjudication determinations under the Construction Contracts Act 2002
The “pay now argue later” principle underpins the Construction Contracts Act 2002 (CCA).  The recent decision of C&R Property Development Ltd v MR Civil Ltd confirms the importance of this pr...
31.07.2020 Posted in Construction
Design life in the spotlight
Blackpool Borough Council v Volkerfitzpatrick [2020] EWHC 1523 (TCC) In 2009, Blackpool Borough Council (Principal), as principal, contracted with Volkerfitzpatrick Ltd (Contractor), as head contracto...
COVID-19: Weekly Construction Briefings
12 June 2020 New Zealand has moved into Alert Level 1 from 8 June 2020. While this means that life has largely returned to normal, as physical distancing and other restrictions have been removed, upd...
12.06.2020 Posted in Construction & COVID-19
Liquidated damages and penalty clauses: the last word on Honey Bees
The Supreme Court’s judgment in 127 Hobson Street Limited & Anor v Honey Bees Preschool Limited & Anor [2020] NZSC 53 confirms the test for determining when a clause in a contract designed t...
10.06.2020 Posted in Construction
Retentions Regime: Government Announces Changes
On 27 May 2020 the Government announced several in-principle changes to strengthen the retentions regime (Regime) in the Construction Contracts Act 2002 (the CCA). Despite the Regime’s introduction ...
04.06.2020 Posted in Construction
Adjudicators’ Powers: The ability to award statutory damages and to consider matters already determined
Adjudication under the Construction Contracts Act 2002 (CCA) is a commonly used procedure to determine disputes between parties to a construction contract.  The recent decision of the High Court in H...
02.06.2020 Posted in Construction
Payment schedule dispute causes delay to Commercial Bay completion
The recent judgment in Fletcher Construction Company Ltd v Spotless Facility Services (NZ) Ltd [2020] NZHC 780 and 871 demonstrates the Court’s pragmatic approach to injunctive relief against a subc...
20.05.2020 Posted in Construction
When sparks fly: Electrix v Fletcher Construction
The High Court[1] has ordered The Fletcher Construction Company Ltd (Fletcher) to pay one of its subcontractors Electrix Ltd (Electrix) $7.5m for electrical work carried out on the recently completed ...
09.05.2020 Posted in Construction
Contract uncertainty leaves room to resist statutory demand: Mega Projects v Orewa Developments
Last week, the Court of Appeal issued its decision in Mega Project Holding Ltd v Orewa Developments Ltd [2020] NZCA 111
Administration of Retentions Trust: Oorshot v Corbel Construction
In 2018 the decision of Bennet & Ors v Ebert Construction Limited (in rec and liq) [2018] NZHC 2934 (Ebert) established an important precedent for the administration of retentions under constructi...
COVID-19: Impacts on Construction Contracts
New Zealand entered Covid-19 Alert Level 4 at 11.59pm on Wednesday 25 March.  Anyone not working in essential services is required to stay at home.  This restriction does not apply to building or co...
08.04.2020 Posted in Construction & COVID-19
COVID-19: Government contract guidelines for NZS3910:2013
The Government has announced contract guidelines to help support the construction industry during the Covid-19 restrictions.  These apply to contracts based on NZS3910:2013 (un-amended), being the mo...
08.04.2020 Posted in Construction & COVID-19
COVID-19: Government signals infrastructure push for economic recovery
While New Zealanders play their part in eliminating the spread of COVID-19 by staying at home, the government has released details of its plans for the construction sector in a post COVID-19 New Zeala...
06.04.2020 Posted in Construction & COVID-19
Adjudication: Conflicts of Interest with Professional Advisors
The last working day of 2019 saw another judicial review of an adjudication determination (Yousseff v Maiden [2019] NZHC 3471), this time focused on conflict of interest and apparent bias.  Despite j...
ACP Cladding Update – Class Action Proposed
Media reports indicate that class action litigation in relation to ACP cladding is very likely.  A litigation funder has announced it will be funding a class action lawsuit for owners of buildings cl...
Compliance Risks in the Construction Industry
Between 2016 and 2022, demand for construction-related occupations is projected to increase by approximately 56,000 employees. Temporary workers provided by third party labour hire agencies have long ...
15.08.2019 Posted in Construction & Employment
Getting the Deal Through: Construction 2020
Hesketh Henry Construction Partners pen the 2020 Chapter of "Getting the Deal Through Construction".
07.08.2019 Posted in Construction
MBIE & STANDARDS NZ
Recent updates to the Building Code Framework
05.07.2019 Posted in Construction
Payment Claims and Payment Schedules
The Payment Claim / Payment Schedule regime in the Construction Contracts Act 2002 (CCA) can be a powerful tool in assisting cashflow in the industry.  Please click here for a practical explanation o...
08.03.2019 Posted in Construction
CONSTRUCTION CONTRACT REFORM: Ten Guidelines the Government could Adopt
“We need to lead by example and if there are things that we can do to take a leadership position with that industry then we should be.” Prime Minister Ardern[1] As 2018 draws to a close a...
21.12.2018 Posted in Construction
Ebert Construction: Court provides Guidance on the Retentions Trust Regime
Following our previous updates (Ebert Construction Receivership – What You Need to Know and Ebert Construction – Receivership and Liquidation), on 12 November 2018 the High Court ordered that the ...
LIQUIDATED DAMAGES
When Actual Delay Losses Exceed Liquidated Damages
14.11.2018 Posted in Construction
Building and Construction Law Journal
Construction partner, Nick Gillies, has been published in the latest Building and Construction Law Journal ((2018) 34 BCL 179).
18.10.2018 Posted in Construction
EBERT CONSTRUCTION: RECEIVERSHIP AND LIQUIDATION
Introduction Following our Initial Note, the receivers of Ebert Construction Ltd (Ebert) released their first report on 1 October 2018.  Then, on 3 October 2018, Ebert put itself into liquidation, wi...
Getting the Deal Through: Construction 2019
Partners Nick Gillies, Helen Macfarlane and Christina Bryant are the contributing authors of the New Zealand Chapter of the 2019 edition of “Getting the Deal Through Construction”. Getting...
19.09.2018 Posted in Construction
A Guide to Concurrent Delay
Hesketh Henry was pleased to host the New Zealand Institute of Quantity Surveyors on 14 August 2018, where one of our construction partners, Nick Gillies, presented on concurrent delay.  The same pre...
22.08.2018 Posted in Construction
EBERT CONSTRUCTION RECEIVERSHIP – What You Need To Know
What is currently known? On 31 July 2018 Ebert Construction Ltd (Ebert) was placed into receivership.  John Fisk, Lara Bennett, and Richard Longman from PwC have been appointed receivers.  The recei...
Updated Subcontract Agreement: SA-2017
The SA-2009 form of Subcontract Agreement is commonly used in the construction industry. It has undergone a review and a new SA-2017 form has been produced.
03.07.2018 Posted in Construction & Health & Safety
CONSTRUCTION LAW UPDATE – JUNE 2018
Recent Construction Law Decisions and Developments in New Zealand
18.06.2018 Posted in Construction
Updated Standard Consultancy Agreements
Two of the most commonly used standard agreements to engage consultants are the ACENZ / Engineering New Zealand (formerly IPENZ) Short Form Agreement (“SFA”) and the Conditions of Contract for Consultancy Services (“CCCS”).
05.06.2018 Posted in Construction
Managing Risk and Dispute Resolution in Construction Projects ….
The best way to manage a dispute is not to have one.
Leaking Buildings: A Council Class Action In The Making?
We are now on what may be called the “third wave leaky buildings”.
We need to talk about the Engineer
Members of Hesketh Henry's specialist construction team have been busy presenting papers at a number of recent industry conferences on various topics of interest
05.04.2018 Posted in Construction
Hesketh Henry Recommended in The Legal 500 Directory as a Leading Firm in 2018
Firm receives recommendations and commentary in 2018 Legal Directories
Construction Law Update – May 2017
Recent Construction Law Decisions and Developments in New Zealand
22.05.2017 Posted in Construction
Hesketh Henry Recognised in Legal 500 Asia Pacific 2017 Legal Directory
Recognised in Legal 500 Asia Pacific 2017 Legal Directory
Clarification of retentions requirements for construction contracts
The retentions regime comes into force on 31 March 2017
25.10.2016 Posted in Construction
Enforcement of Damages in Adjudication
Does a significant factual dispute preclude summary judgement?
19.09.2016 Posted in Construction
Consultants – Are you ready?
How will the changes to the Construction Contracts Act 2002 affect you?
23.08.2016 Posted in Construction
The Construction Landscape in New Zealand
It is now widely accepted that New Zealand is in the midst of the largest construction boom in 40 years.  For anyone working in or providing professional services to the construction sector, it is im...
22.12.2015 Posted in Construction
Building Product Manufacturers and Duties of Care
Carter Holt Harvey Ltd v Minister of Education & Ors [2015] NZCA 321 Last year the High Court[1] refused to strike out a negligence claim that a designer, manufacturer and supplier of building m...
10.12.2015 Posted in Construction
Avoiding and Resolving Construction Disputes
Regrettably, building and engineering is prone to disputation.  As New Zealand moves through a period of significant construction activity, the risk of claims is likely to rise.  High demand combi...
17.11.2015 Posted in Construction
Construction team features in Business North
Our construction team has been featured in the August 2015 edition of Business North, commenting on New Zealand’s current building boom.  The article outlines reasons for the increase in demand, up...
06.08.2015 Posted in Construction
Getting the Deal Through: Construction
Download PDF Helen Macfarlane, together with Christina Bryant, Nick Gillies and Michael O’Brien are the authors of the New Zealand chapter of the 2015 edition of “Getting the Deal Through: Co...
09.03.2015 Posted in Construction
Changes to the Construction Contracts Act 2002
Introduction Since its introduction twelve years ago, the Construction Contracts Act 2002 (CCA) has become a cornerstone of New Zealand’s construction sector.  The CCA followed similar statutory in...
19.02.2015 Posted in Construction
Responding to Progress Payment Claims: Lessons from the Court of Appeal
Two recent Court of Appeal decisions, SOL Trustees Limited v Giles Civil Limited and Watts v Hughes Construction Limited v Complete Siteworks Company Limited highlight potential pitfalls when respondi...
19.12.2014 Posted in Construction
New Residential Building Regulations
The Building (Residential Consumer Rights and Remedies) Regulations 2014 (the Regulations) are coming into force on 1 January 2015.  These implement a number of new consumer protection measures for r...
19.12.2014 Posted in Construction
New Zealand’s Looming Construction Boom
What is Driving the boom?
21.10.2014 Posted in Construction
Rebuilding New Zealand: A case for Dispute Resolution Boards
Download pdf paper Download Powerpoint slides New Zealand sits on the cusp of the largest construction boom in a generation.  One of the challenges (and opportunities) that this presents is how best ...
02.09.2014 Posted in Construction
Presumed Built When Certified
John Anthony Osborne and Helen Osborne v Auckland Council On 10 June 2014, the Supreme Court delivered a decision on the eligibility criteria under s 14(a) of the Weathertight Homes Resolution Servi...
New NZS Construction Contracts
Download full article For ten years NZS 3910:2003 was the form of construction contract most commonly used in New Zealand.  However, following industry feedback, NZS 3910:2003 has now been superseded...
30.01.2014 Posted in Construction
New Zealand Construction Report
The Government has released its Construction Report, which takes an in-depth look at the state and direction of NZ’s construction industry.  Construction is one of the largest sectors in NZ’s eco...
26.11.2013 Posted in Construction
Limiting Flow-on Effects of Contractor Insolvency
You are the subcontractor and supplier of tiles to the cladding contractor on a major commercial construction project. Midway through the project, one of your payment claims is not paid. Some weeks la...
11.11.2009 Posted in Construction
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