Forms of Contract Back in the UK – New Forms of Contract fro Chemical and Nuclear Plants

Editor: Dominik Stephan

IChemE has published a new and revised edition of the UK Forms of Contract. The updates take account of improvements in best practice and changes in legislation to conform to new laws such as Local Democracy, Economic Development Construction Act 2009.

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New forms of contract for chemical engineering
New forms of contract for chemical engineering
(Picture: PROCESS)

The forms of contract are suitable for process plant contracts such as chemical and nuclear processes, oil and gas, pharmaceuticals and also performance based plant contracts. Changes in the new edition include rewritten insurance provisions, with clear contractual procedures and rewritten provisions for the performance test regime. These additions should help to provide greater clarity for the management of these important tests which establish whether or not guarantees have been met, IChemE believes. The details of these provisions are a key differentiator from other standard forms of engineering contracts published in the UK.

Reviewed and With Flowcharts – Engineering Contracts Made Easier

Other notable changes include a formal notice procedure, third-party rights provisions, extension of time provisions are enhanced and improved termination procedures. The guide notes have also been reviewed and now feature flowcharts which set out the underlying logic and procedures contained within clause 35 (performance tests) in all forms except the Brown Book, where these tests are not applicable.