Construction Contracts : A Formal Contract

In the case between Michael Franz David Willms and Manisha Willms and Macdonald builders (Celtic Homes) Ltd, outlines a “breach of contract and negligent misrepresentation” (Willms v. MacDonald Builders (Celtic Homes) Ltd., 2016), and contains the application of the builder’s lien act. The plaintiffs had come to and agreement with the defendant to renovate their house. However the Plaintiffs argue that the conduct of the defendant led to the creation of many deficiencies, which ultimately led to the project not being completed to the level of satisfaction the plaintiffs desired. This in turn led to legal action.

A basic definition for the procurement is “the way the building is realised” and “involves assembling and organising the skills and services of a team of construction professionals”. (the Construction Round Table, 1995). More precisely, the construction industry describes procurement as “a system that establishes the roles and relationships which make up a project organisation”; hence the overall organisation and communication structure for the management, administration and control of a project is established by the procurement system. (D.C.H Coles, 2010)

Wally, business owner of Windy City Watches is located in downtown Chicago, IL. Business is booming and Wally needs to buy a large quantity of Rolek watches which sell for $50 apiece. He calls Randy Rolek, the wholesaler located in Milwaukee WI. They discuss terms on the phone for a while before coming to an agreement in which Wally offers to buy 100 watches for $25 each. Randy sends over an order form in which Wally states that he is agreeing to purchase watches from Randy for $25 each, but does not include the quantity in which he will buy. Randy sends 50 watches the following week with a note included stating that he has sent 50 watches and will send the other remaining 50 watches within a few days but includes the bill for the full

| |contractors/builders carrying out work on the premises. This is the main legislative framework that|

Another aspect of the FAR that is mentioned by the contractor is the factor that there was no solicitation number

Bernie a resident of Richmond, Virginia decides to sale his 2006 Ford Fusion for $13,000.00 and places an ad in his local newspaper on February 1st. After several weeks without any inquiries, Vivian contacts Bernie on March 1st stating she will pay him $12,000.00 for the car. Bernie arranges to meet with Vivian on March 5th to complete the deal. Vivian comes to Bernie’s house on March 10th and says she will give Bernie $12,500.00 for the car; but she needs three additional weeks to come up with the money. Bernie agrees but only if Vivian puts down a deposit. Vivian agrees and Bernie drafts an agreement stated the sale will must take place no later than March 31st. Vivian reads and signs the agreement and

Insurances The contract allows either the contractor or the owner to insure. Provision is also made for one party to take out and maintain the insurance where the nominated party fails to do so or fails to provide acceptable evidence that the insurance in is place

The error was obvious and can be proven as the owner forgot unintentionally to “insert the number of weeks specified by the tender in the appropriate blank.” The contractor asked to be given the opportunity to show to the court and to the owner his estimate.

1. Name and briefly describe each of the two basic types of competitively bid construction contracts. Which type would be most likely used for building the piers to support a large suspension bridge. Why?

The second problem arises during the time of handover of the project. This is the time where the contractors make the most nuisances and one will surely have to go through some legal hazards during that stage.

The contractors did not properly communicate their design change to the engineers, the only made changes to shop drawings and not through a written request, (Ratay, 2010).

1. For the following types of undertakings, which contract modes are most appropriate? Be prepared to explain the rationale behind your choice.

Another ‘fast track’ strategy where work can be carry out before the design is complete. Construction manager is appointed in early state may benefit to the client. For this strategy, client have direct contract with the trade contractor. Same as management contracting, the final cost for the project can not be identified until the final work has been awarded.

Design and Build – The contractor is single point responsibility with the contractor, where they put across a design with a tender and if they are successful they win the tender.

When it is time to do some form of construction it is not an easy process. Many people want to do construction on various parts of their homes. Sometimes a family has decided it is time to remodel their kitchen and sometimes people figure out that their bathroom is way too small and it is time for it to be updated. Unfortunately a few people try to do the updates themselves and somewhere along doing the project they realize that maybe they should have contacted some construction companies a long time ago. If someone wants for the update to their home then it is best that they contact some professional construction companies to do the work. This way they can completely forget about the project and it will take a great deal of stress off