Coronavirus – Construction

The measures that have been put in place by Governments around the world to address the spread of coronavirus are causing significant disruption to businesses and individuals alike, including those working in the construction industry and its supply chain.

At the same time, there is a risk of substantial limits being placed upon the ability of the courts to hear cases in circumstances where a dispute arises.

In the circumstances, you may wish to resolve any dispute using construction adjudication, which can be progressed using emails, without face-to-face meetings.

What is adjudication?

Adjudication can be a quick, efficient and cost-effective way to resolve disputes in the construction industry.

Disputes are determined by an adjudicator, who in most cases will be an experienced construction lawyer or an independent construction professional. The adjudicator’s decision is binding upon the parties involved.

Read more about adjudication here.

If you are considering using adjudication to resolve a dispute, please contact us today.

What happens if my construction project is closed down?

This will depend both on the reasons why your construction project has been closed down and the provisions in your contracts.

It will also depend upon any provision the Government makes for businesses and individuals working in the construction industry.

If your construction project is closed down at the discretion of the lead contractor or the client, the arrangements are likely to be different from circumstances where your project is shut down as a result of an order from a public authority.

Update – 24 March 2020:

Although the Government has placed significant restrictions on the circumstances in which people are able to leave their homes over the coming weeks, the Housing Secretary has confirmed that construction sites can continue working.

Read an update from Suryen Nullatamby on the applicability of Force Majeur to construction contracts during the coronavirus crisis here.

If your construction project has been closed down or you suspect it will be closed down, please contact us today for specific advice.