200 contractual problems and their solutions by J. Roger Knowles

By J. Roger Knowles

Procurement -- Tenders and bidding -- layout -- Letters of purpose -- Programme -- Delays and hold up research -- Extensions of time -- Liquidated/delay damages -- diversifications -- Loss and expense/additional rate -- cost -- sensible finishing touch and defects -- Rights and treatments -- Adjudication

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3. 4. 5. 200 Contractual Problems and their Solutions 30% and 40% of Baird’s annual turnover. There was no guarantee of the number of garments which would be ordered, but over the years there had been a steady but varying amount of business. The parties worked together to ensure that what was not selling well could be returned and new designs jointly developed. The chairman and chief executive of Marks and Spencer stated that for over 70 years the relationship between Marks and Spencer and its suppliers was governed by the principles of partnership.

When arriving at the contract price, the first-stage price or target cost can be adjusted to reflect subsequent changes in design. It is helpful if the design of one of the early stages of the work, such as the substructure, is completed at the point of first-stage bids. This enables a final price to be established for one of the stages, and possibly an early start on that part of the work can be made. The situation is different where the procurement involves the contractor providing a full design service.

In the case in question, J&A Development v. Edina Manufacturing Ltd and Others (2006), J&A Development was asked by Edina Manufacturing Ltd to submit a tender for the construction of a workshop, offices and associated work at an industrial estate in Lisburn. The tender enquiry documents prepared by ADP Architects and Design Partnership stated that the tendering procedure was to be in accordance with the principles of the Code of Procedure for single-stage selective tendering, published by the NJCC in 1996.

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