BuildLaw: In Brief Subtle but significant change to NEC4 (ECC) NEC has remained true to its core values in its latest update of contracts in the form of the NEC4. There is still a clear focus on issuing a contract in simple English which drives good project management and flexibility and the NEC website is keen to highlight this fact by describing the new suite of NEC4 contracts as “significant evolution, not revolution”. Clarity is still at the heart of contract to drive effective project management. Robert Weatherly recently noted in of Mills & Reeve’s Practical Completion blog that a subtle, but useful change has been the compensation event at clause 60.1(14) which identifies ‘Client (previously Employer) risk’ events. Previously Client risks were defined as any event “stated in this contract” and it was often argued that the definition should could be construed broadly to include anything contained in the ancillary documentation including the Risk Register notwithstanding that the Risk Register is intended to be nothing more than a tool for the Project Manager to manage risk. Clause 60.1(14) of NEC4 now clearly refers to Client risks as being those “stated in these conditions of contract”, thereby limiting the risks to those contained in the Core Clauses (mainly clause 80.1), the W to Z clauses, and those listed in the Contract Data, where additional Client risks can be recorded, if there are any. BEAL CodeMark product certification body accreditation suspended As of 12 September 2018, BEAL Certification Service Limited’s (BEAL) accreditation as a CodeMark product certification body under the Building Act 2004 has been suspended by the Joint Accreditation System of Australia and New Zealand (JAS-ANZ). The suspension is due to BEAL not meeting
CodeMark scheme accreditation requirements. The suspension may be lifted by JAS-ANZ if BEAL resolves the issues that led to its suspension – BEAL has been given until 3 October 2018 to resolve the issues. While suspended BEAL cannot evaluate and certify any new building products. All current CodeMark product certificates issued by BEAL remain valid and can be relied on by building consent authorities. JAS-ANZ is appointed by MBIE and is responsible for the accreditation and ongoing monitoring of product certification bodies for the CodeMark product certification scheme. Building Amendment Bill The Canterbury and Kaikōura earthquakes highlighted gaps in current legislation for managing buildings after an emergency, including the need to better manage the transition from civil defence emergency management powers to business-as-usual powers under the Building Act.