JCT (The Joint Contracts Tribunal)[1]

The JCT suite of contracts is made up of ‘families’ of standard forms, guidance and other documents that are suitable for the majority of construction projects and procurement methods.

JCT contracts are produced to provide two key services:
  • Minimise the transaction cost of entering into a contract
  • Provide benchmark provisions in standard form contracts
Since 1931 JCT has produced standard forms of construction contract, guidance notes and other standard forms of documentation for use by the construction industry.

JCT forms of Contracts

Standard Building Contract[2]

  • The JCT Standard Building Contract is designed for large or complex construction projects where detailed contract provisions are needed. Standard Building Contracts are suitable for projects procured via the traditional or conventional method.
  • Features of projects using the Standard Building Contract:
    • The employer is responsible for the design, and this is usually supplied to the contractor by the architect or design team working on the employer’s behalf. However, Standard Building Contracts also have optional provision for a ‘Contractor’s Designed Portion’, if the appointed contractor is to be responsible for the design of specific parts of the works.
    • Depending on the type of Standard Building Contract used, the employer (through its advisers) will need to provide drawings and specifications, works schedules or bills of quantities to specify the quantity and quality of work at tender stage.
    • Standard Building Contracts are normally administered either by the architect, quantity surveyor, or a contract administrator.
    • Works can be carried out in sections.

Intermediate Building Contract[3]

  • The JCT Intermediate Building Contract is designed for construction projects involving all the recognised trades and skills of the industry, where fairly detailed contract provisions are needed, but without complex building service installations or other specialist work. Intermediate Building Contracts are suitable for projects procured via the traditional or conventional method.
  • Features of projects using the Intermediate Building Contract:
    • The employer is responsible for the design, and this is usually supplied to the contractor by the architect or design team working on the employer’s behalf. If the appointed contractor is to be responsible for designing specific parts of the works, then an Intermediate Building Contract with contractor’s design must be used.
    • The employer (through its advisers) will also need to provide drawings and bills of quantities, a specification or work schedules to specify the quantity and quality of work at tender stage. When using the Intermediate Building Contract with contractor’s design, the employer must also detail the requirements for the parts of the works that the contractor is responsible for designing.
    • Intermediate Building Contracts are normally administered either by the architect, quantity surveyor, or a contract administrator.
    • Works can be carried out in sections.

Minor Works Building Contract[4]

  • The JCT Minor Works Building Contract is designed for smaller, basic construction projects where the work is of a simple nature. Minor Works Building Contracts are suitable for projects procured via the traditional or conventional method.
  • Features of projects using the Minor Works Building Contract:
    • The employer is responsible for the design, and this is usually supplied to the contractor by the architect or design team working on the employer’s behalf. If the appointed contractor is to be responsible for designing specific parts of the works, then a Minor Works Building Contract with contractor’s design must be used.
    • The employer (through its advisers) will also need to provide drawings, a specification, or work schedules to specify the quantity and quality of work at tender stage. When using the Minor Works Building Contract with contractor’s design, the employer must also detail the requirements for the parts of the works that the contractor is to be responsible for designing.
    • The Minor Works Building Contract is not suitable where the project is complex enough to require bills of quantities, detailed control procedures, or provisions to govern work carried out by named specialists.
    • Minor Works Building Contracts are normally administered by the architect or a contract administrator.

Major Project Construction Contract[5]

  • The JCT Major Project Construction Contract is designed for large-scale construction projects where major works are involved. It is used by employers who regularly procure large-scale construction work, and the work is carried out by contractors with the experience and ability to take greater risk than would arise under other JCT contracts. Major Project Construction Contracts are suitable for projects procured via the design and build method.
  • Features of projects using the Major Project Construction Contract:
    • The employer and contractor have their own detailed in-house procedures, so only limited procedures need to be set out in the contract conditions. As the contractor assumes more risk than in other JCT contracts, they, along with the employer and their respective advisers and sub-contractors are experienced in detailed risk management and undertaking large commercial projects.
    • The contractor is responsible for the design, as well as completing the works. The scale of design work to be carried out by the contractor can vary. Sometimes the contractor will complete a design based on a concept provided through the employer’s advisers. Other instances may call for the contractor to be responsible for producing and completing the design right from the outset, either through their in house team or employing their own specialist designers.
    • Often in Major Projects, a ‘novation’ agreement is put in place so that the architect or designer who initially worked with the employer continues to complete the design under the responsibility of the main contractor.
    • The employer usually employs a representative to exercise their powers and functions under the contract.
    • Project can be carried out in sections.

Design and Build Contract[6]

  • The JCT Design and Build Contract is designed for construction projects where the contractor carries out both the design and the construction work. Design and build projects can vary in scale, but the Design and Build Contract is generally suitable where detailed provisions are needed.
  • Features of projects using the Design and Build Contract:
    • The scale of design work need to be carried out by the contractor can vary greatly on design and build projects. Sometimes the contractor will complete a design based on a concept provided through the employer’s advisers. Other instances may call for the contractor to be responsible for producing and completing the design right from the outset, either through their in house team or employing their own specialist designers.
    • The design requirements and responsibility of the contractor in design and build projects go beyond that covered in a traditional contract with a contractor’s designed portion. Adequate time and care needs to go in to detailing the employer’s requirements so that the obligations of the contractor with regard to design is clear.
    • The employer normally uses an agent (either external consultant or employee) to administer the contract.
    • Works can be carried out in sections.

Target Cost Contract[7]

  • The JCT Target Cost Contract is designed for construction projects where the Employer wishes to incentivise the Contractor, and which is achieved through the setting of a Target Cost and the provision of sharing arrangements (a pain and gain mechanism) in relation to actual allowable costs incurred. Under the Target Cost Contract the contractor carries out both the design and the construction work. Design and build projects can vary in scale, but the Target Cost Contract is generally suitable where detailed provisions are needed.

Management Building Contract[8]

  • The JCT Management Building Contract is designed for construction projects where the employer appoints a management contractor to oversee the works. Construction is completed under a series of separate works contracts, which the management contractor appoints and manages for a fee. Management building contracts are suitable for projects procured via the management method.

Construction Management Contract[9]

  • The JCT Construction Management Contract is for use on construction projects where the employer appoints separate trade contracts to carry out the works, and a construction manager to oversee the completion of the works for a fee. Construction Management contracts are suitable for projects procured via the management method.

JCT-CE Contract[10]

  • JCT has collaborated with Constructing Excellence to develop the JCT – Constructing Excellence Contract. The JCT – Constructing Excellence Contract can be used to procure a range of construction services and is specifically tailored for use in partnering and where participants wish to engender collaborative and integrated working practices.

Measured Term Contract[11]

  • The JCT Measured Term Contract is designed for use by employers who have a regular flow of maintenance, minor works and improvements projects that they would like to be carried out by a single contractor over a specified period of time. Measured Term Contracts are suitable for projects procured via the traditional or conventional method, using a measurement payment structure.

Prime Cost Building Contract[12]

  • The JCT Prime Cost Building Contract is designed for projects that require an early start on site, often for alterations or urgent repair work (such as fire damage). The exact nature and extent of the work is not known until the project is underway, so full design documents are not completed until work has commenced. Prime Cost Building Contract is suitable for projects procured via the traditional or conventional method, using a cost reimbursement or cost plus payment structure.

Repair & Maintenance Contract[13]

  • cqwfct is designed for use on individual projects that involve a defined programme of repair and maintenance works to specified buildings or sites. This contract is primarily for use by local authorities and other employers who regularly place small and medium-size contracts for jobbing work and are sufficiently experienced that an independent contract administrator is not required.

Home Owner Contracts[14]

  • JCT’s Home Owner Contracts are designed specifically for people looking for the benefits and protection of a contract when appointing consultants or contractors to carry out their building work.
  • Employing experienced building professionals ensures that your home building or renovation works are properly managed and completed to a high standard. The advantage of using the JCT Home Owner Contract means that you get peace of mind in knowing that the obligations of all the parties you employ – contractors, architects, surveyors, etc. are clearly set out and defined.

References

  1. https://corporate.jctltd.co.uk/about-us/about-our-contracts/ ↩
  2. https://corporate.jctltd.co.uk/products/standard-building-contract/ ↩
  3. https://corporate.jctltd.co.uk/products/intermediate-building-contract/ ↩
  4. https://corporate.jctltd.co.uk/products/minor-works-building-contract/ ↩
  5. https://corporate.jctltd.co.uk/products/major-project-construction-contract/ ↩
  6. https://corporate.jctltd.co.uk/products/design-and-build-contract/ ↩
  7. https://corporate.jctltd.co.uk/products/target-cost-contract/ ↩
  8. https://corporate.jctltd.co.uk/products/management-building-contract/ ↩
  9. https://corporate.jctltd.co.uk/products/construction-management-contract/ ↩
  10. https://corporate.jctltd.co.uk/products/jct-ce-contract/ ↩
  11. https://corporate.jctltd.co.uk/products/measured-term-contract/ ↩
  12. https://corporate.jctltd.co.uk/products/prime-cost-building-contract/ ↩
  13. https://corporate.jctltd.co.uk/products/repair-maintenance-contract/ ↩
  14. https://corporate.jctltd.co.uk/products/home-owner-contracts/ ↩