Defintion[1]

Designed specifically for civil engineering and infrastructure projects, these contracts are based on the earlier ICE (Institution of Civil Engineers) conditions . They provide a clear, standardized contractual framework drafted jointly by employers, consultants, and contractors.

ICC forms of Contracts

  • Measurement Version
    • This is one of the standard contracts used for UK civil engineering and infrastructure work. The ACE state that the contract has been drafted by employers, consultants and contractors to provide a clear and standardised contract specifically tailored for civil engineering and infrastructure projects.
    • The Measurement Version is for use on a traditionally procured project where the contractor carries out the construction of the works in accordance with a design provided by or on behalf of the employer. Valuation of the contractor’s works is by measurement. This form of contract is intended to provide a comprehensive and clear set of conditions, with a fair balance of risks between employer and contractor and with administration by an independent engineer. 
  • Design and Construct Version
    • This contract is for use where the design and build procurement route has been chosen. Therefore, the contractor is responsible for all aspects of design and construction, including any design originally provided by or on behalf of the employer unless otherwise stated. 
    • Payment to the contractor is on a lump sum basis but other forms of payment may be used.
    • The contract encourages the benefits of team working and current procurement initiatives.
    • If the procedures are followed, the parties to the contract will be provided with an ‘early warning’ of circumstances that may give rise to additional costs or delay in completion of the contract in order to assist in the mitigation or prevention of such events.
    • The ACE state that the contract is based on the Design and Construct Version of the ICE Conditions of Contract and will be familiar to those who know that contract.
  • Term Version
    • Under this contract, a contractor is appointed to carry out such work for an agreed period of time (the term), carrying out such packages of work as may be required by the employer under conditions set out in the contract. The Term Version uses call-off orders (known as Works Orders) to accommodate rolling renewal or replacement requirements (based on re-measurement or a lump-sum quotation for a particular operation). The engineer also maintains its traditional role of advising the employer, designing and supervising the works
    • and certifying payment.
    • The ACE envisages the Term Version to be suitable for planned maintenance or refurbishment work, as well as for emergency works where a contractor may be on call.
    • The contract is based on the Term Version of the ICE Conditions of Contract and will be familiar to those who know that contract.
  • Minor Works Version
    • This is a traditional procurement contract (i.e. employer designed) for minor civil engineering works.
    • The Minor Works Version is based on the former ICE Conditions and includes amendments resulting from experience in use, including a responsibility on the employer to provide the contractor with all relevant information to the works and a right for the engineer to have access to work in hand whether on or off site. In view of the short duration of these contracts, retention provisions have been removed.
  • Target Cost Version
    • This contract is the newest member of the Infrastructure Conditions of Contract family and
    • has been produced due to industry demand.
    • This contract allows the employer, usually with the assistance of the contractor, to set a clear target for the cost of the civil engineering works to be carried out, in order to avoid projects overrunning on cost and deadline. The contract also includes a painshare/gainshare mechanism so that the employer and contractor can share any cost savings or overspend.
    • The ACE also states that to utilise the Target Cost Version effectively, a more open style of control and management is required which will permit an early and joint approach to the identification and management of risks. This is intended to lead to better channels of communication between employer and contractor, at every project stage.
  • Ground Investigation Version
    • The Ground Investigation Version is based on the traditional pattern of an investigation
    • designed by an engineer and carried out by a specialist contractor.
    • The ACE states that this contract is intended for the situation where the employer wishes to develop a site and has geotechnical specialists who will carry out any initial desk study, identify the geotechnical requirements of the project and design a ground investigation to suit those requirements.
  • Archaeological Investigation Version
    • This is a specialist contract relating to archaeological investigations. It can be used whenever there is a need to procure an archaeological investigation, e.g. as part of the planning process or as part of an environmental impact assessment.
  • Partnering Addendum
    • This is a partnering agreement, where parties to a contract work together and collaborate to
    • deliver a project.
    • The ACE states that the Partnering Addendum ‘aims to deliver an effective and flexible mechanism for multi-party partnering using Infrastructure Conditions of Contract, ACE Agreements 2009 and CECA Forms of Subcontract’. The document governs the implementation of the partnering arrangement and the relationship between the partners.
    •  The ACE and CECA have subsequently revised and published the ICC suite of contracts.
    • Details of these new forms will be set out in the next revision of this practice information

References

  1. RICS - Appropriate contract selection - 2nd edition, April 2024 (Page 38)