A key decision for any developer client Design and Build
commencing a construction project is In design and build procurement, the how the project should be procured or, contractor assumes responsibility for in other words, what contractual both the design and the construction of structure should be adopted. the works. The client will usually engage a team of consultants to produce a The two most common procurement preliminary design for the project. The methods are “traditional” and “design design consultants are then typically and build”. novated to the contractor so that they can assist the contractor in developing Traditional the preliminary design. The traditional procurement route keeps the design and construction elements of The main selling point of design and the project separate. The client directly build is single point responsibility. If employs both a team of professional something goes wrong, the contractor consultants to design the project and a should be the client’s first and only port contractor to build to that design. An of call. However, to guard against the architect or project manager will be risk of contractor insolvency, the client appointed to administer the building should take additional security in the contract for the client. The contractor form of collateral warranties from has no design responsibility unless the novated consultants and sub- parties agree that he will design a contractors. discrete portion of the works. Design and build projects can be A key benefit of traditional procurement commenced more quickly than those is that the client has a high level of which are traditionally procured because control over the project because he the client can go out to tender with directly employs each designer and the outline design requirements. However, if contractor. This allows the client to keep the client’s requirements are not well a close eye on how his requirements for developed, the client may be the project are being implemented. Hawkswell Kilvington disappointed with the end result. Traditional procurement can also 17 Navigation Court provide the client with a reasonable Although design and build projects can Calder Park degree of cost certainty, as the design of provide reasonable cost certainty due to Wakefield the project should be largely complete at WF2 7BJ them often being procured on a lump- tender stage to allow the contractor to sum basis, there is a risk that the quality 90 Long Acre price for it. of the project could be compromised if Covent Garden the contractor’s tender price turns out to London However, since construction cannot WC2E 9RZ have been too low, because this will begin until the professional team have incentivise the contractor to cut costs. T: 0844 809 9566 completed their designs, traditional E: enquiries@hklegal.co.uk procurement can take some time. Want to know more? W: www.hklegal.co.uk Another potential disadvantage of As a specialist construction law firm, This bulletin contains information of traditional procurement is that if Hawkswell Kilvington can work in general interest about current legal something goes wrong with the project, partnership with your commercial issues, but does not provide legal advice. This bulletin should not be the client is likely to have to pursue property team, allowing you to offer relied upon in any specific situation claims against multiple different parties your clients a full property and without appropriate legal advice. If you in order to recover damages. require legal advice on any of the construction service whilst giving you issues raised in this bulletin, please peace of mind that you will not lose your contact one of our specialist property clients to us. construction lawyers.