JCT 2024 Contracts Released!

The JCT have released 2024 editions of the design and build and minor works contract.  The design and build contract what's launched in April 2024 and the minor works contract is now available via the JCT online website.  Key changes to the 2024 editions of the contracts include the adoption of gender-neutral language and the use of electronic notices the inclusion of legislative changes such as the new Part 2A of the building regulations and updating the insolvency grounds to reflect the corporate insolvency and governance act 2020.

JCT have stated that their contracts are being modernised and streamlined.  These changes include the adoption of gender-neutral language.  Whilst JCT in their Section Interpretation Section 1.4.3 includes the statement agenda includes any other agenda and the 2024 edition still includes this statement references to “he” as a reference to the employer have been removed.  For example the 2016 contract at Clause 2.25.1 states “… as he then estimates to be fair and reasonable”, the 2024 contract has changed this statement to read “… as it then estimates to be fair and reasonable.”

JCT have also updated Clause 1.7.4 to include two parts and at 1.7.4.1 the statement now reads that “… notices shall be sent by e-mail to the recipient's e-mail addresses stated in the contract particulars …” updating the notice provisions in the contracts to include serving of notices by e-mail.

The extension of time provisions have been amended at Clause 2.26.4 with an additional Clause 3.15.3 being included in the contract to require the contractor to use their best endeavours not to disturb any asbestos contaminated material or unexploded ordinance complying with this clause is now a relevant event except in the event of these items being identified in the employer's requirements.

An additional relevant event has been included at clause 2.26.7 covering the effects of epidemic.  If an epidemic occurs after the base state which affects the execution of the work limiting the availability of labour or the availability of persons engaged in providing services, this becomes a relevant event. 

Both of these instances are also relevant matters covered by Clauses 4.21.3 and 4.21.6.

An epidemic has also been added as a cause for termination at Clause 8.11.1.5.

The JCT have included additional insolvency grounds which have been included to reflect the corporate insolvency and governance act 2020.  These grounds are found at Clauses 8.1.4.3 and 8.1.4.4 and cover a moratorium pursuant to part a one of the Insolvency Act 1986 and the compromise or arrangement procedure referred to in Part 26A of the Companies Acts 2006.

An additional Article, Article 7, has been included to detail who has been appointed as principal designer in principle contract are for the purposes of the building regulations.  This along with the amendments are made to clause 3.16 of the 2024 JCT contract requires the employer and the contractor to comply with the duties set out in the building regulations part 2A which came about due to the new building safety acts 2022 which follows Dame Judith Hackett's review following the Grenfell disaster.  

An additional Article has been included at Article 3 which details collaborative working this article requires the parties to work with each other and with other team members in a cooperative and collaborative manner in good faith and in a spirit of trust and respect.

Following on with this theme the negotiation and negotiation of disputes clause which was previously in a supplemental provision has been moved into the main provisions and is now requirement in the contract this is included at clause 9.1.  This clause requires the parties to promptly notify of any matter that appears likely to give rise to disputes and requires senior executives to meet as soon as practicable for good faith negotiations.

JCT have included a new general obligation at Cause 2.1.5 which encourages the contractor to suggest economically viable amendments to the works which may result in improvement in environmental performance and stainability in the carrying out of the works or the completed works themselves.

For further information as to how the suite of JCT 2024 Contracts may benefit your project, then please contact James Beckwith.