JCT Design and Build 2024: Modernisation and streamlining
On 17 April 2024 the Joints Contracts Tribunal (JCT) released the JCT Design and Build Contract (D&B) 2024 as part of its 2024 edition of contracts. This contract was eagerly anticipated.
This blog will cover two topics on the new JCT D&B 2024: modernisation and streamlining.
Modernisation: The JCT has modernised the contract by updating the language to adopt gender neutral language. By way of example, in the First Recital the original wording “Employer has supplied to the Contractor documents showing and describing or otherwise stating his requirements” has become “the Employer has supplied to the Contractor documents showing and describing or otherwise stating its requirements”.
Streamlining: The JCT has embraced electronic methods through the use of electronic signatures within the contract and expansion of the use of electronic notices.
The parties may also execute the contract electronically. By eliminating the need to print hard copies of the contract, time taken to execute contracts can be reduced without the need for postal services and the approach is much better for the environment.
The position on notices is set out at clauses 1.7.3 and 1.7. In the 2016 JCT Design and Build, clause 1.7.3 did not specifically refer to whether any notice, communication or document could be served electronically, although it did allow for service ‘by any effective means’. The newly added clause 1.7.3.2 specifically provides for service by email to the email address stated in the Contract Particulars at 1.7.3 (or such other email address as each Party may notify the other from time to time).
Additionally, parties now have the option for the first time to be able to provide for service of notices by email where the notices are required to be served in accordance with clause 1.7.4 (this clause applies for example, in relation to termination notices ). The right to serve the notice by email will only apply if the Contract Particulars state that clause 1.7.4.2 is to apply. It does not apply automatically. The email address also has to be stated in the relevant part of the Contract Particulars. It is also to be noted that if the email address is to be changed then the notification of change must state that it is a notice of change under clause 1.7.4.2.
We will be providing further blogs regarding the other changes to the JCT DB 2024, keep an eye out for these.