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Citizengas  
#1 Posted : 22 October 2018 12:28:58(UTC)
Rank: Forum user
Citizengas

Good Afternoon,

Can someone tell me what takes precedence - a signed contract or current legislation?

A client of ours has written a clause in a contract with us which makes us, as the Principal Contractor, responsible for carrying out a certain task, our Commercial team has just accepted this clause and the contract is now signed and sealed. 

However, current legislation (in this instance it is CDM2015) defines that Principal Designer as being responsible for the task!

I have pointed this out to the Client and he has come back and said "Yeah, we know that but you have now signed the contract so the responsibility now lies with you!"

In the event of a failure on our behalf to complete the task, would we have a valid defence in that the PD cannot pass on responsibility under current legislation?

Thanks very much for your help

Alfasev  
#2 Posted : 22 October 2018 13:49:23(UTC)
Rank: Super forum user
Alfasev

Legislation always takes precedence over contract law. If you have not been appointed as Principal Designer in writing by the Client, which can include by contract, you are not the Principal Designer and therefore not liable to fulfil their duties. If the Client has not appointed anyone they must fulfil the role of Principal Designer.

However as Principal Contractor you can be classed as a designer if you arrange or instruct others to carry out design works.

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Citizengas on 22/10/2018(UTC)
A Kurdziel  
#3 Posted : 22 October 2018 14:13:16(UTC)
Rank: Super forum user
A Kurdziel

As far as I understand CDM the law requires that the Client either appoints a Principal Designer or takes on the responsibility for themselves. There is nothing in CDM to prevent them appointing the same people as both Principle Contractor and Designer. They can also draw up a contract saying as much. The real question is: did you agree to the terms of the contract appointing you as a Designer? If you did you might be stuck with the role unless you can prove that you are not competent to deliver on this role.

boblewis  
#4 Posted : 22 October 2018 17:16:23(UTC)
Rank: Super forum user
boblewis

The client stated clearly in the tender documents that the winning contractor would also act as Principal Designer aand your organisation has accepted this.  There has been no breach of CDM as the client has appointed you in writing via the contract documents.  You do need a discussion with your tendering arm as such an oversight can be very expensive.  The last contractor who failed to read my pre tender information ended up finding £100k out of their bottom line profit

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A Kurdziel on 23/10/2018(UTC)
Citizengas  
#5 Posted : 23 October 2018 10:08:24(UTC)
Rank: Forum user
Citizengas

Thanks very much to A Kurdziel and boblewis for taking the time to respond. 

Perhaps my ramblings in my original post weren't as clear as I intended. 

We have not assumed the role of PD in the contract, the Client has appointed another to that role, which is clearly stated within the contract and within the tender documents.

However, the contract has allocated a task to us for which CDM2015 clearly places the obligation onto the PD. My question was whether or not the signed contract takes precedence over current legislation

SteveL  
#6 Posted : 23 October 2018 10:48:29(UTC)
Rank: Super forum user
SteveL

My understanding of contracts is, a contract cannot expect a vilation of law, or allow for a breach of legislation, this would make the contract uninforcable in contract law, would the requirement added breach the legislation, if so the contract is invalid.

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Citizengas on 23/10/2018(UTC)
A Kurdziel  
#7 Posted : 23 October 2018 11:30:01(UTC)
Rank: Super forum user
A Kurdziel

Looking at CDM, it assumes that there is a package of duties that rest with the Principal Designer. Nowhere does it says that you can spilt these duties up between parties, which is what it looks like your client is trying to do. Unfortunately nether does it say that you cannot split these duties up! I’d say this a legal grey area and it requires a lawyer to look at it. Sorry it’s beyond me!

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Citizengas on 23/10/2018(UTC), toe on 30/10/2018(UTC)
achrn  
#8 Posted : 23 October 2018 12:53:50(UTC)
Rank: Super forum user
achrn

Originally Posted by: Citizengas Go to Quoted Post

We have not assumed the role of PD in the contract, the Client has appointed another to that role, which is clearly stated within the contract and within the tender documents.

However, the contract has allocated a task to us for which CDM2015 clearly places the obligation onto the PD. My question was whether or not the signed contract takes precedence over current legislation

Contract won't over-rule statute, but the statute doesn't generally prevent anyone else from duplicating a task that the PD has to do.

So, for example, CDM requires that the PD provide pre-construction information, promptly and in a convenient form, to every designer and contractor.  It doesn't say that no-one else may provide pre-construction information, so if the contract says that some party will provide some information, they would still be in breach of contract if they failed to do so.  Conversely, it would remain the PD's duty even if someone else circulated some of it.

That is, it won't be possible for the contract to remove a duty from the PD, but I don't think you get to ignore a contractual requirement just because someone else also has an equivalent duty (whether due to statute or contract).

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Citizengas on 23/10/2018(UTC)
ezzy86  
#9 Posted : 25 October 2018 13:07:21(UTC)
Rank: New forum user
ezzy86

In the contract, have they delegated a duty that would normally be the PDs or have they wholly appointed you as the PD? Who has been formally named as the PD on the F10 or in contract agreements?

If someone else has been appointed PD, a particular management duty can be given to another dutyholder but only on agreement by all parties and it should be written into the Construction Phase H&S Plan. However, if the legal duty is that of the PD but delegated to a PC, the PD still holds the legal liability for fulfilling that legal responsibility. The PD would still be responsible for ensuring the PC was discharging that duty. From what I have read, actioning of duties can be passed on but legal liability and responsibility cannot.

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Citizengas on 26/10/2018(UTC)
boblewis  
#10 Posted : 27 October 2018 11:47:38(UTC)
Rank: Super forum user
boblewis

Of course you cannot contract to be in breach of legislation but this is not the case here.  Your organisation has been contracted by the client to provide part of the PDs duties; but this does not, as some have said, mean that the PD has not been contracted to supply the same information.  It is a client ensuring everything is captured, including any information the PC may gather such as information from his subcontractors.

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A Kurdziel on 29/10/2018(UTC)
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