Considers the settlement of accounts
Series: Contract Journal ; 411(6355) 28 November 2001, 22(1)Publication details: 2001Subject(s): Summary: Examines the problems for main contractors in settling subcontractors accounts with brief discussion of "Stour Valley Builders v Mr and Mrs T P Stuart". Advises main contractors to consider a number of points including whether proper and timely payment and withholding notices have been sent to all subcontractors; whether pay-when-certified provisions are in place under the subcontracts; the ability of subcontractors to enter into arbitration with the employer using the name of the main contractor; and the prospect of adjudication under the Construction Act 1996. Concludes that formal agreements to settle subcontractor's accounts need to be drawn up carefully to avoid them being re-opened later.Examines the problems for main contractors in settling subcontractors accounts with brief discussion of "Stour Valley Builders v Mr and Mrs T P Stuart". Advises main contractors to consider a number of points including whether proper and timely payment and withholding notices have been sent to all subcontractors; whether pay-when-certified provisions are in place under the subcontracts; the ability of subcontractors to enter into arbitration with the employer using the name of the main contractor; and the prospect of adjudication under the Construction Act 1996. Concludes that formal agreements to settle subcontractor's accounts need to be drawn up carefully to avoid them being re-opened later.