Retention money - a necessary evil or a pernicious device?
Series: Construction Law Bulletin ; March 2003, 21-23(3)Publication details: 2003Subject(s): Summary: Reports on the advantages and disadvantages of the retention system in the light of the release of the House of Commons' Trade and Industry Committee report "The use of retentions in the UK construction industry". Advantages highlighted include the provision of a fund for rectifying defects and an incentive to a contractor to remedy defects. Disadvantages include that a contractor may not be paid in full for satisfactory work and it may present cash-flow problems for a contractor. Alternatives such as bonds, guarantees and insurance were discarded and the committee concluded their use must continue until a viable replacement is devised.| Item type | Current library | Call number | Copy number | Status | Barcode | |
|---|---|---|---|---|---|---|
| Journal article | London Journal article | ABS66492 (Browse shelf(Opens below)) | 1 | Available | 121841-1001 |
Reports on the advantages and disadvantages of the retention system in the light of the release of the House of Commons' Trade and Industry Committee report "The use of retentions in the UK construction industry". Advantages highlighted include the provision of a fund for rectifying defects and an incentive to a contractor to remedy defects. Disadvantages include that a contractor may not be paid in full for satisfactory work and it may present cash-flow problems for a contractor. Alternatives such as bonds, guarantees and insurance were discarded and the committee concluded their use must continue until a viable replacement is devised.