Blog

Sub-Contractors: Giving notices and unreasonably tight deadlines could harm your business!

Negotiate timeframes that work for you as well as your client to avoid losing money

Many Sub-Contractors will be aware of 'conditions precedent' - nasty things, and a risky dimension to any contract that we flagged up recently to our clients - but did you know that Sub-Contractors are also at risk of losing money as a result of the unreasonably tight deadlines that contracts often include?

Like conditions precedent, a Sub-Contractor's obligations in respect of giving notices and timely responses can easily go unnoticed before it is too late. Having the duty to do something like notify the contractor that you intend to claim something as extra is not such a bad thing - but make sure you have enough time to comply, or you will miss out.

This is why we recommend challenging onerous contract terms - remember, you should be able to negotiate reasonable deadlines that you can work with! For example, here is an actual clause of this kind:

"The Sub-Contractor must within 5 days after receipt of an instruction provide to the Contractor the cost implications (together with any details the Contractor may request), in accordance with the Conditions of the Sub-Contract. If the Sub-Contractor fails to do so he will waive any entitlement for additional monies."

Is 5 days really feasible for a Sub-Contractor to comply? The danger is that it could take you a week to gather the information - in which case, there would be no right to be paid. The variation may take more than 5 days to complete - if there is no certainty to the pricing in advance of carrying it out - and so there would be no right to be paid.

Protect yourself - have your next contract professionally vetted

It is better to be safe than sorry when it comes to stipulations for giving notice and deadline obligations. They may be perfectly agreeable, but the only way to know that is to check what's expected of you before you enter into a contract.

That's where Quantum CPM (Cost and Project Management) will help. Our specialist Contract Vetting services will help you bust the jargon and flag up any areas within a contract that Sub-Contractors should be wary of. And our service is not just about giving notice and unreasonable deadlines - we will help you to ensure contracts can be administered properly so you can get paid, have you account agreed, and make a profit.

Contract Vetting is part of a full range of professional services that we provide to Sub-Contractors that are vital to the success of any construction project. These professional services range from the measurement and valuation of construction work, to administering contractual terms, appraisal and reporting of the progress of works for application for payment.

Book a free initial consultation

Accessing Quantum CPM's Contract Vetting service is easy with a free initial consultation with no obligation. We provide you with a fixed price quote to vet the contract at any time, so you can avoid any unexpected costs both before and after the submission of tender.

To arrange a free consultation, please all Quantum CPM on 0161 974 6655 or email .