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Construction & Infrastructure Bulletin - July 2021

The first half of 2021 has seen a variety of changes across the construction industry, with the arrival of new regulations, coupled with interesting judgments from the courts. The continuing uncertainty of COVID-19 and adapting to post-Brexit life have meant for a challenging first half of 2021. As a team we are constantly monitoring legal and industry developments and links to a selection of our recent articles are below.

Court enforces adjudicator’s decision in favour of an insolvent party

We take a look at a recent case considering enforcement of an adjudicator’s decision in favour of an insolvent party, following the useful Supreme Court case of Bresco v Lonsdale, in which it was held that companies in liquidation can adjudicate their construction disputes.

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Introduction of the Construction Playbook

In December 2020 the Government published the Construction Playbook, being a guide to the procurement of construction services across the public sector.

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VAT reverse charge for construction services

Construction businesses need to address the significant change to the way in which VAT is charged and accounted for on the supply of construction services. The VAT reverse charge came into force on 1 March 2021 and has been introduced to reduce VAT fraud in the construction industry.

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TCC enforces adjudicator’s decision overruling an exclusive jursidiction clause in favour of a foreign court

Motacus Constructions Ltd v Paolo Castelli SPA [2021] EWHC 356 (TCC) is the first authoritative decision by an English court on whether, in a construction contract for works in England, the inclusion of an exclusive jurisdiction clause in favour of a foreign court prevents an English court from enforcing the adjudicator’s decision.

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The force (majeure) may not be with you – Covid-19 drafting in development agreements

COVID-19 has dominated all aspects of our lives for the past year, with the drafting and interpretation of legal contracts being no exception. In this article, we explore key points to consider when negotiating development agreements in a post-pandemic landscape. 

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For more information on the above please contact the Construction & Infrastructure team.

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