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Pre Construction Agreement for the United Kingdom

Pre Construction Agreement Template for England and Wales

A Pre-Construction Agreement is a legally binding document under English and Welsh law that establishes the relationship between the client and contractor during the pre-construction phase of a project. It outlines the scope of early contractor involvement, including design development, cost planning, value engineering, and programming activities. The agreement typically precedes the main construction contract and helps manage risk while optimizing project outcomes through early collaboration.

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Pre Construction Agreement

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What is a Pre Construction Agreement?

The Pre-Construction Agreement is essential for projects requiring early contractor involvement before the main construction phase begins. It is commonly used in England and Wales when clients seek contractor expertise during the design development stage. This agreement defines the scope of pre-construction services, payment terms, and deliverables, while establishing clear responsibilities and risk allocation. It typically includes provisions for cost planning, value engineering, constructability advice, and potential transition into the main construction contract.

What sections should be included in a Pre Construction Agreement?

1. Parties: Identification and details of contracting parties

2. Background: Context of the agreement and project overview

3. Definitions: Key terms used throughout the agreement

4. Scope of Pre-Construction Services: Detailed description of services to be provided

5. Duration and Programme: Timeframes and key milestones

6. Payment Terms: Fee structure, payment schedule and mechanisms

7. Obligations and Responsibilities: Key duties of each party

8. Insurance Requirements: Required insurance coverage and limits

9. Termination: Conditions and procedures for contract termination

10. Governing Law and Jurisdiction: Specification of applicable law and dispute resolution

What sections are optional to include in a Pre Construction Agreement?

1. Value Engineering: Provisions for cost optimization and efficiency improvements, typically included for large or complex projects

2. BIM Protocol: Building Information Modeling requirements and procedures, included when BIM is being utilized in the project

3. Sustainability Requirements: Environmental and sustainability obligations, included for projects with specific environmental targets

4. Interface Management: Procedures for managing interfaces with other contractors or stakeholders, included for complex projects with multiple parties

5. Intellectual Property Rights: Provisions regarding ownership and use of designs and other intellectual property

What schedules should be included in a Pre Construction Agreement?

1. Schedule 1 - Services Schedule: Detailed breakdown of pre-construction services to be provided

2. Schedule 2 - Fee Schedule: Detailed breakdown of fees, rates and payment terms

3. Schedule 3 - Programme: Detailed timeline and milestones for the pre-construction phase

4. Schedule 4 - Key Personnel: List of key team members, their roles and responsibilities

5. Schedule 5 - Required Insurances: Detailed insurance requirements including types and minimum coverage amounts

6. Schedule 6 - Forms of Collateral Warranties: Template warranties to be provided to third parties if required

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok成人版 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

England and Wales

Document Type

Project Agreement

Cost

Free to use
Relevant legal definitions


































Clauses


































Industries

Housing Grants, Construction and Regeneration Act 1996: Primary construction legislation that governs payment and dispute resolution in construction contracts, including amendments from Construction Act 2009

Contracts (Rights of Third Parties) Act 1999: Legislation governing how third parties may enforce terms of a contract to which they are not a direct party

Late Payment of Commercial Debts (Interest) Act 1998: Legislation concerning interest payments on late commercial payments

Construction (Design and Management) Regulations 2015: Key health and safety regulations specific to construction projects, defining roles and responsibilities of all parties

Health and Safety at Work etc. Act 1974: Fundamental health and safety legislation establishing general duties for workplace safety

Building Regulations 2010: Statutory instruments that set standards for design and construction

Town and Country Planning Act 1990: Primary planning legislation controlling land development and use

Planning and Compulsory Purchase Act 2004: Legislation updating and complementing the planning system

Environmental Protection Act 1990: Framework for environmental protection and waste management

Environment Act 2021: Recent legislation setting new environmental principles and targets

RIBA Work Stages: Professional standards defining project stages in construction and design

JCT Pre-Construction Services Agreement: Standard form contract for pre-construction services

NEC4 Professional Service Contract: Alternative standard form contract for professional services

UK GDPR: Data protection regulation governing personal data processing

Data Protection Act 2018: UK's implementation of data protection requirements

Contract Law Principles: Common law principles governing contract formation, terms, and enforcement

Professional Negligence: Common law principles regarding duty of care and professional standards

Insurance Requirements: Professional Indemnity and Public Liability Insurance requirements for construction professionals

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks, 聽Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination, 聽Severance Pay, Governing Law, Entire Agreemen

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