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Conditions of contract standard needs repair work

28 Apr 2021


A scoping report commissioned by the NZ Construction Industry Council (NZCIC) has recommended a revision of Standards NZ Conditions of contract for building and civil engineering construction (NZS 3910:2013) to ensure it is fit for purpose and widely accepted.

NZS 3910 is used as the foundation for most contracts in the civil construction industry. It provides standard conditions for contract documents, enabling principals, engineers and contractors to quickly establish agreements. But the standard has not been updated since 2013 and it has not kept pace with industry and legislative changes.

The NZCIC scoping report found the standard is still widely used and supported by the industry, but in most cases, a proliferation of special conditions are added to contract documents.

The report recommends forming a Standards NZ Development Committee to draft an interim standard, undertake a full revision of the 2013 standard and ensure it is reviewed regularly in the future.

CCNZ is a member of NZCIC and its CEO Peter Silcock has taken a lead role by co-ordinating the project on behalf of NZCIC.

Peter says CCNZ wants to see the content and format of NZS 3910 updated, and a standard contract created using an online smart form that allows users to immediately see any amendments to the Special Conditions section. 

“This update is overdue and needs to address issues like the move to more collaborative projects and a fair and equitable sharing of risk.”

The scoping report can be accessed in PDF format on the NZCIC website.

 

 

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