The Joint Contracts Tribunal (JCT) has begun to release of the JCT 2024 suite of contracts, marking one of the most significant evolutions in standard form construction contracts since JCT 2016.
Announcing the update in June 2023, JCT has confirmed that JCT 2024 will be the future suite of standard form contracts for use in construction law agreements.
Understanding the JCT
The JCT produces widely used and respected standard form contracts for use in the construction sector.
There are different types of JCT contracts depending on the needs of your project, such as cost, timescale and complexity.
They can be used to define the responsibilities and obligations of the parties involved in the project, including contractors, subcontractors and other suppliers.
What has changed?
The main features of JCT 2024 include updates and changes relating to:
- Modernising and streamlining – including adoption of gender-neutral language, and increased flexibility around the use of electronic notices.
- Legislative changes – JCT 2024 reflects updates in the Building Safety Act, Termination accounting and payment regulations outlined in the Construction Act, new insolvency grounds reflecting the Corporate Insolvency and Governance Act 2020.
- Good faith and dispute resolution – New contracts will include supplementary provisions as a mandatory provision in respect of the fact that the parties are to work in co-operation and good-faith as well as making the supplemental dispute resolution process mandatory.
- Future proofing –Changes to reflect the Construction Playbook, provisions relating to Collaborative Working, and sustainable development and environmental considerations.
- Extensions of time – JCT 2024 broadens the grounds for extension of time claims to include epidemics, contamination, undetonated ordnance or asbestos.
For the majority of JCT contracts, a tracked change version is available to show you exactly what has changed between 2016 and 2024.
Design and Build Contract 2024
The new JCT Design and Build (D&B) Contract suite is the first of the JCT 2024 suite to be released.
It has been exclusively published via the JCT Construct subscription service, with traditional digital and hard copies also available upon request and purchase.
In addition to the changes we have previously outlined, JCT D&B updates have introduced a new contract family – JCT Target Cost Contract (TCC), comprising a main contract, sub-contract, and guide.
This is designed to spread the risk of construction projects across clients, contractors and the rest of the supply chain through “pain/gain” clauses.
Minor Works 2024
Minor Works contracts are designed for small-scale, simple construction projects and are generally more straightforward than other contract families.
Published on 15 May 2024, the new edition of the Minor Works Building Contract family includes:
- Minor Works Building Contract 2024
- Minor Works Building Contract with contractor’s design 2024
- Minor Works Sub-Contract with sub-contractor’s design 2024
- Minor Works Building Contract 2024 – Tracked Change Document
- Minor Works Building Contract with contractor’s design 2024
- Short Form of Sub-Contract 2024 (ShortSub 2024)
- Sub-subcontract 2024 (SubSub 2024)
We can advise you on using, drafting and implementing standard form contracts, and adapting them to the needs of your project.