REALWorld Law

Construction

Parties to a construction or engineering contract

Typically, who are the parties to an engineering or construction contract or package of contracts and who is responsible to whom?

UK - England and Wales UK - England and Wales

UK - England and Wales

The main parties involved in a construction project are:

Employer/client

This is the party procuring the work (typically, a land owner or land developer). In relation to building contracts, this entity is usually referred to as the ‘employer’. In relation to the contracts of appointment of the professional consultants, this party is commonly referred to as the ‘client’.

Contractor

A main building contractor is engaged by the employer to carry out and complete the works. This contractor will usually, in turn, engage subcontractors to carry out and complete separate parts of the works. Contactors may also take responsibility for the design of all or part of the works they are to execute depending on the procurement method and/or contract used. The main contractor will usually assume the Principal Contractor role, which involves managing health and safety risks under the CDM Regulations 2015 and ensuring compliance with building regulations under the Building Regulations 2010.

Professional team

The team of professional consultants appointed can be broken down into two categories, the principal consultants being as follows:

Designers Non-designers
Architect Quantity surveyor
Civil and structural engineer Contract administrator
Mechanical and electrical (or building services) engineer Project manager (usually in larger deals only)
Principal Designer (a designer who performs a health and safety role under the CDM Regulations 2015 and ensures compliance with building regulations under the Building Regulations 2010)

Building Information Modelling (BIM) Manager (required for public sector projects)

Funder

This is the term used to describe the banks and other institutions and parties (for example, government or charitable organizations in the case of urban regeneration, infrastructure and cultural/sports projects) who provide finance to the employer towards the development (and require security in return). Depending on the size of the project, there might be a single bank or a syndicate of banks.