Construction Law: Madeleine Li

Construction Law: Madeleine Li

Madeleine Li is a forward-thinking property developer who has many years’ experience in the development of hotel, retail and leisure outlets. Madeleine has spotted potential for development in the large city of Springville. She wishes to develop a very big, uniquely designed, flagship hotel, with high-quality retail outlets, restaurants and a casino. This development will run into many millions of pounds and take many years to complete. All planning and feasibility has been undertaken and approved.

Madeleine’s team are experienced in this type of development in their own country but have no experience in the country where the development is located. For historical reasons, the law of England and Wales applies in Springville.

A team of highly experienced constultants have been assembled. Your role is as project manager for the development on behalf of Madeleine. The main contractor for the development is Monroe Construction (UK) Ltd (MCUK). The main building contract is one which you have recommended to Madeleine, i.e. you can use any standard form of building contract with which you are familiar. The contract you have selected should remain the same throughout the task and should be named at the outset.


Task
Assuming the role of project manager, prepare a report in which you critically analyse the rights and obligations of the parties to the contract, with particular regard to the following:

• Madeleine Li has no previous knowledge or experience of the laws that underpin the contractual and tortious obligations of the construction industry in Springville.
• It is not necessary to write specific contract clauses in detail. However, Madeleine has requested that you highlight clauses that she should pay particular attention to regarding these rights and obligations.
• State why the clauses you have highlighted are especially relevant.
• The same applies to any relevant case law or legislation – Madeleine is not interested in the specifics of the cases but, rather, how the cases relate to her legal obligations and those of the contractor.

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