The Importance of Proper Drafting in relation to Construction Contracts

The addition of Section 17(2A) to The Building and Construction Industry Security of Payment Act (“SOPA”), which came into effect on 15 December 2019, and the recent Court of Appeal decision in Orion-One Residential Pte Ltd v Dong Cheng Construction Pte Ltd [2020] SGCA 121 (“Orion-One”) highlights the importance of proper drafting in relation to construction contracts.

Section 17(2A) of the SOPA compels an adjudicator to disregard any claim for damage, loss or expense that is not supported by: (a) any document showing agreement between the parties on the quantum of the said claim; or (b) any certificate or other document that is required to be issued under the contract. While exception (a) very much depends on the negotiations between the parties, exception (b) is, to a certain extent, within the control of the party drafting the contract.

Continue reading “The Importance of Proper Drafting in relation to Construction Contracts”

Building and Construction Industry Security of Payment Act (“SOP Act”): Supplementary Rules for Electronic Adjudication Lodgment

Download a PDF of this Alert

Introduction

On 15 April 2020, the Singapore Mediation Centre (“SMC”) enacted Supplementary Rules for Electronic Adjudication Lodgment to provide for:

  1. the electronic lodgment of documents;
  2. telegraphic transfer of fees;
  3. electronic service of documents; and
  4. adjudication conferences.

Continue reading “Building and Construction Industry Security of Payment Act (“SOP Act”): Supplementary Rules for Electronic Adjudication Lodgment”