Further to legal opinions distributed by he Association  in the past week, , this article  will deal with the two most prominent MBSA Contractual Agreements that are in use in the construction industry.

MBSA Domestic Subcontract Agreement

This agreement is aligned to the JBCC PBA and therefore will have very similar clauses to the PBA in dealing with the current lockdown. In the latest published Subcontract Agreement (2014) the following Clauses will apply that allow for an extension of time without any increase to the subcontract value:

Clause 23.1.4   Exercise of statuary power by a body of state or public or local authority that directly affects the execution of the works

Clause 23.1.6  Force majeure

MBSA House Building and Small Contracts Agreement

This is a stand-alone agreement used by the majority of home builders. The clause that is applicable in this instance is the following:

Clause 8.1  Should the Works be delayed by inclement weather, variations or any other cause for which the Contractor is not responsible, the Contractor shall be entitled to a fair and reasonable extension of time for the completion of the Works.

Please note as with the legal opinions distributed last week, all contractors are advised to submit their notices in terms of the contract to the Principal Agent / Client as soon as possible to avoid being time barred in terms of the provisions of the contract.   

Ross Stembridge |Building Services Manager