On 4 February 2016, JCT announced that a new 2016 family of contracts is to be issued. Key changes include:

  • Incorporating and updating provisions from the JCT Public Sector Supplement relating to Fair Payment, transparency and BIM.
  • Updating the provisions relating to the CDM Regulations 2015.
  • Incorporating provisions reflecting the Public Contracts Regulations 2015, for use on public sector projects.
  • Changing the payment provisions:

- To reflect Fair Payment principles, with Interim Valuation Dates which will operate at main contract, sub-contract and sub-subcontract levels.

- The interim payment due date provisions and monthly cycle of dates applicable up to practical completion in the revised form now continue to apply after practical completion.

- A procedure for prompt assessment of Loss and Expense claims is to be introduced.

- The payment provisions are amended to consolidate the payment and notice requirements of the Housing Grants, Construction and Regeneration Act 1996.

  • Updating the contract to include for the provision of the grant of Performance Bonds and Parent Company guarantees. This is to include optional provisions for the obtaining of Collateral Warranties from sub-contractors.
  • Extending Insurance Option C and consolidation of the generic provisions that apply to Insurance Options A, B and C (evidence of insurance, insurance claims and reinstatement work).
  • Further amendments are also intended to improve the suite's "functionality and user-friendliness", such as:

- clarifying the intellectual property provisions; and

- incorporating the provisions of the JCT 2012 Named Specialist Update.

The date for publication of this new suite of contracts is yet to be confirmed.

Practitioners and users of the JCT Contract are likely to welcome these changes, many of which will already feature in their bespoke schedules of amendments to the JCT 2011 editions.


Louise Shiels

Head of Dispute Resolution and Risk & Partner

Manus Quigg