The Joint Building Contracts Committee (JBCC) Principal Building Agreement revision has recently been completed. The main aim of the revision is the avoidance of disputes in contractual matters in the industry.
Some of the noteworthy changes in the 2018 edition include the adaptation of the text for easier reading with fewer cross-references, rewording of clauses relating to insurance and payments, revision of certain definitions and a revised layout of the contract data.

Uwe Putlitz, chief executive officer of JBCC, says that during the revision of the JBCC standard building contract, they also felt that aspects of insurance needed to be included.

“Insurance, for work by e.g. direct contractors and ‘free issue’ to contractors that could lead to accidental damage, now has to be specified and included in the work’s insurance. Also insurance cover against specialised work, or periphery actions involving construction equipment and materials that do not strictly fall under the ‘building’ category, must be specified and insured. Highlighted in the revision is insurance to cover the transit phase of imported building materials, such as via shipping, where marine insurance may be required,” says Putlitz.

To make the JBCC agreement more adaptable for use in other African countries, the agreement allows for the use of local adjudicators, arbitrators or mediators in the country where a contract is used. The JBCC agreement still had as its main objective the identification of disputes before they occur, proper and proactive action in this regard, and the creation and adherence to recorded and accessible communications.

“The revisions simply clarify and strengthen the applicable contractual agreements,” concludes Putlitz.

For more information, phone the JBCC on +27 (11) 482 3102 or visit the website www.jbcc.co.za.

Captions:
Uwe Putlitz, chief executive officer of the JBCC.