Pre-Construction Service Agreements
There are various legal factors that have to be considered when it comes to drafting pre-construction service agreements in building projects. It is therefore advisable to make sure you have an experienced law firm on your side to ensure you are covered in every area. At Blackstone Solicitors, we are able to advise many different types of client, no matter the complexity of the circumstances surrounding these agreements.
For more information about how our team of construction solicitors can help you, contact us on 0161 929 0121 or complete our online enquiry form and a member of the team will call you back at a convenient time.
How we can help
A Pre-Contract Service Agreement (PCSA) is a formal agreement to provide specified services (and sometimes to carry out specific works) and is not a letter of intent. They are used to appoint a design and build contractor to carry out services before entering into a formal building contract and are sometimes referred to as a pre-construction agreement (PCA).
We are here to help advise and draft these agreements concerning construction projects of any size. Be it a single local plot or a site on a much larger scale, we will work with you to make sure everything goes to plan.
Friendly yet direct, our team is passionate about every case we take on, and we believe the entire process requires constant communication. We will, therefore, guide you through the technicalities involved, offering expert advice from start to finish.
Why legal help is important
The PCSA enables the contractor to collaborate with the employer or their team of consultants to develop detailed designs, to develop the main contract works, or to compile specialist tender documents.
The contractor’s involvement at the pre-construction stage is important and can have consequences for the final design process of a project. Additionally, it can affect the preparations for the construction phase, such as the programme, cost plans, buildability and any specialist procurement.
The agreement covers the period from the submission of first stage tenders up to the submission of a definitive second stage tender and entry into a main contract for the construction phase.
The agreement will define the services that are required of the contractor during the pre-construction phase. It should set out as to whether the contractor is undertaking design work or whether they will have any design liability, and what will happen to this liability if they are not appointed for the second stage. It should also set out the method of payment, and any provisions for deferred payment.
The contractor appointed under the PCSA will not necessarily be appointed for the second-stage construction contract. However, the client inevitably loses leverage in the second stage of the tender process, as the contractor becomes embedded in the team and potential competitors lose interest once they find out that another contractor has been awarded the first-stage tender.
These agreements can be used in a number of different circumstances:
- For both private and public sector employers.
- Irrespective of whether the contractor is responsible for carrying out any design work.
- If there is to be novation to the contractor of any specialist sub-contracts, supply contracts, or consultancy agreements.
- With minor adaption, the agreement can also be used for the provision of pre-construction services by trade contractors under Construction Management documentation.
Our team prides itself on being able to meet every need of each of our clients. We are willing to go the extra mile when other firms are not, ensuring our clients are given the very best opportunity of getting the outcome they are after. Get in touch to see how our specialist team can help you with pre-contract service agreements.
Speaking to one of our solicitors is easy, simply call us on 0161 929 0121 or allow us to get in touch with you by filling in our online enquiry form. Our services are available to clients throughout the UK, including Manchester, London, Cheshire and Chester, as well as to those living abroad.