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Minutes of Site Management Meetings

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Re: Minutes of Site Management Meetings

Post  GEVE on Thu Jul 01, 2010 7:28 am

The main purpose of site meetings during the execution of works is to discuss and agree on the matters relating to the execution of construction contract.

In most cases, it is assumed that while the agreement has already been signed, the aexetion of it may involve issues which may be omitted during initial negotation. The minutes of site meetings are inteded to keep a record of what is discussed at and agreed between the parties.

Minutes whicha are properly prepared can be used as a legally binding agreement as for in line with the main construction contract. For instance, the Employer through its site agent (Project Manager/Architect/ Engineer / or Contract Administrator) may use the minutes of site meeting to force the Contractor to comply with certain matters in agred upon through the meetings. Similarly, the in the issue of claims for the Extension of time OR compensation for the Loss and/or expenses, apart from Site Instruction, the contractor may rely upon the agreed minutes as his basis for claim.

However, in a contract which required the parties to act on formal instruction or notice, the minutes of site meetings may not be enforced by Courts of law to give right to a party who failed to act in accordance with what the contract provsions required. For instance, if the contractor is required to give a formal early warning in respect to any factors which he has reasonable grounds to believe that it may cause delay to the completion of works or increase in the contract price, failure to issue such early warning or notice to the Project Manger/Architect or Contract Adminstrator may preclude him from entitlment for Extension of time or compensation for any additional costs incured. In this case, the contract can not rely upon the minutes of site meetings.

In one case of Steria Ltd v Sigma Wireless Communications Ltd [2007] EWHC 3454 (TCC), , the sub-contractor was required to give notice within a specific time under a contract so as to allow the Contractor to evaluate a claim for EOT. However, the sub-contractor failed to comply with the notice provisions and as a result when the matter landed in Court, while disputed for the contractor's claim for liquidated damaged, the sub-contractor also tried to rely upon the minutes of meeting between the parties which recorded discussions on delay events as "a reasonable notice under the contract"

The judge decided in the case that the notice must emanate from the contractor, so minutes of a meeting recorded by a third party will not suffice. He decided that the requirements of complainace to the notice was a condition precedent for the claim for EOT by the contractor to successed. In that case, the sub-contractor was required to give a notice that relevant circumstances had occurred and, secondly, that those circumstances had caused delay. Thus it would seem that progress reports prepared by the contractor could have sufficed as notice, provided such provides the basic information required of the notice provision.

GEVE

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Re: Minutes of Site Management Meetings

Post  RSM on Wed Jun 30, 2010 10:23 pm

RJM

According to Standard Conditions of Contract for STDs prepared by PPRA Section 33 stipulates that
33.1 Either the Project Manager or the Contractor may require the other to attend a management meeting. The business of a management meeting shall be to review the plans for remaining work and to deal with matters raised in accordance with the early warning procedure.

33.2 The Project Manager shall record the business of management meetings and provide copies of the record to those attending the meeting and to the Employer. The responsibility of the parties for actions to be taken shall be decided by the Project Manager either at the management meeting or after the management meeting and stated in writing to all who attended the meeting.

To me if the meeting has the right quoram of people empowered to give decisions and directions, then decisions and directives taken in those meetings shall be legally binding upon the parties subject to further authorisation, according to the contract, if it is required from those not in the meeting.

Key words to note in Section 33.2 have been highlighted which gives the project manager, who is empowered to issue instructions under the contract, the responsibility to decide and direct what actions need to be taken by the parties based on the deliberation of the management meeting

RSM

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Minutes of Site Management Meetings

Post  RJM on Tue Jun 29, 2010 7:19 pm

I was asked this question and to be honest I did not have a quick answer!

Are Minutes of Site Management Meetings legal documents for activities and notices given in these meetings?

RJM

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