The Joint Contracts Tribunal (JCT) has updated its suite of contracts with amendments in 2024, marking an incremental evolution rather than a sweeping reform of the 2016 editions. For those familiar with JCT’s standard forms, the latest changes present no major surprises. However, practitioners and construction professionals should note several targeted updates that reflect modern working practices, lessons from recent global events, and a continued shift towards sustainability, collaboration and early dispute resolution.
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Digital Modernisation and Notice Provisions
One of the most practical updates is the formalisation of email as a valid method of serving notices. Parties must now include email addresses in the Contract Particulars, and failure to do so renders electronic service invalid. This seemingly small change has a big operational impact, underscoring the importance of accurate and complete contract information at the outset and streamlining communication processes during a project. Practitioners should ensure email addresses are agreed upon early and that internal systems are updated to track service timelines, as emails are only deemed received on the next business day.
The JCT also acknowledges the growing acceptance of electronic signatures, offering increased flexibility in contract execution.
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Emphasis on Collaboration and Sustainability
A more values-driven approach is emerging. A new Article 3 introduces a contractual obligation to work collaboratively, in good faith and with mutual respect. The inclusion of collaboration as a core contract provision may influence how disputes are perceived and resolved.
Environmental considerations also take a more prominent role. Contractors are encouraged to suggest sustainable alternatives. A new clause also allows Employers to request information about the environmental impact of materials used. While these clauses stop short of imposing strict requirements, they open the door to more structured conversations about environmental performance and could affect procurement and design decisions.
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Dispute Resolution – Early Notification and Negotiation
Mandatory early dispute notification and good-faith negotiation meetings between senior executives are now enshrined in clause 9.1. Although not a condition precedent to adjudication, this step may lead to earlier resolutions and reduce the number of formal disputes. For legal advisors and in-house teams, this adds a new stage to dispute timelines and may require the involvement of senior personnel earlier in the process.
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Professional Indemnity Insurance – Tailored to Market Conditions
The Contract Particulars now allow the parties to specify sub-limits and exclusions in PI policies, reflecting the reality of current insurance market constraints. For example, cladding and fire safety exclusions—once rare—are now commonplace. By formally recognising these exclusions, JCT has created a clearer framework for negotiation. Solicitors should advise clients to align contract wording with actual insurance cover to avoid post-incident gaps in liability.
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Extension of Time – New Employer Obligations and Relevant Events
Employers now have stricter obligations in responding to delay notifications. Notably:
- They must request further information within 14 days of receiving delay particulars.
- They must respond with a decision on extensions of time within 8 weeks (down from 12).
New Relevant Events include epidemics and changes in law or guidance, echoing the COVID-19 experience. Importantly, contractors can claim time (and possibly cost, if elected) for these events. Employers should pay close attention when drafting Contract Particulars to determine whether these will be considered “Relevant Matters.”
The practical result? Employers must act quickly and more transparently, while Contractors must ensure prompt and thorough communication to protect their position.
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Clarified Design Liability – No Fitness for Purpose
A significant clarification for Design & Build contracts is the express exclusion of fitness for purpose obligations, limiting the Contractor’s liability to the exercise of reasonable skill and care—unless otherwise required by statutory obligations. This brings clarity to an area long debated and potentially reduces insurers’ exposure. However, design obligations under Building Regulations and the Defective Premises Act 1972 remain intact, with the potential for a 15-year liability period.
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Building Safety Act and Higher-Risk Buildings
The JCT 2024 suite incorporates some—but not all—aspects of the Building Safety Act 2022. For instance, CDM and Building Regulations duties are better aligned through new Articles 6 and 7, with the Contractor deemed to take on Principal Designer and Principal Contractor roles by default, in the Design and Build Contract.
However, those working on Higher-Risk Buildings (HRBs) must make additional bespoke amendments to cover Gateway approvals and the golden thread of building information. The contracts currently do not provide a complete solution for these complex requirements.
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Termination and Sub-Contractor Continuity
A more structured approach to termination payments is introduced, with new definitions, timelines and notice procedures echoing the interim payment process. Employers and Contractors alike must become familiar with clause 8.13, which sets out the mechanism for payment post-termination.
Additionally, the employment of sub-contractors is now automatically terminated upon termination of the main contract unless step-in rights are agreed. Parties relying on the continuity of sub-contractors should review these provisions closely.
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Antiquities and Ground Conditions – Expanded Risk Allocation
The Contractor is no longer automatically liable for asbestos, contaminated materials, or unexploded ordnance (UXO) discovered during works, provided the Contractor follows clause 3.15. This is a key shift in risk allocation and should be reflected in contract negotiations, surveys, and pricing. Employers may still issue instructions for remediation, and where not previously identified, the event can trigger an extension of time or loss and expense.
Final Thoughts
While the 2024 amendments are not revolutionary, they represent a meaningful evolution that aligns contracts more closely with legal developments, societal expectations, and modern construction practices.
Key practical takeaways:
- Ensure full and accurate completion of Contract Particulars, especially for notices and PI cover.
- Be alert to increased Employer responsibilities on delayed assessments.
- Consider bespoke amendments for HRB projects and risk items like asbestos or cladding.
- Use the new dispute resolution and sustainability provisions to drive collaborative behaviours rather than tick-box compliance.
Familiarisation with the 2024 suite is essential these modest but targeted changes have the potential to significantly affect project outcomes. To discuss your legal requirements with a specialist construction solicitor, Contact Guy Thomas, Partner, Construction and Engineering by emailing guy.thomas@dtmlegal.com or call 01244 354 812.
