JCT and NEC contracts

The standard forms of building contract, and why the choice matters.

What it means

JCT and NEC are the two main families of standard construction contract, each with variants for different procurement routes and project sizes.

Why it matters

They allocate risk for delay, variation, defects and payment. A bespoke contract or an exchange of emails leaves those allocations to be argued about later.

What it looks like in practice

Key mechanisms: valuation and payment dates, extensions of time, liquidated damages for delay, retentions, and the defects liability period.\n\nThe Construction Act gives a right to adjudication and to stage payments regardless of what the contract says.

What to watch out for

Contracts signed after work has started, and amendments that shift risk without changing the price. And onerous payment terms that the Construction Act may override.

Where to get proper advice

A construction solicitor. RICS and the CIOB publish guidance, and adjudication is fast and comparatively cheap.