News
PI Insurance claims predicted to increase
20th October 2008
As economic conditions worsen, LI members need to be aware that there is a risk of an increased number of complaints or insurance claims being brought against them by clients. A number of construction and insurance experts have commented that there is likely to be an increase in PI Insurance claims as some clients run short of funds and start looking at normally minor problems in the light of their potential to release cash.(www.bdonline.org.uk)
The recent experience of complaints against members handled by the LI is that they often result from lack of clarity in the specification or, in some cases, from a failure to enter into any contract at all. It is essential that LI members take steps to ensure they are not unduly exposed to claims from clients – who may in some cases be quite unscrupulous. LI members should not undertake work for clients without a written contract, partly because if they do, it makes it extremely difficult for the LI to deal with any complaints which arise.
The revised JCLI Landscape Works Contract and JCLI Maintenance Works Contract have now been released and are available along with other associated documents and contracts here, there is also an article by Colin Moore in the 17.10.08 edition of Vista explaining their use.
If you would like more information about the revised contracts and how to use them, some LI Branches are offering a series of seminars run by Colin Moore CMLI a member of our Technical Committee. For more information about these seminars please contact your local branch.
Should you find your relationship with a client deteriorating, it is often advisable to seek advice on resolution before things escalate too far. If you need advice, one benefit of being a full chartered member of the LI means that you can receive a free half hour consultation with our associated legal services Clarke Willmott. Registered Practices also receive an additional 20 minutes over and above this half hour. Contact bhobbs@clarkewillmott.com +44 0117 916 9536 / 0117 941 6600
