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ARTICLE · 27 JULY 2016

Top 5 tips for negotiating your next infrastructure contract

With multiple contractors, balancing your risk against a principal's expectations can make things even more difficult.

AustraliaCorporate/Commercial Law

Infrastructure projects can be stressful experiences at the best of times. When there are multiple contractors involved, trying to balance your risk against a principal's expectations can make things even more difficult. To help keep things under control, here are 5 top tips to bear in mind in negotiating your next infrastructure contract which are in addition to your usual suspect clauses:

  1. Warranties: Building contracts often include warranties relating to the buildability of your designs. Unless you are producing a design that is intended to be built (or partially built) by a third party, you should think twice about agreeing to these types of warranties.
  2. Step in rights: If you fail to deliver part of an agreed scope of work under a contract, a principal will usually request a right to step in and take over your operations. This could take the form of an explicit right to take over your personnel and equipment, or the ability to step into your subcontracts and

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