Yesterday the House of Lords approved the amendments to the
Local Democracy, Economic Development and Construction Bill made
last month by the House of Commons. (Click
here for our Law-Now which includes a link to a
Commons-approved summary of how the changes to the Housing Grants,
Construction and Regeneration Act 1996 will operate and a link to
how the amended Act would look, if the Bill is enacted and brought
into force.) The Lords said nothing to shed any light upon how the
new amendments may operate.
All that remains for the Bill to become an Act is royal assent,
which is expected next Wednesday, 18 November, in the Queen's
Speech. However, the changes will only affect construction
contracts entered into after the new Act comes into force. It seems
this will not happen before late 2010 to allow for consultation on
changes to the statutory Scheme. The Scheme's rules are implied
into construction contracts that do not make certain provisions for
adjudication and