INTRODUCTION
Contracts
establish the responsibilities and rights of the parties. This highly
interactive programme will provide a practical hands-on approach to effective
management of contracts and offer techniques and contract strategies to assist
this process. It will also assist in establishing an international risk
management strategy with reference to contracts and develop good business
practice to take advantage of opportunities, enhance efficiency and increase
profitability. In this programme you will learn how to:
·
enhance
your contract management skills to improve contract and company performance
·
develop
systems to reduce the frequency of contractual disputes
·
resolve
such contractual disputes as do occur in an efficient fashion
·
manage
contracts and projects from the pre-contract, during the performance of the
contract and through to the post-contract stage in accordance with best
practices
·
enhance
profitability, not only by increasing money coming ‘in’ from contracts, but
also by preventing unnecessary sums going out’ in operational disputes
This is not a law programme. It is the development of
commercial awareness of delegates through practice of effective management
procedures assisted by a working knowledge of necessary legal principle.
WHO SHOULD ATTEND?
·
Contract
Administrators
·
Contracting
Unit Supervisors
·
Project
Engineers
·
Project
Managers
·
Claims
Managers and Business Audit Officers
·
Risk
Managers
·
Contract
Strategists
·
Staff
who are new to their roles, or experienced staff looking for a refresher
programme
PROGRAMME OBJECTIVES
·
understanding
of necessary contractual and legal knowledge
·
understanding
of and application of different types of agreements
·
increased
commercial awareness needed to enhance smooth running of contracts
·
increased
ability to manage contracts with a view to reducing claims and conflict
·
ability
to identify and mitigate risk factors and associated commercial and programme
implications
·
understanding
of the importance of good record keeping and service of contractual notices
·
increased
understanding of commercial liabilities resulting from schedule changes and
variations
·
improved
ability, successfully to negotiate and maintain long term inter-business
contracts with confidence
·
understanding
of the need to deal with issues as they arise and to resolve disputes within
the contract structure wherever possible
·
ability
to analyse, negotiate and implement the most appropriate method of resolving
disputes preventing escalation by early identification
TRAINING METHODOLOGY
The programme
will combine conventional teaching based on real-life examples, often from the
trainers own experience and with a high level of participation, including an
interactive approach to involving participants in discussion of topics,
exercises and encouraging participants to bring their own experiences forward
for discussion and debate.
PROGRAMME SUMMARY
The programme
will address the framework within which contracts are created, and the methods
by which valid contracts may be formed. It will also look at some of the
different contracting strategies available in international contracting and
some of the common provisions. It will also look in particular at payment
issues and post-contract liability. The programme will consider how to avoid
disputes by good contract management and the various methods of resolving those
disputes that do arise. This will include current international best practice
in Alternative Dispute Resolution in general, and mediation in particular.
PROGRAMME OUTLINE
|
DAY 1 -
THE LEGAL FRAMEWORK OF CONTRACTS AND HOW THEY ARE CREATED
·
The
need for contractual relationships
·
External
and internal dimensions of a business relationship
·
Formation
of a Contract
·
The
key elements of a contract
·
Oral
or written?
·
Electronic
contracts
·
Terms
of the contract
·
Inter-business
contracting
·
Law
of Agency
·
Sources
of Law
·
Developing
legal knowledge and skills
|
|
DAY 2 -
SOME ISSUES ARISING IN CONTRACTS
·
Precedence
of documents in a contract
·
Obligations
to perform
·
Delivery,
acceptance and transfer of title and risk
o
ICC Incoterms
·
Liability
in negligence – relationship with contract conditions
·
Product
liability and defective goods
·
Intellectual
Property clauses – some special issues
·
Letters
– Intent; Instruction/Award; Comfort; Awareness
·
Conflict
of Laws and Choice of Law and jurisdiction Clauses
|
|
DAY 3 -
DIFFERENT CONTRACTING STRATEGIES IN INTERNATIONAL CONTRACTS
·
Some
types of Standard Form/Model Form Conditions
·
Drafting
Standard Terms
·
Potential
problems with Standard Form Contracts
·
Limiting
or excluding liability
·
Unequal
Bargaining Positions
·
Traditional
contracts
o
Fixed Price/Lump Sum
o
Bill of Quantities/Schedule of
Rates – re-measured contracts
o
Full reimbursable – "cost plus” –
why this is sometimes the right answer
o
Dealing with volatile markets –
economic price adjustment clauses and the use of indices
o
Adding incentives to lumps sums
·
Non-Traditional
contracts
o
Build Own Operate and similar
structures
o
Alliances and Partnering
o
No Cure/No Pay – a technique from
marine salvage that has wider uses
|
|
DAY 4 -
CONTRACT MANAGEMENT AND THE MANAGEMENT OF CHANGE AND PAYMENT
·
The
need for good contract management
·
Variation
of Contract Terms
·
Variation
of Scope of Work
·
Management
of Variations and retaining control of the contract
·
Payment
and money events
·
Delay,
suspension and extension of time
·
Finance
and Payment in International Trade
·
Bonds
and Guarantees
·
Defects
Liability – warranty periods
o
Managing rolling warranties
·
Termination
of the Contract and Remedies
·
Mitigation
of losses and claims
|
|
DAY 5 -
RESOLUTION OF DISPUTES
·
Negotiation,
compromise and settlement
·
Litigation
·
Arbitration
·
Alternative
Dispute Resolution – including mediation
·
Managing
disputes
·
Review
of programme, and final questions
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