Legal and Contractual Issues

Course Number: 80910242 Program: MEng-ICPM Type: Required Credits: 2 Term Offered: Fall Prerequisite(s): N/A Coordinator: Pin-Chao Liao OfficeBldg 10, 407 Tel 10-62781493 Email pinchao@mail.tsinghua.edu.cn Contact Hours and Location: 15.20-16.55; Bldg 3, 3110 Credit Hours: 32 Reference(s): Stuart H. Bartholomew (2002), Construction Contracting Business and Legal Principles, 2nd Edition, Prentice Hall, Upper Saddle River, New Jersey William Godwin (2008), Construction Contracts A Handbook for Chinese Parties, China Architecture & Building Press. Jimme Hinze (2001), Construction Contracts, 2nd Edition, McGraw-Hill. Ashley Howlett (2009), Chinese Construction Law A Guide for Foreign Companies, 2nd Edition, CCH Asia Pte Limited. J. K. Yates (2011), Engineering and Construction Law and Contracts, Pearson Education. Course Description: An introduction the Chinese legal system that operates on construction projects in China. An overview of the legal framework that governs Chinese companies. Legal aspects of construction contracts and specifications; contract formation, interpretation, rights and duties, and changes; legal liabilities and professional ethics of architects, engineers, and contractors. The main types of construction contracts with an overview of the terms and conditions used for large international construction projects. How construction disputes arise on projects and the different dispute resolution options to resolve construction disputes, including an introduction to arbitration, and alternative dispute resolution. The legal issues faced by Chinese companies when they operate overseas. An understanding of the payment systems, bonds, guarantees, sureties, and insurance requirements for design and construction. The different risk strategies adopted in construction contracts to minimise risk exposure. An introduction to Sharia law that operates in Islamic countries. Construction claims for reimbursement and how they are settled.

Course Objectives and Outcomes: The course introduces fundamental knowledge of construction contracts as well as the related legal issues in the construction industry, aiming to develop a student's capability in terms of: 1. A fundamental comprehension of the complexities of professional liability, construction project contracts, and contract law both in China and internationally. 2. An insight into the challenges that arise on construction projects and the ability to evaluate and judge given information and situations in terms of legal, moral, and ethical responsibility. 3. The ability to recognize and analyze potential areas of conflict in terms of contract, liability, and ethical issues for construction and engineering projects, and developing the ability to apply theory to set case situations. 4. The ability to communicate, collaborate and direct effectively through assignments, exercises, final projects. Course Schedule
Date 09/10/2012 09/17/2012 09/24/2012 10/01/2012 10/15/2012 10/22/2012 10/29/2012 11/05/2012 11/12/2012 11/19/2012 11/26/2012 12/03/2012 12/10/2012 12/17/2012 12/24/2012 Topics Construction contract documentation Construction contract bidding and contract formation Contract administration: change order procedures Contract administration: payment procedures A Bidding / Tendering case study Risk Allocation Insurance FIDIC Payment / Surety Bonds Dispute Resolution: Mediation ADR in Intl Construction Chinese Contractors I Sharia law and its operation in Islamic countries Contrasting European, Asian, and American Contract Procedures Legislation Cases in Intl Construction Chinese Contractors II Final Report Instructors

Derek Drew Derek Drew Derek Drew Derek Drew

Yan Li Jun Ying Liu Jun Ying Liu Jun Ying Liu

R. Flanagan
Jinsong Cai PM

M. Dulami R. Flanagan
PM PC Liao

Note: PM = Pinsent Masons Grading: Participation (10%)Assignments (50%)Final Report (40%)