EPC contract meaning

Use this checklist when representing the seller in the disposal of a registered freehold residential property, whether offered with vacant possession or burdened by a lease or multiple leases. It is not comprehensive and will not address every eventuality in every transaction. You should always consider if there are additional matters that require attention. It does not purport to be a complete guide for every case. Preliminary matters Have you taken instructions from the client? Robust due diligence and effective transaction management depend on a clear grasp of the seller’s objectives and the proposed sale terms. Obtain full instructions, and clarify any elements of your brief that are unclear or out of the ordinary. Consider whether further specialist input is required; for example, planning advice where completion is conditional upon planning permission being secured. The table below sets out some of the principal points on which instructions should be obtained at the outset. This list is not comprehensive, and you may need to request information about additional...

This Checklist is intended for situations where you act for the buyer acquiring a registered freehold or leasehold commercial property, whether with vacant possession or already let under one or more leases. It is not comprehensive and cannot anticipate every scenario in every deal. You should always assess if any further points require attention. It is assumed that: the property is not subject to any residential tenancies; and the seller is solvent This Checklist covers these principal areas: Preliminary matters Is the buyer using finance to acquire the property? Before exchange of contracts Are you ready to exchange? Exchange of contracts Post exchange steps Between exchange and completion Are you ready to complete? Completion Post completion Preliminary matters See also Practice Note: Transferring commercial property—a practical guide — Preliminary matters. Are the buyer’s instructions and intended use for the property clear? Strong due diligence and effective...

This Checklist is primarily for use on the assignment of a commercial lease This is a guidance tool for assignments of commercial leases. It is not comprehensive and may not address every circumstance on each deal. You should always consider whether any additional matters require attention. It works on the basis that: the lease relates to commercial premises let at an open market rent to an occupier, on terms under which the landlord insures the premises the assignor has used the premises for business purposes and the assignee likewise intends to use them for their business the lease is a head lease and the premises are not held under any underleases the lease is not subject to a fixed charge (this would be uncommon in practice), and no premium is payable If the assignment forms part of a wider or more complex arrangement, you may find further relevant material in Acquisition of commercial property (buyer)—checklist and Practice Note: Transferring...

Original news Interserve Construction Ltd v Hitachi Zosen Inova AG [2017] EWHC 2633 (TCC), [2017] All ER (D) 82 (Nov) What are the practical implications of this case? Although the outcome rested largely on the parties’ bespoke terms, the case underscores the need to examine termination provisions with care both when contracting and before attempting to terminate. It also indicates that, when interpreting the parties’ chosen wording, the court is unlikely to construe it in a manner that fails to give operative effect to expressions such as ‘subject to’. What was the background? Hitachi, the EPC contractor for an energy from waste plant in Worcestershire, engaged Interserve as sub‑contractor. Dissatisfied with Interserve’s performance and delay, Hitachi served a notice under sub‑clause 43.1 of the sub‑contract, invoking grounds (h) and (q). Those grounds provided that, if Hitachi failed to proceed regularly or diligently with the works or committed a material breach: ‘…then, subject to Sub‑Clause 43.1A and without prejudice to any other rights or remedies which’...

Financial services developments FCA signs contract with bond consolidated tape provider The Financial Conduct Authority (FCA) has confirmed it has signed a contract with Etrading Software (ETS) to deliver the UK bond consolidated tape. After the High Court lifted a freeze on the award in December 2025, the FCA can press ahead with implementation while it continues to face a legal challenge. The FCA says it will keep supporting ETS and market participants ahead of go-live, which ETS is aiming to achieve in June 2026. ETS has also launched a website that outlines key milestones and supplies technical information for data contributors and users. Source: Next steps for establishing a bond consolidated tape provider OFSI, FCA and other UK bodies announce clamp down on abuse of cryptoassets The Office of Financial Sanctions Implementation (OFSI) is working in close partnership with UK law enforcement and regulators, including the FCA, to address the misuse of cryptoassets and linked money laundering. An OFSI blog notes that sanctions enablers are...

In this issue: Air emissions and climate change Energy efficiency and buildings Energy for environmental lawyers Environmental enforcement and prosecutions Environmental information ESG and sustainability Nature, biodiversity and habitat conservation Sources of environmental law (UK, EU, international) Waste Waste producer responsibility regimes Water, flooding and drainage Daily and weekly news alerts New and updated content Air emissions and climate change DESNZ publishes final UK greenhouse gas emissions statistics for 1990–2023 The Department for Energy Security and Net Zero (DESNZ) has released the final estimates of the UK’s greenhouse gas emissions for 1990–2023. In 2023, total emissions were 385 million tonnes of CO2 equivalent, 5% lower than 2022 and 53% below 1990. The electricity supply sector showed the sharpest fall (20%) between 2022 and 2023, linked to higher electricity imports and reduced demand, which cut gas use in power stations. The buildings and product uses sector also declined by 6%, largely...

This Practice Note sets out, step by step, how to assemble all the components of a construction contract ready for execution from the outset. In the haste to start the works, gathering the complete suite of documents that constitute the contract is sometimes overlooked, or not collated promptly. At times, works even commence before negotiations are concluded or the agreement executed, typically under a letter of intent (see Practice Note: Letters of intent—construction). This is generally unwise; it is essential to finalise the contract and to ensure a full set of documents is compiled and readily accessible to each party at all times, to support efficient and consistent contract management and administration, and to ensure issues and potential disputes can be handled effectively and smoothly throughout the works. General considerations Construction contracts are often extensive and voluminous, containing numerous technical and commercial schedules as well as a lengthy main body of conditions and contract particulars. The precise documents required to create the construction contract will be shaped by...

This Practice Note sets out a comparison of headline aspects of the FIDIC 2017 and NEC4 suites, highlighting similarities and distinctions across their principal features. It specifically concentrates on the NEC4 Engineering and Construction Contract (ECC) and the FIDIC Red Book 2017 (Red Book), used primarily where the Contractor constructs to the Employer’s design in practice (although, where the scope includes any Contractor design, the Red Book accommodates this). For commentary on the 1999 edition of the FIDIC Red Book, see Practice Note: FIDIC 1999 and NEC4 contracts compared. Overall philosophy FIDIC FIDIC contracts are the leading international standard-form construction agreements. They are often described as ‘written by engineers, for engineers’. The suite is also recognised for balanced risk distribution, with liabilities generally allocated to the party best able to manage them (the EPC/Turnkey variant, widely referred to as the Silver Book, is something of an exception). As one would expect from documents devised by engineers, the Engineer has a central function in a number of the...

This Practice Note reviews the Conditions of Contract for Plant and Design Build 1999 (widely known as the FIDIC Yellow Book 1999) and the Conditions of Contract for EPC/Turnkey Projects 1999 (the FIDIC Silver Book 1999). Both are intended for scenarios where the Contractor, rather than the Employer, undertakes the design of the Works, but there are important differences, which are outlined in this Practice Note and considered at a high level. For deeper analysis of each form, see Practice Notes: FIDIC contracts—introduction to the Yellow Book 1999 and FIDIC contracts—introduction to the Silver Book 1999 for background and context. New editions of the Yellow and Silver Books were issued in December 2017. For more information, refer to Practice Note: FIDIC contracts 2017—what’s changed? [Archived]. These materials provide helpful orientation too. What types of projects are the contracts suitable for? Although both contracts envisage the Contractor being responsible for carrying out all, or the vast majority, of the design, and both are fixed price 'lump sum' contracts, that...