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Soft FM Contract meaning

What does Soft FM Contract mean?
A Soft FM Contract is the services agreement under which a facilities management provider delivers “soft” services—typically cleaning, catering, security, reception, waste management and grounds maintenance—at a facility or estate. The term is descriptive rather than defined in legislation or case law, but is widely used in PPP/PFI procurement and conventional outsourcing. Key legal features usually include: a detailed services specification and KPIs; performance and service credit regimes (and any link to availability); TUPE/employee transfer and workforce matters (including pensions); health and safety and safeguarding where relevant; data protection; change control; benchmarking/market testing; insurance; step‑in rights; termination rights; and contractual interfaces with hard FM and construction/maintenance services. Procurement routes differ by model and jurisdiction. Under traditional PFI in the UK and Ireland, soft services are commonly subcontracted by the project special purpose vehicle (Project Co/SPV) to an FM contractor under a services subcontract. Under PF2 in the UK, soft services were typically procured directly by the public authority under a separate Soft FM Contract. Outside PPPs, the term also covers standalone soft services outsourcing. Usage and drafting approaches are broadly consistent across England & Wales, Scotland, Northern Ireland and Ireland.
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View the related Practice Notes about Soft FM Contract

PRACTICE NOTES
UK Construction Law Glossary: F—Facilities Management, FIDIC, Final Account, Fitness for Purpose, Force Majeure, Frameworks and Funding

A B C D E F G H I J K L M N O P Q R S T U V W X Y Z Facilities management Facilities management contracting is, at its core, a commercial services contract arrangement, covering ‘Hard FM’ (relating to the upkeep and fabric of a building, for example mechanical and electrical systems), ‘Soft FM’ (relating to in-building support functions such as cleaning, security and helpdesk services) or ‘Total FM’ (which can combine a number of hard and soft facilities management services), as required within buildings. See subtopic: Facilities management for construction lawyers. Fédération Internationale des Ingénieurs-Conseils (FIDIC) The International Federation of Consulting Engineers. FIDIC issues a suite of standard-form contracts for deployment on international construction projects. In common usage, ‘FIDIC’ typically refers to that family of contracts rather than the institution itself. See subtopics: FIDIC contracts 2017 onwards and FIDIC contracts pre-2017 editions in practice by practitioners. Feed-in tariff The Feed-in tariff (FIT) scheme—also sometimes known as the...

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PRACTICE NOTES
PFI/PF2 project structures: parties, roles and interfaces in the UK

This Practice Note explores the principal parties commonly engaged in a PFI or PF2 project. It outlines the functions of public sector participants, private sector counterparts, finance providers and sub-contractors, together with support providers and other professionals involved. In the 2018 Budget (delivered on 29 October 2018), the government confirmed it would cease using PF2 for new schemes (see News Analysis: Budget 2018—what does it mean for infrastructure and housebuilding?). Nonetheless, live PFI and PF2 arrangements remain in operation and, given the usual duration and lifespan of these schemes, are expected to do so for many years to come. Public Sector Authority/Trust This is the public sector organisation that originates and procures the PFI scheme in question and seeks to have the asset constructed and properly maintained (the label 'Trust' applies only to NHS schemes). The public body will typically be a local authority (including fire and rescue and (formerly) police authorities), an NHS Trust or a government department or non-departmental public body. The Authority/Trust enters into a...

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PRACTICE NOTES
Construction law glossary—H: HSE, health and safety file, HGCRA 1996, higher-risk buildings, hot-tubbing, HVAC

A B C D E F G H I J K L M N O P Q R S T U V W X Y Z Hard FM Facilities management (FM) appointments are, in essence, commercial service contracting agreements. Hard FM refers to works tied to the upkeep and physical fabric of premises, for example landscaping, routine repairs, and mechanical and electrical systems maintenance. By contrast, Soft FM concerns in-building support functions such as cleaning, security, and helpdesk provision within a building. See subtopic: Facilities management for construction lawyers. Head contract This expression describes the overall agreement for the whole of the works and their delivery between the employer and the contractor, including circumstances where parts are let to sub-contractors by the contractor. It is commonly recognised as the head, or main, contract, clearly setting it apart from any sub-contracts...

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