THE Construction Industry Association of the Philippines (CIAP) in partnership with Society of Construction Law Philippines (SCLP) are eyeing the standardization of contracts in the construction industry to avoid disputes.
Under a memorandum of understanding signed last October 17, CIAP and SCLP will also push critical essential policy reforms, including the passage of the Security of Payments Act, also an important part in avoiding legal issues in construction.
CIAP said the partnership will pursue other legislative measures outlined in the Philippine Construction Industry Roadmap 2020-2030.
“These reforms are intended to foster an environment conducive to innovation and investment security,” CIAP said in a statement.
The partnership will launch an information campaign and training programs centered on construction laws and standard contract conditions, such as CIAP Document 102 or the Uniform General Conditions of Contract for Private Construction.
Document 102 contains terms and conditions ordinarily established in construction contracts. It was formulated to provide the procedures, guidelines, and criteria to address deficiencies and/or any ambiguity.
Conflicts arise due to varied interpretation of contracts, affecting the completion of the work.
Security of Payment Act is seen as a mechanism where payments do not get withheld and provide continuity to the construction work in case of dispute.
