Tendering & Contracting Resources
The Tendering & Contracting Departments within the CIF regularly deal with queries from members on a wide variety of issues they are facing concerning prequalification and tendering.
Often times, members know that what they are being asked to provide is incorrect, but they do not wish to draw attention to their company by raising the matter directly.
In circumstances where a client or contracting authority is acting outside either the Liaison Committee Code of Practice, the guidance notes issued by the Department of Public Expenditure and Reform, or the EU Procurement Directives, the CIF will contact the client/contracting authority confidentially on behalf of the member to raise the matter. This applies in respect of each of the areas outlined in the remainder of this document.
Occasionally circumstances arise where members are of the view that a requirement of the competition, although not directly in breach, is simply too onerous for the project in question or that the project is too complex for the time allowed. In these circumstances, the CIF may contact the contracting authority or architect on a confidential basis to request a change, where such a request has been received from a number of member companies.
Members can rest assured that the identity of their company will never be revealed as the party who raised the issue.
The queries encountered most often by the Tendering & Contracting team are set out here in a directory of queries for information.
CIF Updated Guidance – Programme Contingency
Recently, CIF members have raised concerns about how the PWC Programme Contingency Mechanisms were being interpreted and applied by some Employers Representatives. In this light, the CIF has updated its guidance on the Programme Contingency in the attached document, which now includes a direct link the Office of Government Procurements Guidance on the same subject.
Beauchamps Briefing Note
High Court Refuses Enforcement of Adjudicator’s Decision in Industry First
Members should be aware of a recent High Court judgement that marks a significant first for the construction industry in Ireland. In a landmark case, the High Court has refused to enforce an Adjudicator’s decision because the Notice of Intention to Refer to Adjudication was not properly served as required by the Construction Contracts Act (CCA) and the construction contract itself.
The construction contract stated that notices were to be delivered by registered post, however, the Applicant opted to deliver a Notice of Intention to Refer to Adjudication by email. Although an Adjudicator made an award in the Applicant’s favour, the High Court nullified this award as the Notice of Intention was not delivered by registered post as stated in the construction contract.
This judgement highlights the importance of strictly following the notice provisions set out in a construction contract when serving a Notice of Intention to Refer to Adjudication — even if the other party has acknowledged, but ignored, the notice.
We encourage all members to familiarise themselves with the case summary provided in the Beauchamps briefing note here, and to ensure compliance with adjudication requirements under the CCA.
High Court View on the Meaning of Payment Dispute under the CCA
Members should be aware of a recent High Court decision which has shed some much needed light on the ambit of the statutory adjudication processes provided for under the Construction Contracts Act 2013 (CCA). The recent judgement confirmed the right to refer a dispute to adjudication under the CCA only applies where the dispute concerns a payment expressly provided for in the contract and does not extend to claims arising from a common law termination.
The applicant employer terminated a contract for repudiatory breach after paying €124,981 and sought to recover those sums and consequential losses, obtaining an adjudication award in its favour. The High Court was asked to determine whether an adjudicator had the appropriate jurisdiction to determine a dispute referred to under Section 6(1) of the CCA.
The High Court held that statutory adjudication under the CCA is limited to disputes over payments expressly provided for in a construction contract and does not extend to claims for common law damages arising from termination. This judgement provides welcomed clarity by confirming that the scope of “disputes relating to payment” under Section 6 of the CCA is narrower than many in the industry had assumed.
We encourage all members to familiarise themselves with the case summary provided in the Beauchamps briefing note here and to ensure an understanding of the view of the High Court on the meaning of payment disputes under the CCA.
Price Variation Mechanisms in the Public Works Contract
Policy Paper
The CIF has published a policy paper based on members views on how the new Price Variation Mechanisms recently introduced into the Public Work Contracts are being implemented by Contracting Authorities. The main areas of concern relate to:
- Insufficient time and consideration being given by Contracting Authorities to Contractors in the completion of weightings and proportions in the Form of Tender and Schedule during the tender stage.
- The weightings being allocated for plant and overheads is inappropriate and not reflective of material compositions on projects.
- Contracting authorities are automatically selecting the maximum threshold of 10% without due consideration to the duration, complexity and material composition of projects as recommended by the OGP.
- Inconsistency of approach by Contracting Authorities on the development of the FTS on Design and Build Projects.
The Policy Paper sets out several recommendations. particularly:
- Affording contractors a meeting with the contracting authority during the tender stage to agree a balanced allocation of weightings and proportions in the FTS that reflect the material makeup of the project.
- The permitted threshold increase should be set at a default level of 3% and a maximum threshold of 5%.
- The preparation of the FTS on a Design and Build project should be completed in conjunction with the successful Contractor when quantities and scope have been established and verified by both parties.
CIF and SCSI Joint Information Note
The CIF and SCSI have jointly published an industry agreed information note on how the Price Variation Mechanisms within the Public Works Contract operate. It explains in detail the roles of the consultant and contractor in effectively implementing the mechanism. It also lays out the key factors involved in the preparation of the schedules, tender process, workbooks and the payment process underpinning the recovery of inflationary costs throughout the project. It includes examples of specific projects ranging from industry, commercial, health, education and housing.
While it is recommended that members study the document as a whole, we strongly urge them to read Section three on page five in detail. This sets out the key factors that contractors must be aware of and what action they must take in the event of any discrepancies in how the mechanism is being setup or applied.
Members should take particular note of the following:
- While the default threshold is 5%; many contracting authorities are opting automatically to select the max. of 10%. Subject to the complexity and duration of the project, this must be challenged where appropriate.
- Members should also check that the proportion and weighting allocated in the schedule for materials, labour and fuel are reflective of the project.
- The contracting authority can recover costs from the contractor, if deflation rises above 10% on a material; for example.
- You must challenge and make known any concerns during the tender process or you will end up in contract with what is in the schedule; without any recourse to make any amendments later on.
Member only: Log into your account to view the document.
Regional frameworks for design and build social housing incorporating MMC
Webinar held by CIF in conjunction with the LGMA, the Department of Housing, Heritage and Local Government, the Housing Agency and Enterprise Ireland, to discuss current frameworks that are being established regionally using a design and build procurement route incorporation MMC.
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Negotiating your subcontract webinars
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Flow-down and third-party agreements
Claims process
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Webinar 2
Limits on liability
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Retention
Webinar 3
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The CIF Submission To The Government Construction Contracts Committee On The GCCC Forms Of Contract
Guidance documents View All
CIF Updated Guidance Note-PWC-Programme Contingency-Sept 25
25th September 2025 pdf (279.73 KB)
Guidance Overview: Public Works Contract Price Variation Mechanisms
14th March 2024 pdf (0.00 KB)
Public Tendering Practices and their Impact on Delivering Value in the Construction Sector
28th February 2023 pdf (1.01 MB)
Design Risk and Building Regulations – Practice Note 2022
24th February 2023 pdf (5.29 MB)
CIF Guide to Supporting Green Construction
14th April 2023 pdf (1.14 MB)
Schedule of Daywork Charges
28th October 2022 pdf (268.45 KB)
Percentage Additions to Labour Costs
28th October 2022 pdf (268.31 KB)
Medium-Term Strategy Document
28th October 2022 pdf (1.86 MB)
Guide to Procurement Law
28th October 2022 pdf (4.02 MB)
CIF Submission to the GCCC Review
28th October 2022 pdf (606.99 KB)
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Information notes
Debt Warehousing Scheme
11th April 2024 pdf (120.46 KB)
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