Advanced Construction Law Essay Example | Topics and Well Written Essays - 3500 words

Advanced Construction Law - Essay ExampleThe chief(prenominal) aspect that needs to be understood is that an LOI is not a compact at best it is an offer that needs to be confirmed or negated by the other party. However, a particular contractor by dint of some merit has been chosen over others. It applies also where the sub-contractor has been chosen for his specialist trade. British Waggon Co.-v-Lea (1880) 2(Footnote In this case it was held that delegation of contractual duties is possible except when individuals skill, competencies and other resources are not considered while effecting the delegation.)This was again confirmed in the case of Southway Group Ltd-v-Wolff and Wolff (1991) 3 (footnote Novation is another means by which contractual obligations can be transferred from one person to another)That being said, it is also necessary to sound out that in construction business, the main documents are the floatation of tender. As per accepted protocol, the contractor or owner floats tenders which are quoted by different parties, these tenders are examined and the final exam bid is finalized.The form and content of LOIs are as varied as the circumstances in which they may be issued.No doubt it is this variety that led Robert Goff J in British Steel Corp v Cleveland Bridge and Engineering Co Ltd (1984) to observe that there is no hard and fast answer to the promontory whether a letter of intent will give rise to a binding agreement everything must depend on the circumstances of the particular case. 4Sometimes there is an oral promise by one party to do something and for another to remunerate him on his doing it. The latter transaction is really no more than a standing offer which, if acted upon before it lapses or is lawfully withdrawn, will result in a binding contract. 5However, in this case, although the parties wished and hoped for the contract to be finalized, it did