Author(s):
Paula Olexiuk, Andrew Wong
May 18, 2021
With the 2020 version of CCDC 2 replacing the 2008 version, it is important to understand what has changed before using this contract for construction projects going forward. In this webinar – the second of a four-part series – Paula Olexiuk, partner, Energy, and Andrew Wong, partner, Commercial, provide an in-depth review of these changes.
Among the changes are a new provision for early occupancy, which has been introduced to reflect industry practices. The owner may take occupancy of a part or the entirety of the work before Ready-for-Takeover (RFT) ‒ a new concept which comes into play after substantial performance of the work is done, but before the work is completed ‒ providing the contractor agrees, and such agreement is not unreasonably withheld. If the owner takes occupancy of the entire work before RFT, then the work is considered to have achieve RFT.
With regard to construction safety, changes have been made to recognize that both parties are responsible for compliance with the health and safety precautions and programs established at the place of work, and applicable health and safety legislation. The contractor is no longer solely responsible for health and safety at the place of work.
In terms of insurance, the minimum limit for general liability insurance, automobile liability insurance and manned aircraft and watercraft liability insurance has been increased from $5 million to $10 million. There is also a new requirement for contractor’s pollution liability insurance with limits of not less than $5 million per occurrence.
Watch the webinar on demand