Posted: March 12th, 2023

Contracts and Law in Construction

Contracts and Law in Construction
4–5 minutes
Assignment Task

Unit Learning Outcomes

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LO1 Examine the process used to obtain planning permission for the construction and alteration of buildings

LO2 Discuss the processes and regulations used to control design and to ensure safe buildings

LO3 Assess the laws used to ensure that construction sites operate safely and consider adjoining land-users.

LO4 Analyse how the law of contract and land law are used to sell and lease land and buildings

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Assignment

Scenario

Your client owns a 6-storey residential block in To Kwa Wan comprising of shops on the Ground Floor and domestic units on the upper floors. Details are listed below.

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Property Lot (Lot): 36 lots and population about 1000

Year Built: 1960s

Site Area: 3,016 sq.m.

Zoning: Commercial

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Total Gross Floor Area: 25,720 sq.m.

Occupancy: All domestic units and shops are occupied

Further information:

According to the provisions of the Government Lease, development on the site is restricted in Residential use. The subject site is a Class B site. The maximum height is 100 metres above HKPD. The street level of the subject site is 5 metres above HKPD.

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The client planned to change the use of residential to commercial with restaurants. You are a Trainee of a consultancy firm and required to preparing a feasibility study report to the client for this redevelopment project. The client is not familiar with the procedures to obtain planning permission and building control for redevelopment and construction and would like you to report the following issues in connection with the Project and visualize the project development before construction.

Task 1

The first part of your report should include:

The procedure to apply the planning for redevelopment, you should explain the key legislation and agencies in the planning process and the building control process.
The processes available to appeal, analyse the role of planning systems & the building regulations and evaluate their impacts in managing the development of land and buildings.

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For the given situation you should also:

Ensure that construction site operates safety in compliance with the current statutory requirement. Assess the law of trespass and nuisance relate to the construction industry.
Discuss how the laws of occupiers’ liability and vicarious liability apply to this development.
Produce a plan for a contractor to manage the legal impacts of the construction site and address the legal and statutory requirements associate with the construction site.
Present a strategy to address the legal and statutory requirements associated with a large scale urban construction site.

Task 2

The client is transferring completed projects by way of sale or rental processes. Assess the impacts of relevant legislations such as land law and property law in the development and disposal of a large urban construction projects.

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You should also complete a written report to:

Assess how the property disposal process can be undertaken effectively, citing appropriate legislation, case-law and.
Make recommendations on how land law has evolved to shape modern land ownership & the role of contract law in buying and selling property and discuss the effect of landlord and tenant law is used to manage property.
Evaluate how the applications of land law and landlord and tenant law control the disposal and use of property

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This report aims to provide a feasibility study for the redevelopment of a six-storey residential block in To Kwa Wan, owned by our client. The client intends to change the use of the building from residential to commercial, specifically for restaurants. The report is divided into two tasks. The first task will discuss the procedures to apply for planning permission for the redevelopment project, including building control and relevant legislation, such as laws of trespass, occupiers’ liability, and nuisance. Additionally, this task will provide a plan for a contractor to manage the legal impacts of the construction site and address the legal and statutory requirements associated with the construction site. The second task will assess the impacts of relevant legislation, such as land law and property law, in the development and disposal of a large urban construction project.

Task 1:

Planning Permission and Building Control:

The procedure to apply for planning permission involves submitting an application to the Town Planning Board (TPB) and obtaining a development permit from the Buildings Department (BD). The TPB is responsible for ensuring that developments comply with the statutory planning framework, while the BD ensures compliance with building regulations. The key legislation involved in the planning process includes the Town Planning Ordinance (Cap. 131), Buildings Ordinance (Cap. 123), and the Fire Safety (Buildings) Ordinance (Cap. 572).

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Processes Available to Appeal:

The appeal process in the planning system involves submitting an appeal to the Town Planning Appeal Board (TPAB). The TPAB is responsible for considering appeals against decisions made by the TPB. The appeal process in building control involves submitting an appeal to the Buildings Appeal Tribunal (BAT). The BAT is responsible for considering appeals against decisions made by the BD.

Assessing the Law of Trespass and Nuisance Relate to the Construction Industry:

The law of trespass involves protecting the owner's right to control access to their land. In the construction industry, this means ensuring that workers do not enter adjoining properties without permission. The law of nuisance involves protecting the adjoining land-users from unreasonable interference. In the construction industry, this means ensuring that noise, dust, and vibrations do not unduly interfere with adjoining properties.

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Laws of Occupiers’ Liability and Vicarious Liability:

The law of occupiers’ liability holds the occupier of a property liable for any injury or damage that occurs on their property. The law of vicarious liability holds an employer liable for the actions of their employees. In this development project, the contractor will be liable for any injuries or damage that occur on the construction site, and the employer will be liable for the actions of their employees.

Plan for a Contractor to Manage the Legal Impacts of the Construction Site:

The contractor should establish a health and safety plan, which includes measures to prevent accidents and ensure compliance with relevant regulations. Additionally, the contractor should establish a risk management plan to manage the risks associated with the construction project. The contractor should also obtain appropriate insurance coverage to mitigate the legal risks associated with the construction site.

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Strategy to Address the Legal and Statutory Requirements Associated with a Large Scale Urban Construction Site:

The strategy to address the legal and statutory requirements associated with a large scale urban construction site involves establishing a risk management plan, obtaining appropriate insurance coverage, and ensuring compliance with relevant regulations. Additionally, the contractor should establish an environmental management plan to manage the environmental impacts of the construction project.

Task 2:

Impacts of Relevant Legislations:

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The relevant legislations that impact the development and disposal of a large urban construction project include land law and property law. Land law involves the transfer of ownership of land, while property law involves the transfer of ownership of buildings.

Assessing the Property Disposal Process:

The property disposal process involves selling or renting the completed project. The relevant legislation includes the Conveyancing and Property Ord

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