Competition Law Compliance

Policy Statement – 2014

As is recognised within the Competition Act 1998 (The Act), Trade Associations such as the National Association of Shopfitters need to exercise care to ensure compliance with the Act. Trade associations such as National Association of Shopfitters can be held liable in their own right for competition law infringements. In addition members of the Executive Council, or participants in National Association of Shopfitters business, can be directly liable and subject to the same sanctions. It should be noted that decisions of associations such as National Association of Shopfitters could constitute agreements between its members.

The Trustees and Member’s of the Executive Council of the National Association of Shopfitters have therefore made this Policy Statement:

• It is the policy of the National Association of Shopfitters to prevent any violation of any competition law with respect to any activities carried out under its auspices.
• The National Association of Shopfitters will not become involved, in the competitive business decisions of its member companies, nor will it take any action that could prevent, restrict or distort competition in breach of relevant competition laws (in particular the UK Competition Act 1998 and Articles 81 and 82 of the EU Treaty of Rome).
• Members, contributors and/or attendees at any of National Association of Shopfitters meetings, forums, working groups, presentations, seminars or other events must remember that they may well be marketplace competitors and that therefore any action or agreement which may potentially prevent, restrict or distort competition is likely to be unlawful. Members, speakers and attendees must individually exercise caution during such meetings to prevent a potential violation of the Act.
• Competition compliance is the responsibility of every member of the National Association of Shopfitters, contributor and/or attendee at any National Association of Shopfitters event.

NATIONAL ASSOCIATION OF SHOPFITTERS

PURCHASE ORDER TERMS AND CONDITIONS FOR SHOPFITTING AND INTERIOR CONSTRUCTION WORK AND RELATED GUIDANCE AND NOTICES

The NAS is launching these Terms and Conditions and related documents and making them available to members for use in making their own contracts, on the basis set out below. The documents have been prepared on the instructions of the NAS by King & Wood Mallesons LLP in consultation with a working group drawn from NAS Council members.

Two sets of Terms and Conditions have been produced. One set for use where members of NAS are contracting as a Contractor with an Employer client (Client Order). A second set for use where members of NAS are contracting as a main Contractor with a Subcontractor (Subcontractor Order). They are for use in England and Wales. Appropriate legal advice should be sought if using in respect of other jurisdictions. Adaptation of the Terms and Conditions for use in Scotland is currently underway.

The contracts have been prepared in Purchase Order format and consist of an Order Sheet, Terms and Conditions and related Contract Documents generated by the contracting parties.

The contracts are intended for use as construction contracts but are not appropriate for supply only orders. In additional, members will note from the Order Sheets that the contracts should only be used where NAS is contracting with a commercial entity. Statutory requirements in respect of consumers require specific provisions which are not incorporated in these contracts.

The contracts have been prepared for use for fit-out and interior work reflecting the kinds of projects most usually undertaken by members. They are not appropriate for use in respect of external works. The content and risk profile reflects briefings provided by members of Council having regard to the nature of works and issues experienced in practice. The contracts also include provisions on payment, notices and suspension to reflect the amendments made to the Construction Act (Part II of the Housing Grants, Construction and Regeneration Act 1996 as amended by Part 8 of the Local Democracy, Economic Development and Construction Act 2009).

The contracts have been written in relatively simple and short terms (so far as the payment provisions of the Construction Act allow). They are therefore suitable for smaller and relatively low value/low risk works. Like all contracts their provisions need to be followed and care needs to be taken in preparing the contract documents but they are relatively light on administration. They do not include the detailed and fully comprehensive terms which are found in certain other standard forms that would be more appropriate for higher value work.

The contracts have been written to be flexible and can therefore apply to both works only and design and construction situations. They also allow for the possibility that the works on a project are divided into sections.

The contracts have been prepared on the basis of the law and practice as at 1 December 2014. The intention is for periodic review of the contracts and updating to reflect changes in law as required. If you have any comments or suggestions as a result of using either of the contracts please contact Robert Hudson at NAS.

Legal Disclaimer

The Client Order and Subcontract Order contracts, the Payment and Payless Notices, Guidance and related documents do not of themselves constitute legal advice. Use of the contracts and documents is at the risk of the user. If a member is in any doubt as to the effect of any provision in or any change to the terms and conditions it should seek appropriate legal advice and should use due care and attention when interpreting the Guidance. The NAS and King & Wood Mallesons LLP do not accept any responsibility for the consequences of using these documents and do not accept any obligation to notify members of the impact on the contracts of any changes in law or practice after 1 December 2014.

The following documents have been prepared: