Demand Guarantees in the Construction Industry

A comparative legal study of their use and abuse from a South African, English and German perspective

Product Attributes

  • Hard Cover
  • 9781485128274
  • 1st Edition
  • 355 Pages
  • 2018

Authors

Marxen, K

Categories

Construction Law

2018 - 1st Edition

R 950.00

About this Publication:

Independent guarantees, payable on demand (so-called demand guarantees) are the preferred security instruments in complex construction and infrastructure projects. To the beneficiary, demand guarantees offer immediate access to cash without having to prove breach of contract, (insufficient) performance, damages, or the extent thereof. Due to the independent nature of demand guarantees, there is a risk of abusive or fraudulent calls. This comparative study analyses, in depth, the use of such guarantees in the construction industry, and the legal situation in South African, English, and German law regarding abusive calls on demand guarantees. The book explores typical scenarios in construction, and illustrates measures to prevent or mitigate abusive calls.

Contents Include:

  • Introductory matters
  • The construction context
  • Guarantees in general legal perspective
  • Guarantees in the construction industry
  • The abuse of, and other problems relating to, demand guarantees in the construction industry
  • Documentary compliance, identity of the parties, and other defences based on the guarantee and its terms
  • Negative stipulations in the underlying contract
  • Recommendations and measures to counter abusive calls on demand guarantees in the construction context
  • Bibliography

Of Interest and Benefit to:

  • Lawyers
  • Advocates
  • Academics and students who have an interest in advanced studies of construction and construction law
  • Financiers
  • Construction industry
  • Judges