Before the first contractors appear on the construction site, the investor must comply with many formalities, including obtaining a building permit. But what if the documentation filed with the construction authorities proves incomplete or does not comply with the regulations? Does this necessarily bar completion of the project?
The Act of 26 April 2019 Amending the Agricultural System Act and Certain Other Acts made changes to the trading in agricultural real estate in Poland. It also clarified the procedure and conditions for consent to acquisition of agricultural real estate by an entity not meeting the definition of an individual farmer, and not qualifying as a family member of the seller or other entity exhaustively listed in Art. 2a(3) of the Agricultural System Act.
The investor is the host of a construction project and, in practice, it is the investor who decides on the wording of the agreement with the general contractor, including the contractor’s activity in execution of the project. It is the investor who decides how the construction process is organised. But investors have different preferences: they do not always want to precisely track the course of works, and that may not be feasible. Therefore, the agreement with the contractor should be tailored to the adopted model of cooperation and take into account the possible level of control by the investor of the general contractor’s activities.
Is subcontracting easier? The effects of the amendment of Art. 647¹ of the Civil Code two years after adoption
Art. 647¹ of the Civil Code, providing for the investor’s secondary liability for the contractor’s debts to subcontractors, was introduced into the Polish legal system in 2003. In April 2017, the parliament amended it thoroughly in adopting the Act Amending Certain Acts to Facilitate Debt Recovery. Two years after implementation, we try to answer the question whether the title of the amending act corresponds to reality and subcontractors really have a better chance of receiving payment for their work.
Art. 6491–6495 of the Civil Code is intended to ensure that the security in the form of a payment guarantee for construction works provided at the investor’s request secures timely payment of the contractor’s fee. However, one may suspect that in practice this instrument is used for a completely different purpose.
The Public Procurement Law provides for rules autonomous from the Civil Code for settlements with subcontractors. The regulations apply independently of each other, but they are applied in parallel to contracts concluded under the public procurement regime.